1. Peel peaches: drop peaches in a pot of boiling water for 10 seconds. Immediately remove with a slotted spoon and place in a bowl of ice water. The transition from hot to cold will cause the peel to come off easily using your fingers. Peel, pit, and chop the peaches over a large pot so you don't lose any of the juice. There should be 8 cups of chopped peaches.
2. Put chopped peaches in the pot used for peeling and add sugar, nutmeg, and ginger. Bring to a boil over high heat, reduce to low, and let simmer for 1 1/2 hours uncovered, stirring frequently to keep the mixture from burning. The butter is done when some of the peaches have broken down and some are soft and still chunky, but the mixture is thickened and coats the back of a spoon like a jam. Be sure to watch carefully, stirring well, during the last 30 minutes ofcooking. Stir in vanilla. Taste for sweetness and spices and adjust as needed.
3. Have ready 4 (8 oz.) jars and lids in simmering water (see "Canning Step by Step"). Divide peach butter among the 4 jars, leaving at least a 1/2-inch space at the top. Seal tightly and refrigerate for up to 3 months or processin a hot water bath for 12 minutes and keep in a cool, dark spot for up to 8 months.
Source: Hannaford fresh Magazine, September - October 2011