Record Peanut Crop Leaves Market Searching for Direction

Strong supplies and rising stocks point to continued price pressure unless demand accelerates.

NASHVILLE, Tenn. (RFD NEWS) — U.S. peanut growers enter 2026 facing abundant supplies after record production in 2025, with acreage, output, and ending stocks all pointing to continued market pressure. USDA data show peanut planted area reached 1.95 million acres last year — the highest since 1991 — driven largely by expanded acreage in Georgia and Texas.

National peanut yields averaged 3,767 pounds per acre, modestly higher than 2024 but below the five-year average. Georgia posted stronger year-over-year yields, while Texas recorded its lowest state yield since the mid-1990s, partially offsetting gains elsewhere. Despite mixed yields, total U.S. peanut production reached an estimated 3.59 million tons, up 11 percent and narrowly setting a new record.

Demand is expected to grow in the 2025-26 marketing year, but not fast enough to absorb the larger crop. USDA projects peanut disappearance rising 6 percent, while ending stocks are forecast to climb 24 percent, keeping downward pressure on prices.

Looking ahead, competing crops offer little relief. Corn and cotton prices remain soft, suggesting peanut acreage could stay elevated in 2026 despite heavier supplies.

Farm-Level Takeaway: Strong supplies and rising stocks point to continued price pressure unless demand accelerates.
Tony St. James, RFD NEWS Markets Specialist
Related Stories
Higher food costs are showing up beyond the grocery aisle, with some major restaurant chains shrinking their U.S. footprint.
Drought and Planting Shape Weekly State Agriculture Recap
Farmers will soon be asked to help shape some of USDA’s most closely watched crop and inventory reports.
For farm country, that caution can mean higher costs, slower service, and less local investment.

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

This case could influence how much leverage grain shippers have when a preferred rail outlet is blocked or priced too high.
U.S. Cattlemen’s Association President Justin Tupper joins us to discuss the DOJ packer investigation, industry competition, and the outlook for cattle producers.
Farm Bureau economist Dr. Faith Parum says EPA’s final biofuel volumes keep corn demand steady and strengthen the outlook for soybean-based diesel feedstocks.
Global soybean competition is moving deeper into crush capacity, logistics, and value-added product control.
CME Group’s Fred Seamon joins us to break down the drop in farmer sentiment, discuss the role of input costs and global factors, and share his outlook for the ag economy ahead.
Cotton margins improved slightly, even as fertilizer and fuel costs rose due to the Strait of Hormuz disruption linked to the Iran war.