The macadamia industry expects production to grow in 2023. Currently, harvests are underway in the most important producing countries and the first cautious estimates are making the rounds, as reported by the experts at OLAM, among others. According to these forecasts, the world crop could increase by almost 12%, and an average annual growth rate of 11.3% is also predicted for the coming years - this would bring the global supply to 500,000 mt by 2027. One problem farmers in all growing countries are struggling with is the persistently low producer prices; processors are also watching the situation with great caution, OLAM reports.
Demand on the rise
The 2023 production estimates for South Africa are between 76,000 and 78,000 mt, which would represent an increase of at least 8% in any case. Australia is also expected to harvest 9.5% more than in 2022, and during the current harvesting process, growers report no problems in terms of quality. For Kenya, the estimated production growth for 2023 is 8.5%, and after the export ban on raw macadamia nuts was lifted, exports should also experience an upswing. However, the quality of the nuts needs to be closely monitored.
The low price level worries growers, but attracts buyers. Especially from China, there has been a lot of buying interest since February and the market is slowly starting to recover. Market players are therefore cautiously optimistic for the future and also hope that prices will soon reach a level that is acceptable to them.