A farmer in Umm al-Hanata village, near Jalawla in Diyala Governorate, pulls peanut plants from the soil during the autumn harvest. The area is one of the few in Iraq where peanuts successfully grow in sandy terrain. Photo by 964media.
Diyala
Farmers in Jalawla harvest rare peanut crop as dollar rise boosts demand
DIYALA — Farmers in this governorate’s Jalawla district are harvesting their peanut crop, a rare but resilient Iraqi product that thrives in sandy soils. Growers say the changing dollar exchange rate often determines demand for their locally grown peanuts, as higher exchange rates make imported goods more expensive and shift attention to domestic produce.
“We farmers sometimes benefit from the rise of the dollar because it makes our product more desirable,” farmer Luay Shakir told 964media while overseeing his harvest. “Peanuts don’t grow everywhere in Iraq, but for reasons only God knows, they succeed here in Jalawla and in Husaybah east of Ramadi.”
In Iraq’s informal currency market, the U.S. dollar trades above the official rate. As of Oct. 24, 2025, one dollar sold for around 1,410 dinars compared with the Central Bank’s official rate of 1,300.
Shakir said planting begins in May, when farmers soften the soil for surface-level seeding. “We make irrigation channels and use fertilizers bought from the market, not from the government,” he said. “The harvest begins in October. In the past, we exported to Iran at good prices, but currency differences ended that possibility.”
Harvesting is a cooperative effort between farmers and shepherds. “Shepherds pull up the plants, separate the peanuts, and return them to the farmer in exchange for the stalks, which they use as feed,” Shakir said. Some farmers now use machines for harvesting and cleaning, while stalks still go to livestock.
Jalawla Agriculture Office director Diaa Salem said peanut cultivation covers about 1,000 dunams, each producing roughly one ton sold for about 850,000 dinars ($603). “There are more suitable sandy areas for expansion along the Diyala River,” he said, noting that Jalawla remains the only area in Diyala where peanuts are cultivated.
He said the local variety is known for its superior flavor but faces competition from imported peanuts. “The reduction in planted areas is due to the crop’s long growing period, special care requirements, and the decline in river water levels,” he said. “However, our soil is ideal, and this crop has been part of Jalawla’s identity for more than three decades.”
Trader Taha al-Mashaikhi said peanut farming supports local employment. “Each farmer employs around ten families during the season. Everyone benefits — even animals, because the plant is rich in protein and fats,” he said. “We buy the peanuts, separate the fine product from the coarse, and provide work for about 35 families. A ton sells for between 850,000 and 900,000 dinars, and despite difficulties at checkpoints when transporting to other parts of Iraq, this crop remains a livelihood for many.”