North America Peanut Market Outlook, 2030

The North American peanut market has developed steadily, with the United States playing a central role in production and consumption. Peanut farming became widespread after the Civil War, supported by advances in shelling, roasting, and oil extraction that turned peanuts from a regional Southern crop into a national commodity. George Washington Carver’s promotion of peanuts as a rotational crop in the early 1900s encouraged cultivation across states such as Georgia, Alabama, Florida, Texas, Oklahoma, New Mexico, Virginia, and North Carolina. Production today is concentrated in the Southeast, Southwest, and Virginia-Carolina regions, with Georgia leading at nearly 2.9 billion pounds in 2022. Total U.S. output in 2022 reached 5.57 billion pounds from 1.45 million acres, dominated by runner-type peanuts used mainly in peanut butter. Virginia types are grown for in-shell and gourmet snacks, Spanish types for high-oil snack applications, and Valencia types, mostly from New Mexico, for all-natural peanut butter and roasted-in-shell products. Peanuts remain central to American diets, especially through peanut butter, a staple source of plant-based protein and healthy fats that also features in school meal programs. Harvesting follows a seasonal cycle, with buying points across peanut-producing states managing grading, inspection, and storage before shelling. Sustainability has become increasingly important, and in 2024 ADM through Golden Peanut and J.M. Smucker began a three-year regenerative agriculture program covering 20,000 acres annually to promote reduced tillage, cover cropping, and soil health improvements, with the National Black Growers Council participating on 5,000 acres per year. In January 2025, Gelgoog successfully completed the delivery of the USA peanut butter production line project, marking the company's first delivery project milestone in the New Year. In May 2024, Jif, America's number one peanut butter brand, is introducing its largest flavor innovation named Jif Peanut Butter & Chocolate Flavored Spread, which combines the creamy richness of Jif Peanut Butter with the sweetness of chocolate flavor.

According to the research report "North America Peanut Market Outlook, 2030", the North America Peanut market is anticipated to grow at more than 3.42% CAGR from 2025 to 2030. The North American peanut market is marked by strong innovation and evolving consumer demand, with companies diversifying product ranges to meet both health and indulgence trends. Peanut-based snacks are now available in multiple flavored and coated varieties, while spreads have expanded beyond traditional formats to include honey roasted, chocolate infused, organic, and reduced sugar versions. Health-conscious buyers are increasingly seeking natural, organic, and non-GMO peanuts, prompting J.M. Smucker in 2024 to launch new organic peanut butter lines. Peanuts are also being used more widely in plant-based protein products such as energy bars, powders, and dairy alternatives, reinforcing their role in wellness-driven diets. Value-added products like premium spreads and portion-controlled snack packs appeal to younger consumers, while retail presence remains strong across supermarkets, convenience stores, and e-commerce platforms. The United States also plays a major role in global supply, exporting significant volumes to Canada and other international markets, supported by production hubs in Georgia, Texas, and Alabama. In 2023 Olam Group expanded U.S. processing capacity, The Hershey Company’s Reese brand launched jumbo peanut butter cups in 2024 as a new indulgent option, and ADM with Smucker advanced sustainability through regenerative agriculture initiatives. In January 2025, Purely Elizabeth increases cookie granola portfolio with new peanut butter cookie granola. The Peanut Butter Cookie Granola debut comes at a time when the granola category has reached approximately $1.3 billion in sales, with Purely Elizabeth leading the way with an outstanding 85% year-over-year growth rate.

Market Drivers

• Rising Demand for Plant-Based Protein: The growing preference for healthier diets and plant-based eating has increased peanut consumption in North America. Peanuts provide affordable, protein-rich alternatives to meat and dairy, making them attractive to vegan and vegetarian consumers. Their use in energy bars, protein powders, and dairy substitutes is expanding, aligning with the shift toward functional foods and wellness. With high nutritional value and versatile applications, peanuts continue to benefit from the strong momentum of the plant-based movement across the United States and Canada.
• Strong Domestic Production and Export Base: The United States is among the largest peanut producers globally, with strong production hubs in Georgia, Texas, and Alabama ensuring consistent supply. High yields, advanced farming practices, and established processing infrastructure support both domestic consumption and exports to key markets such as Canada, Mexico, and Europe. This strong production base also stabilizes prices and strengthens the reliability of supply chains, making U.S. peanuts a trusted choice for international buyers and a backbone of the North American market.

Market Challenges

• Climate Sensitivity and Weather Risks: Peanut farming is highly dependent on favorable weather conditions, and extreme heat, droughts, or hurricanes can disrupt yields significantly. Regions like Georgia and Texas, which dominate production, often face climate variability that affects crop health and quality. Limited adaptability of certain peanut types outside their core growing regions also makes the crop vulnerable. These environmental risks raise uncertainty in supply and add volatility to the peanut market across North America.
• Allergen Concerns Among Consumers: Peanut allergy remains one of the most common and severe food allergies in North America. The rising prevalence of peanut allergies among children and adults creates a challenge for food companies, schools, and restaurants, which must adopt strict labeling and safety protocols. This concern has also limited peanut use in certain institutional food programs. While innovation in allergen management is ongoing, consumer sensitivity to peanuts continues to restrict wider adoption in some product categories.

