Contract price for peanuts in 2008 has increased interest in production, especially in the Carolinas and Virginia.

In South Carolina acreage continues to increase slightly and will likely settle at 65,000-68,000 acres, according to Clemson Peanut Specialist Jay Chapin.

In North Carolina production is expected to remain about the same, though Peanut Specialist David Jordan, says growers are late making planting decisions this year. Growers who were not happy with corn profitability last year may convert some of those acres to peanuts, though the increase in wheat acreage indicates most of it may go into double-crop soybeans.

In Georgia, production is expected to go up this year, primarily based on the drought-related shortfall in peanuts in 2007. Predictions of a La Nina-based dry winter and spring have not materialized so far across Georgia's peanut belt, indicating adequate spring planting moisture and more acres in the nation's top peanut producing state.

In South Carolina in 2007 peanut growers fought the drought most of the year, but at harvest time they enjoyed near perfect weather conditions. “The result is that we were able to get virtually all our crop out of the ground. The drought reduced the potential of the crop, but ideal harvest weather allowed our growers to harvest a pretty good crop last year,” Chapin says.

This year contract prices for Virginia type peanuts in South Carolina have been in the $550 to $600 per ton range, and this will likely encourage some growers to expand acreage and others to get into the peanut business.

For new growers, Chapin says be aware of the 10 basic rules of new ground peanut production:

In 2007, several new varieties performed well in peanut variety tests at the Edisto Research and Education Center where Chapin is headquartered. Though seed supply won't be adequate for much production from these newer varieties, Chapin says the outlook for the future is bright.

Among the runner type peanuts tested, Ga06G was the highest producer, with a yield of 5,783 per acre and a per acre value of $1,566.

Georgia Greener, an improved variety of Georgia Green, produced 5,499 pounds per acre for a value of $1,523 per acre.

The standard runner type, Georgia Green, produced $5,081 pounds per acre for a per acre value of $1,354.

Of the Virginia types, ATVC2 was the top producer with $5,693 per acre for a per acre value of $5,693.

Chapin says the drought in 2007 caused some seed quality problems for Virginia type peanut seed, because of tomato spotted wilt virus complications. “We can make a good crop with less than optimum seed quality — we've done it before, but the main issue is TSWV,” he concludes.

Of the newer varieties currently being developed, Champs, a relatively new variety developed by Virginia Tech University, will be available on a limited basis.