Report on Commercial Cracking and Merchandising of Black Walnuts

By H. F. Stoke, Virginia

(Read by Title)

The 1933 black walnut crop of southwestern Virginia was light and exceedingly spotted. Some districts reported a complete failure, a most unusual condition.

The volume of shelled nuts offered on the local market was smaller than usual, due partly to scarcity of the nuts and partly because the mountain folk who produce most of the kernels were not so keen at cracking walnuts for a pittance when once they had tasted the sweets of 40 cents per hour on road work offered as part of the Federal recovery program. This, apparently, will become a factor in the development of commercial cracking plants.

The price was better than for several years past. Home-cracked nuts sold at an average price of 25 cents per pound to local consumers, who took most of the season's production. Sales to northern concerns were mostly at from 30 to 35 cents for hand-picked goods, ranging up to 38 cents per pound by midsummer. I do not know present prices.

The writer knows of no new development in mechanical cracking and separating processes. At the present time he is completing the construction of a power driven cracker of new design, but any report must await successful operation.

In the marketing of kernels five channels may be considered:

1. The local consumer market, which should be cultivated as far as possible.

2. Mail order consumer, usually reached by advertising. A two-pound carton lined with wax paper makes a most satisfactory unit for sales of this kind. This package has been selling generally at $1.25, postpaid.

3. Commercial consumers, who are usually manufacturers of food products, such as bakeries, ice cream manufacturers, confectioners, etc. Usually these people buy from wholesale supply houses.

In order to hold this trade the producer should be in a position to fill orders throughout the year. An "In-and-outer" cannot hope to hold this excellent class of customers.

4. Wholesale supply houses, who specialize on supplying commercial consumers and nut stores.

These people depend on buying their season's supply as cheaply as possible during the flush period and distributing later at a profit.

It is to their interest to demoralize the market early, so they can buy cheaply, and later proclaim a scarcity so the market will advance to profitable levels. They seem fully alive to their interests. At the opening of the past season one very prominent New York buyer was offering from 16 to 18 cents per pound for hand-picked kernels, though I knew of none selling at anywhere near that figure.

This class of customer is rather unsatisfactory, though they will pay fair prices late in the season if a real shortage exists, and they are out of supplies.

5. A good, honest broker or commission merchant is probably the most satisfactory channel for handling large quantities of kernels. He is acquainted with actual prices and market conditions, as well as a large list of possible customers. His customers are usually commercial consumers, though he also sells wholesale supply houses. His commission is usually 3 per cent.

As a note of warning, be sure your broker is honest, then stick to him. Some concerns masquerading as brokers or commission merchants are really wholesale buyers on their own account. They will charge the shipper a commission on sales to themselves at a low figure. The Baltimore market seems especially cursed with this sort of thing, though it is now, I believe, forbidden by a code. As a whole, Baltimore is not a very satisfactory market for black walnut kernels, though the largest in the East. I find Philadelphia and New York more satisfactory.

The outlook for the 1934 black walnut crop in this section is most promising. A dry spring was favorable to a good set of nuts, while plenty of rain during the summer guarantees good size. Prices will probably be satisfactory, due to the extreme drought in the West and the labor situation already referred to.

At this point I shall digress from the subject assigned me. The following matter may be left off the record, at your discretion.

a. In my 1932 report I made mention of several promising black walnut seedlings found in this locality. Samples of the nuts of the parent trees of the 1931 crop have been kept to the present time. All have deteriorated to a greater or lesser degree except the Stanley, which is as sweet and good as when gathered. The Stanley and Caldwell are precocious as grafted trees.

The Bowman seedling tree, which was reported as most precocious, is continuing its record of not having missed a crop since its third season from seed. It must be reported, however, that a two-year-old graft of this tree has not borne, as yet.

b. One thing of interest concerning the black walnut that has been observed is the scarcity of the walnut web worm this season, none having been observed by the writer up to September 1st. Is this a general or a local condition?

The year of the Geneva convention, 1931, was the worst ever observed by the writer in this respect. Do web worms occur in cycles, or do other conditions govern their appearance?

c. The injury caused by the melting of grafting and coating waxes by the hot sun is well known. Last spring an attempt was made to overcome the difficulty by painting the waxed surface with aluminum bronze paint. The experiment was a complete success, as even straight paraffine failed to melt beneath the aluminum coating during the hottest summer here on record. English walnut grafts so protected were more than usually successful. Reflection of the sun's rays by the bright surface undoubtedly lowered the temperature to below the melting point of the paraffine. This lowered temperature was also doubtless beneficial to the life processes of the graft union.

Direct coating of the trunks of newly set trees with the aluminum paint, without the use of wax, was also tried with satisfactory results. Applied direct to the dormant buds of the sweet cherry, however, it proved toxic, as the buds never developed. This was no doubt due to the bronzing liquid rather than to the aluminum.

The material is very easily applied, either with a brush or spray, and makes a silvery, impervious and very durable coating. It should be completely effective as a preventative of sun-burn of the bark of tender species, especially to cover the creosote applications sometimes used by tree surgeons. Such black coverings often defeat their purpose in the hot sun by killing the living tissues by the absorption of the sun's heat.

At the present time manufacturers are being corresponded with looking to the development of a bronzing liquid that shall be non-toxic to buds.

Now if some investigator will come forward with a non-toxic, water soluble coating material for the roots of nursery stock, Professor Neilson's dream will be fully realized.

Last year Mr. Homer Jacobs of the Davey Tree Expert Company gave us a very excellent report of his company's experiments with various coatings used in connection with the moving of large trees. It is to be hoped that they will add aluminum bronze paint to the list of materials tested, and give us the benefit of their findings at our next convention.

In the meantime, the private experiments mentioned will be continued.

d. A publicity stunt for the furtherance of nut culture is being tried in the way of vases filled with sprays of Oriental chestnut, with opening burrs, displayed in the windows of our leading department store, with a showing of fall goods. A card gives credit for the display.

Judging from the enthusiasm with which the store manager and the window dresser received the suggestion, it would appear that the idea could be used almost anywhere. If living sprays were not available, a display of nuts hardy to the locality could doubtless be used in the same manner. Cards identifying the nuts and stating they were grown (or could be grown) locally would add to the interest.

It is a matter of deepest personal regret that, due to a combination of New Deal, raw deal and general lack of a great deal, I am unable to be with you other than in spirit.

I salute you.