California Ramps Up Pistachio Production for Anticipated Demand in China
California has ramped-up pistachio production in the past few years. The state has been planting enough trees to produce more than double its volumes; slated to hit in excess of a billion pounds by 2020, according to a report in the Sacramento Bee. 
The publication, notes that the boost in production has little to do with any rebound in the US economy, but is actually geared to address the Chinese consumers' voracious appetite for pistachios and the hopes that the demand will continue to grow.
Judy Hirigoyen, Director of Global Marketing for American Pistachio Growers, is quoted in the report, saying, "We have a great market in China.” She continues, "We could literally sell our entire crop to just China."
Supporting the recent trends is the belief that China's urban middle class will continue to expand; a group which has seen its spending power more than double in the past ten years.
In addition, the other two major pistachio-exporting countries, Iran and Syria, have been challenged with sanctions and civil war creating an opening in the market. U.S. pistachio exports to China, have increased from just 1 million pounds a decade ago and now exceed 80 million pounds. Demand is outpacing supply, even with the ramped-up production; pushing prices on the Chicago Mercantile Exchange to an all-time high, the Sacbee notes.
Pistachio popularity is picking up momentum, especially with the help of international pop sensations promoting the item. The American Pistachio Growers released its first-ever Super Bowl commercial, featuring Korean pop sensation Psy, of "Gangnam Style" in February.
Pistachios have increased from 100,000 acres of pistachio trees in California in 2001 to more than 240,000 today. Because it takes seven years before a tree bears fruit, much of the acreage has not come on line.
The state's pistachio trade is dominated by one player, the publication reports: Paramount Farms produces more than 450 million pounds of pistachios and almonds in the San Joaquin Valley.
California Pistachios
