If Demand Is Working, What’s Still Holding Prices Back?
This past year we’ve seen grower investments in marketing begin to deliver stronger returns. By focusing on programs that build demand—expanding retail sales beyond the holidays, building the higher-value snacking aisle, and growing international demand—we’ve strengthened the market and increased pecan value in meaningful ways.
But moving from no margins to thin margins is not enough. It won’t keep growers and shellers profitable in a way that supports new plantings or product innovation. We have more work to do.
APC and APPB will continue investing in demand growth and protecting the reputation of the U.S. pecan supply. Still, the industry’s fragile financial position raises a harder question: if supply and demand alone aren’t delivering sustainable prices, what will?
To answer that, APC commissioned independent agricultural economists to analyze what truly drives pecan pricing—so we can move past debate and focus on solutions. The full report is available at americanpecan.com, and industry input will be critical as we determine next steps. A few themes stand out:
1. Limited competition is capping prices.
A small group of dominant buyers—especially in U.S. retail—holds significant pricing power. Expanding the number of active retailers, increasing independent brands on shelves, and strengthening demand from foodservice and export markets will be key to restoring balance.
2. Poor data is delaying market signals.
Supply and demand do matter—but without timely, trusted data, prices lag reality. Today’s prices often reflect yesterday’s conditions. APC is working to improve this, but more solutions are needed to ensure growers are paid based on current market dynamics.
3. Demand is working—but margins are tightening.
Strong demand, particularly in export markets, is supporting shelled pecan prices. Yet financing costs, long retailer payment terms, and the expectation that shellers carry inventory without compensation are compressing margins across the supply chain. The industry must rethink financial models to ensure both processors and producers capture the value being created.
4. Supply drives in-shell prices—but growers are constrained.
Tighter inventories heading into harvest do lift in-shell prices. But rising production costs often force growers to sell early, limiting their ability to leverage favorable market conditions. Better access to financing, storage, or marketing flexibility could help growers time sales more strategically. 
These findings aren’t entirely new—but this report gives us a clearer, shared understanding of what’s holding the industry back.
APC and APPB can’t solve these challenges alone. But as industry-funded organizations, we have a responsibility to bring the industry together around practical solutions. That starts with your voice.
Engage with us. Talk with your neighbors and business partners. Help identify where we align—and where we need to push further. There are no easy fixes, but just as we’ve seen the impact of investing in demand, we now need to confront the structural barriers limiting our progress.
Anne Warden
CEO, APC and APPB
The American Pecan Council was founded in 2016 and is comprised of pecan growers and shellers. APC’s mission promotes the benefits of the American Pecan to build consumer demand, develop markets and establish industry standards. Reach us at Industry@AmericanPecan.com.
