In China, over 3.6 million hectares are under groundnut cultivation and 6 million tons are produced yearly. India is the second largest producer, with surfaces under the crop exceeding 8 million hectares and outputs averaging 5.6 million tons per year. The United States, Nigeria, Argentina and Indonesia are the following largest producers, with annual outputs varying between 1 and 1.5 million tons per year. Political instability and the frequently unsupportive oilseed policies have also played their role. Yields vary Yields in producing countries vary significantly, depending on climate, soil, farming systems and seed varieties.
Trade is concentrated Both export and import trade in groundnuts is very concentrated.
The positioning of the largest net exporters has shifted considerably during the last six years. China, although it has become the largest producer, lost over half of its shares in the export market of hand-picked selected groundnuts, mainly because of the increase of the domestic consumption. International prices of edible groundnuts fluctuated widely over the last decade, influenced by both market fundamentals and seasonal factors. Consumption patterns vary widely from country to country. In Viet Nam, groundnuts are cultivated in order to improve soil fertility, to break rice monoculture and to provide additional income to farmers through exports.