New Mexico grew about a third of the nation’s pecans in 2024, but a federal proposal published Monday would remove the state’s guaranteed seats for pecan shellers on the board that runs the industry’s marketing order.

The Trump Administration’s U.S. Department of Agriculture’s Department proposed rule (91 FR 70809, Docket AMS-SC-25-0881) would merge the American Pecan Council’s three regional sheller districts into one national district. It would also require monthly reports on pecans traded between handlers and add penalties for late assessment payments.

Growers, shellers and buyers in Doña Ana, Chaves, Luna, Otero, Sierra and Lea counties have until Dec. 9, 2026, to comment.

What USDA is proposing

The Council voted 14–0 on Aug. 14, 2025, to recommend the changes, according to the proposal. USDA says the number of shellers has dropped from 50 in 2016 to fewer than 30 as of August 2025, leaving sheller seats hard to fill.

One national sheller region. Today, the Eastern, Central and Western regions each get two sheller seats: one for a sheller handling more than 12.5 million pounds a year and one for a smaller sheller. The proposal opens all six seats to any qualified sheller, regardless of location or size. Staggered two- and four-year terms would follow.

Monthly transfer reports. Handlers who pass pecans to another handler would report each month instead of once a season. The report would add the weight and type of inshell pecans moved. USDA notes transfers usually run November through February.

Late-payment penalties. Assessments unpaid 30 days after the due date would draw a one-time 5% charge, plus 1% interest per month on the unpaid balance. On a $1,000 assessment, that is $50 up front, then about $10.50 a month.

The National Pecan Shellers Association supported the sheller change, USDA said.

Why it matters in New Mexico

New Mexico ranked second in the nation in 2024 with 84.8 million pounds, 32% of U.S. production, worth $167.1 million at $1.97 a pound, according to USDA’s National Agricultural Statistics Service.

Arizona ranked third at 16.5%. Together, the two Western states grew nearly half the U.S. crop.

Under the current rules, the Western region (Arizona, California and New Mexico) is guaranteed two of the Council’s six sheller seats.

Under the proposal, it would be guaranteed none. Western shellers would compete in a single nationwide vote of all shellers.

The seats are already hard to fill. In February 2026, USDA’s call for nominees listed open small-sheller seats in all three regions, including the West.

The change could cut both ways. Supporters say open seats mean fewer vacancies and more sheller voices at the table. But with no guaranteed Western seat, the region could end up with fewer shellers on the Council than its share of the crop would suggest.

Southern counties carry the state’s crop

Doña Ana County alone produced 55 million pounds in 2024, about 21% of the national crop, making it the country’s largest pecan-producing county, according to NMSU extension economists. Every southern county with published figures is on the list below.

In Otero County, bearing acreage held at 1,700 acres from 2022 through 2024, while output fell from 2.93 million pounds in 2023 to 2.26 million in 2024. Local growers would see no direct change, but buyers and handlers there would face the new monthly transfer reports during harvest season.

NMSU economists estimate every $1 of pecan output generates about $1.80 to $2.00 in total economic activity in the region.

What stays the same for growers

Grower seats and grower regions would not change. New Mexico keeps its three Western grower seats, two for growers with 176 acres or more and one for smaller growers. USDA says the rule adds no industry cost beyond the late fees and interest.

Assessments are paid by handlers based on the weight of inshell pecans they handle. The penalties would hit only handlers who pay late. Whether any of that cost reaches growers through prices paid at the scale is not addressed in the proposal.

The proposal follows a separate vote by growers on whether to keep the marketing order at all. USDA held that continuance referendum July 6 through Aug. 3, 2026; the order requires one every five years.

How to comment

Comments are due Dec. 9, 2026. Cite Docket AMS-SC-25-0881 and the Nov. 9, 2026, Federal Register, page 70809.

• Online: regulations.gov
• Email: MarketingOrderComment@usda.gov
• Mail: Docket Clerk, Market Development Division, Specialty Crops Program, AMS, USDA, 1400 Independence Ave. SW, STOP 0237, Washington, DC 20250-0237
• Questions: Jennie Varela, USDA marketing specialist, (863) 324-3375, Jennie.Varela@usda.gov

Comments are posted publicly without change. Background on the state’s industry is on NMSU’s pecan page.

Sources

• Proposed rule: Pecans; Changes to Membership and Handling Requirements, 91 FR 70809 (Federal Register)
• Full text, Federal Register issue of Nov. 9, 2026 (GovInfo)
• New Mexico Pecan Production and County Estimates, USDA NASS, May 2025
• 7 CFR 986.45, American Pecan Council membership
• USDA Seeks Nominees for the American Pecan Council, Feb. 23, 2026
• USDA to Conduct Vote on Continuance of Pecan Marketing Order, June 12, 2026
• Agriculture in Doña Ana County, NMSU extension economics
• New Mexico Led U.S. Pecan Production After Storm Hit Georgia, Associated Press
• The New Mexico Pecan Industry Today, NMSU

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