Pecans are priced high enough to be considered a sound investment, and both small and large investors alike realize that they consider orchard land for sale as a long-term investment. But if all goes well, a pecan tree can produce strong annual yields for decades. In effect, a nut producer does not benefit from early harvests, but expects to obtain crops similar to those of an annuity in the future. Many high-income families close to rural areas have also invested in walnuts, planted their own orchards and hired farm managers to manage them, or have worked with local nut producers to manage the orchards on the basis of profit sharing.
In areas outside of Atlanta and Macon, Georgia, fields outside of Dallas and Austin, Texas, and a once-empty desert near Tucson, AZ and Las Cruces, New Mexico, are now planted with pecans from Pawnee, Cheyenne and Western Schley that will soon be in production. As more and more investors approach retirement or are already retired, pecans continue to receive new investments, as the stability and growth of the industry is expected to continue in the near future. Pecan nut production is such a long-term investment that increasing the size of the crop by just 10% to meet growing demand takes some time. Annual row crops, such as soybeans, corn and wheat, have much greater volatility due to oversupply, making perennial crops such as walnuts a much safer investment.
Pecans are not an overnight investment, as most walnut orchards take 7 to 10 years to enter commercial production and another 3 to 5 years to reach their peak of production. Only in the last decade has the American nut industry successfully joined forces to market walnuts worldwide; and only in the last 4 years has it created a marketing order to carry out marketing and research activities. However, the new money in crops such as walnuts is not only being raised by smaller investors, but large investors are also taking note of the growth of healthy foods, such as the US nut industry. From pecans to pies and oil, there are many byproducts of the walnut tree, making it an invaluable asset.
Walnuts have recently become a more attractive investment, as walnuts have been largely ignored and are not organized as an industry.