Macadamias: too attractive for Hawaii
February 7, 2023 at 11:27 AM ,
Der AUDITOR
Hawaii cannot compete
Australian Macadamias anticipates at 24% rise in global inshell production to 300,213 mt in the December 2022 market report. While Australia’s own production only rose by a moderate 3%, sharp increases have been observed in South Africa, Kenya and China. SAMAC may have initially estimated production in South Africa at 57,723 mt but has revised this figure upwards to 70,139 mt, which is 31% up on the 53,320 mt produced in 2021. Production also rose by 55% in Kenya, where farmers are profiting from high return rates, which are prompting many to switch from coffee to macadamias as local media report. Illegal smuggling is, however, a problem.
Although China officially reckons that production nearly doubled to 65,000 mt, reports indicate that the real figure comes closer to 50,000 mt. Despite the floods witnessed last year, Australia’s production is nominally up at 52,974 mt. Hawaii is the only place, where production declined in 2022. As media reports indicate some local processors have stopped purchasing from local producers and now rather rely on cheaper imports from South Africa and Kenya. Fear is that the international supply glut will continue to spell bad news for local production.
|
Macadamia production, inshell, in mt |
|||
|
Country |
2021 |
2022 |
Diff. |
|
South Africa |
53,320 |
70,139 |
31% |
|
Kenya |
42,000 |
65,000 |
55% |
|
China |
32,000 |
62,500 |
95% |
|
Australia |
51,500 |
52,974 |
3% |
|
Others |
62,600 |
49,600 |
-23% |
|
Total |
241,420 |
300,213 |
24% |
|
Australian Macadamias, SAMAC |
|||
Sharp rise in US imports
Australian Almonds further notes that global demand for macadamias is still on the rise. Imports to the top five kernel markets rose by 16% to 28,160 mt between October 2021 and September 2022 as compared with the same period in 2020/2021. Yet, there is a difference as growth was only noted in imports to the USA, Europe and Japan and China/Hong Kong, whereas shipments to Australia’s domestic market dropped.
Driven by attractive prices and the decline in production in Hawaii import demand has accelerated in the USA in 2022/2023. According to the USDA Economic Research Service (ERS) the United States imported 46.555 million lbs (21,117 mt) of fresh and dried macadamia nuts worth USD 100.658 million between July and November 2022. While the import volume has more than tripled on the 9.873 million lbs (4,478 mt) recorded in the same period in 2021, the import value has risen by a more moderate 77% on the USD 56.849 million registered in the same period in 2021. South Africa and Kenya are the most important suppliers for the US by far and have gained market shares in 2022/2023. They held market shares of 40.2% and 31.3% respectively in the prior four marketing years 2018/2019-2021/2022.
In the total marketing year 2021/2022, Kenya, however shipped more macadamia nuts the US than South Africa (12.583 million lbs vs 10.339 million lbs) and although South Africa has taken the lead this year so far, the race is certainly still on. Australia, Malawi and Guatemala have also stepped up sales sharply this year so far. Brazil is the only country, which has shipped less macadamia nuts to the United States.
|
US macadamia nut imports in 1,000 lbs |
|||
|
Origin country |
2021/22 |
2022/23 |
Diff. |
|
South Africa |
3,155 |
18,682 |
492% |
|
Kenya |
4,456 |
13,541 |
203% |
|
Australia |
24 |
3,905 |
16,171% |
|
Malawi |
939 |
6,261 |
567% |
|
Vietnam |
- |
1,919 |
- |
|
Guatemala |
532 |
1,507 |
183% |
|
Brazil |
705 |
585 |
-17% |
|
Rwanda |
19 |
46 |
142% |
|
Costa Rica |
43 |
44 |
2% |
|
Central African Republic |
- |
36 |
- |
|
Others (Mexico) |
- |
24 |
- |
|
Total |
9,873 |
46,550 |
371% |
|
USDA ERS, macadamia nuts, fresh or dried, Jul-Nov |
|||
View more
- price charts for nuts, dried fruit, grains, oilseeds and more
View related articles
