Groundnuts: Trading
China's young peanut futures and a world of private deals
China's young peanut futures and a world of private deals What this tab covers How and where it is bought and sold: who buys and sells, exchanges and benchmarks, contract types, the big trading houses and how prices are discovered.There is no global futures benchmark. China's Zhengzhou Commodity Exchange launched peanut futures in 2021, used mainly by Chinese crushers and traders. International trade runs on private contracts between shellers, traders and food makers. Price depends on origin, market type (Runner, Virginia, Spanish), kernel count per ounce, crop year and aflatoxin certification. Indian, Argentine and US shellers quote offers, and trade journals report the going rates. Merchants watch crops far from Chicago; Morgan notes that Mali's groundnut harvest was among the data grain traders tracked (pdf p. 304).
Where it is bought (buyers)
- Indonesian, Vietnamese, Malaysian and Chinese importers buy Indian bold and Java kernels FOB Mundra
- EU snack and peanut butter makers (Netherlands is a hub, 15.2% of world imports by value in 2024) buy Argentine and US kernels
- Gujarat crushers and shellers buy pods in Saurashtra mandis
Where it is sold (sellers)
- Argentine shellers export from Rosario and Buenos Aires
- Indian exporters ship from Mundra and Kandla
- US shellers export from the Southeast; Chinese exporters supply Japan and Europe
Exchanges and benchmarks
| Venue | Contract | Notes |
|---|---|---|
| Zhengzhou Commodity Exchange | Peanut kernel futures, yuan per tonne | launched in 2021; main exchange price for groundnuts |
| India | none active | no groundnut futures trade on NCDEX or MCX; Rajkot mandi prices are the reference |
| US | none | US prices come from shellers' contracts and the USDA loan rate |
Contract types
- FOB kernel contracts by count and grade (e.g. Java 50/60, Bold 38/42) with aflatoxin specifications
- US grower contracts with shellers
- MSP procurement in India
Top trading houses
- Olam Agri
- ADM (Golden Peanut)
- Louis Dreyfus Company
- COFCO International
How prices are discovered
- World Bank Pink Sheet groundnuts (monthly)
- Zhengzhou peanut futures
- Indian mandi prices on Agmarknet; exporters' FOB quotes