South Africa is set to deliver another bumper crop of macadamia nuts this year, surpassing last year’s total yield of 68 840t dry-nut-in-shell at 1,5% moisture, to reach nearly 78,000 tons. Despite this, as global supply and demand works against farmers, prices are set to drop to a 10-year low. On average, farmers are receiving US$8,25/kg (about R152/kg) of kernel for the season. This is down from the average of US$11,50 (R188/kg at the 2022 exchange rate) last year, and US$16/kg (R236/kg at the 2021 exchange rate) the year prior.
Allen Duncan, CEO of Green Farms Nut Company in Mpumalanga, said the market had weakened over the past 18 months. He added that South Africa’s macadamia industry was still relatively young at only around 50 years of commercial production. As a result, there were significant knowledge gaps that, if filled, would allow macadamia farmers to achieve higher yields and improve their income per hectare.
Source: farmersweekly.co.za