Pistachio Round Table 2017, Chennai

PANELISTS

• Mr. Asgaroladi, Hassas Export Co, Iran

• Mr. Calcagni, Besana Co, Italy

• Mr. Cheng, CHK Trading Co, Hong Kong

• Mr. Görgülü, Tiryaki Co, Turkey

• Mr. Hohmann, Wonderful Pistachios & Almonds Co, USA

• Mr. Yousefi, Persian Dynasty Limited, Hong Kong

AGENDA

State of the Industry

Supply and Demand

Current Challenges and How to Prepare for Future Ones

Established and Emerging Markets

Successful Stories

2

1

4

3

5

PISTACHIO AS A LUXURY NUT

4

1

TOP 10 HEALTH BENEFITS OF PISTACHIO

Diabetes management

Maintain heart health

Maintain healthy organs

Maintain eyes health

Increase brain power

Maintain healthy blood circulation

Better immune system

Anti-inflammatory purposes

Healthy skin

Healthy hair

5

2

3

4

5

6

7

8

9

10

VARIETY OF PISTACHIOS COMMERCIAL VARIETIES

IranFandoghi

IranAkbari

IranAhmadaghaei

IranKaleghouchi

USACalifornia Kerman

TurkeyAntep

PISTACHIO OFFICIAL CHART

XXXVI World Nut and Dried Fruit Congress. Chennai, 19-21 May 2017ESTIMATED WORLD PISTACHIO PRODUCTIONIn-shell Basis · Metric Tons

COUNTRY BEG. STOCK CROP TOTAL

SUPPLYENDINGSTOCK

BEG.STOCK CROP TOTAL

SUPPLYENDING STOCK

IRAN 17,000 153,000 170,000 10,000 10,000 250,000 260,000 5,000USA 46,528 409,429 455,957 101,714 101,714 236,735 338,449 53,061TURKEY 40,000 135,000 175,000 50,000 50,000 90,000 140,000 30,000SYRIA 0 20,000 20,000 0 0 17,000 17,000 n/aAFGHANISTAN 0 5,000 5,000 0 0 10,000 10,000 n/aGREECE 0 4,000 4,000 500 500 4,500 5,000 n/aITALY 0 2,500 2,500 0 0 2,250 2,250 n/aAUSTRALIA 0 2,000 2,000 0 0 1,550 1,550 0CHINA 210 4,200 4,410 220 210 1,200 1,410 0TOTAL 103,738 735,129 838,867 162,434 162,424 613,235 775,659 88,061

WORLD CONSUMPTION (T. Supply - End. Stock) 676,433 687,597

2016/2017 2017/2018

Source: Iran Pistachio Association, China Chamber of Commerce for Import and Export of Foodstuffs, Greek Nut Association, Australian Pistachio Growers Association and other INC sources.

MAJOR PRODUCERS STATISTICS

Source: INC & IPA.USA Administrative Committee for Pistachio, 2015

0 100 200 300 400 500 600

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

USA & Iran Annual Pistachio Productionin thousand tons

TOTAL PRODUCTION USA IRAN Lineal (TOTAL PRODUCTION )

0 50 100 150 200 250 300

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

USA & Iran Annual Pistachio Export in thousand tons

TOTAL CONSUMPTION USA IRAN Lineal (TOTAL CONSUMPTION )

WORLD PRODUCTION & CONSUMPTION

300000

350000

400000

450000

500000

550000

600000

650000

700000

750000

800000

2010 2011 2012 2013 2014 2015 2016

world consumption

world production

Lineal (world consumption)

Lineal (world production )

Source: INC & USDA Tree Nuts Annual Report, 2016

2015 CULTIVATION BEARING PERCENTAGES

79.25%

20.75%

USA Bearing - Non bearing

Sources: USDA Tree Nuts Annual Report, USDA Noncitrus Fruits and Nuts, Iran data IPA Estimate. USA Administrative Committee for Pistachio, 2015.

70%

30%

Turkey Bearing - Non bearing

77.15%

22.85%

Iran Bearing - Non bearing

PISTACHIO IMPORT INTO HONG KONG 2000 - 2016

Source: CCCFNA Tree Nut Sun-Chamber, 2017

Unit: Metric ton

TREE NUTS IMPORT INTO CHINA COMPARISON 2000 - 2016

Source: CCCFNA Tree Nut Sun-Chamber, 2017

PISTACHIO OFFICIAL CHART

XXXVI World Nut and Dried Fruit Congress. Chennai, 19-21 May 2017ESTIMATED WORLD PISTACHIO PRODUCTIONIn-shell Basis · Metric Tons

COUNTRY BEG. STOCK CROP TOTAL

SUPPLYENDINGSTOCK

BEG.STOCK CROP TOTAL

SUPPLYENDING STOCK

IRAN 17,000 153,000 170,000 10,000 10,000 250,000 260,000 5,000USA 46,528 409,429 455,957 101,714 101,714 236,735 338,449 53,061TURKEY 40,000 135,000 175,000 50,000 50,000 90,000 140,000 30,000SYRIA 0 20,000 20,000 0 0 17,000 17,000 n/aAFGHANISTAN 0 5,000 5,000 0 0 10,000 10,000 n/aGREECE 0 4,000 4,000 500 500 4,500 5,000 n/aITALY 0 2,500 2,500 0 0 2,250 2,250 n/aAUSTRALIA 0 2,000 2,000 0 0 1,550 1,550 0CHINA 210 4,200 4,410 220 210 1,200 1,410 0TOTAL 103,738 735,129 838,867 162,434 162,424 613,235 775,659 88,061

WORLD CONSUMPTION (T. Supply - End. Stock) 676,433 687,597

2016/2017 2017/2018

Source: Iran Pistachio Association, China Chamber of Commerce for Import and Export of Foodstuffs, Greek Nut Association, Australian Pistachio Growers Association and other INC sources.

QUESTIONS

Thank you.

R.Y. - 2017

Anti-trust Statement: The fundamental purpose of this session is for the participants to discuss different aspects of the nut and dried fruit industry. It is the policy and practice of the INC Foundation to conduct all its meetings and activities in strict compliance with antitrust and competition laws. There shall be no discussions of competitively sensitive information, including but not limited to prices, rates, coverage, market practices, claims settlement practices, customers or any other competitive aspect of an individual company’s operation. INC participants to this meeting commit not to enter into any agreements between undertakings, decisions by associations or undertakings and concerted practices which may affect trade and which have as their object or effect the prevention, restriction or distortion of competition within the internal market. Each participant is obligated to prevent any discussion from falling outside these bounds.

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