Market Trends

• Growth of Organic and Clean-Label Products: Consumers in North America are increasingly seeking natural, organic, and non-GMO peanuts and peanut-based foods. Clean-label preferences are driving product launches featuring reduced sugar, fewer additives, and transparent sourcing. Major brands have introduced organic peanut butter and snacks to meet this demand, while smaller niche players are capitalizing on the premium positioning of sustainable and allergen-conscious peanut products. This trend reflects the wider health and wellness shift in the region’s food industry.
• Innovation in Value-Added Peanut Products: Peanut-based innovation is accelerating, with companies offering flavored spreads, coated peanuts, and portion-controlled snack packs. Beyond traditional peanut butter, brands are launching products tailored to convenience-driven urban consumers, including ready-to-eat snacks, protein bars, and indulgent chocolate-peanut combinations. These value-added formats help peanuts maintain relevance in a crowded snack market, while appealing to both indulgence-seeking and health-focused buyers. The rise of e-commerce has further boosted the availability and visibility of these innovative peanut offerings.

Raw peanuts dominate in North America because they serve as the core raw material for major processing industries, household consumption, and export demand, making them the foundation of the region’s peanut economy.

In North America, particularly the United States, peanuts are deeply tied to agricultural output and industrial processing. States like Georgia, Texas, and Alabama account for most of the country’s peanut production, and the majority of harvested peanuts are sold in raw form to processors who convert them into peanut butter, oils, snacks, and confectionery. Raw peanuts are also exported from the US to markets in Europe, Canada, and Asia, highlighting their role as a primary trade commodity. While peanut butter is a cultural staple in the US, all the leading brands such as Jif, Skippy, and Peter Pan rely heavily on a consistent supply of raw peanuts to sustain production. Households also purchase raw peanuts directly for roasting, boiling, or cooking, especially in southern states where boiled peanuts are a traditional snack. Beyond food, raw peanuts are supplied to industries that develop peanut flour, protein powders, and peanut-based ingredients for bakery and health food manufacturing. This wide utility ensures that raw peanuts hold the largest share in the region, acting as the base for both domestic consumption and the vast processing networks that define the North American peanut industry.

The food and beverage sector is the largest application in North America because peanuts are a staple in processed foods, snacks, spreads, and confectionery, and they are ingrained in the everyday diets of consumers across the United States and Canada.

Peanut butter is one of the most iconic food products in American households, consumed by over 90 percent of homes according to the National Peanut Board. The demand for peanut butter sandwiches, breakfast spreads, and flavored peanut butter products keeps this application strong. Beyond spreads, peanuts are used widely in confectionery, where brands like Reese’s and Snickers rely on peanuts as key ingredients in some of the most popular chocolate and candy bars sold in the region. Roasted and salted peanuts are also sold as standalone snacks, often consumed during sports events, movie nights, and as on-the-go food. In Canada, peanuts are similarly popular in snack foods and bakery products. The rise of health-conscious diets has expanded peanut use in plant-based protein products, protein bars, and energy snacks, giving peanuts an important place in the functional food segment. Traditional uses such as boiled peanuts in southern US culture and incorporation into holiday recipes also maintain steady demand. With peanuts being embedded into both mainstream packaged foods and niche health-oriented categories, food and beverages remain the largest and fastest-growing application for peanuts in North America.

B2B distribution is highly significant in North America because large volumes of peanuts are sold directly to processors, manufacturers, and food companies that depend on bulk raw supplies to sustain their operations.

The structure of the peanut industry in North America is heavily built around large processors and food corporations. Farmers deliver raw peanuts in bulk to shelling plants and processing companies, which then distribute them to manufacturers producing peanut butter, confectionery, oils, and snacks. Companies like Golden Peanut and Tree Nut Company, Birdsong Peanuts, and Olam Edible Nuts are among the biggest players in this supply chain, linking farmers with industrial buyers. Major food brands such as Hershey’s, Mars, J.M. Smucker, and Hormel rely on B2B supply channels to secure consistent quality and volume of peanuts for their mass production needs. Beyond domestic use, B2B also plays a crucial role in exports, as shelled raw peanuts are shipped in bulk to other regions. Even bakeries, restaurants, and health food producers depend on B2B supply chains to procure large quantities of peanut flour, protein, or oil for their products. This scale of dependence on bulk buying and industrial partnerships makes B2B an essential channel in the North American peanut market, ensuring that production moves seamlessly from farms to global food shelves.

The United States leads the North American peanut market because of its strong production base, advanced farming practices, and deep cultural integration of peanuts into diets and industries.

Peanut farming in the United States has been rooted in history since the post-Civil War era, and over time it transformed into one of the most organized and technologically advanced agricultural segments in the country. Today, the peanut belt stretches across Georgia, Texas, Alabama, Florida, and other states where the crop benefits from favorable soil and climate conditions. Georgia alone contributes the highest share of production, producing billions of pounds annually, supported by large-scale mechanized farming and research-driven cultivation techniques. The runner type dominates due to its use in peanut butter, a product that has become a cultural icon in American households, consumed daily across all age groups and widely included in school nutrition programs. Beyond household use, peanuts support multiple industries including snacks, confectionery, and cooking oils, with companies such as J.M. Smucker, Hershey, and ADM driving continuous product innovation and expansion of processing facilities. The U.S. also maintains one of the most reliable peanut supply chains, with well-developed grading, inspection, and storage systems at buying points that guarantee consistent quality for domestic and export markets. Exports are a significant strength, with U.S. peanuts shipped to Canada, Mexico, and international markets, reflecting global trust in American produce. Sustainability has also become a core focus, with recent regenerative agriculture initiatives by major players like ADM and Smucker aimed at improving soil health, reducing inputs, and enhancing long-term viability.

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