{"id":21432,"date":"2024-10-24T13:55:57","date_gmt":"2024-10-24T13:55:57","guid":{"rendered":"https:\/\/www.selinawamucii.com\/news\/?p=21432"},"modified":"2024-10-24T13:57:17","modified_gmt":"2024-10-24T13:57:17","slug":"the-south-africa-macadamia-sector-mulls-diversifying-exports-outside-china","status":"publish","type":"post","link":"https:\/\/www.selinawamucii.com\/news\/2024\/10\/24\/the-south-africa-macadamia-sector-mulls-diversifying-exports-outside-china\/","title":{"rendered":"The South Africa macadamia sector mulls diversifying exports outside China"},"content":{"rendered":"\n<p>The South Africa macadamia sector needs to diversify&nbsp;<a href=\"https:\/\/www.selinawamucii.com\/?produce=south-africa-macadamia-nuts\"><u>exports<\/u><\/a>&nbsp;away from China to avoid disruptions as happened in 2015, industry experts have warned.<\/p>\n\n\n\n<p>Speaking at the Macadamias South Africa (SAMAC) summit in September 2024, Professor Ferdi Meyer of the Bureau for Food Agricultural Policy cited China\u2019s rising acreage.<\/p>\n\n\n\n<p>Meyer hinted at uptick cultivation of macadamia in China in 2024 on&nbsp;<a href=\"https:\/\/www.farmersweekly.co.za\/agri-news\/south-africa\/macadamia-growers-urged-to-not-rely-on-china-only\/\"><u>300,000 hectares&nbsp;<\/u><\/a>versus South Africa\u2019s 78,000 hectares.<\/p>\n\n\n\n<p>As China receives 40% of South Africa\u2019s macadamia exports, as of 2022, market disruption would be inevitable if the destination improved its production.<\/p>\n\n\n\n<p>Mitigation suggestions at the SAMAC conference are to cap supplies to the key destination at 33% so as to absorb trade shocks. This according to Jillian Laing, the Chief Executive of the World Macadamia Organization.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-local-market-and-other-destinations\">Local Market and Other Destinations&nbsp;<\/h3>\n\n\n\n<p>Exploring new destinations should go together with exploiting the local market, given that exports do not exhaust all production.<\/p>\n\n\n\n<p>In 2020, for instance, South Africa shipped<a href=\"https:\/\/www.elsenburg.com\/wp-content\/uploads\/2024\/07\/sibulali-2021-he-economic-contribution-of-the-macademia-industry-in-south-africa.pdf\"><u>&nbsp;29,604 tonnes<\/u><\/a>&nbsp;&nbsp;or 61% its harvest, totaling 48,295 tonnes.<\/p>\n\n\n\n<p>The local industry is therefore critical for the utilization of the 39% that remains after exports.&nbsp;While&nbsp;<a href=\"https:\/\/proagri.co.za\/macadamia-nuts-the-future-of-high-value-crop-farming\/\"><u>7%<\/u><\/a>&nbsp;of the <a href=\"https:\/\/www.selinawamucii.com\/foods-that-start-with-m\/\">raw macadamia nuts<\/a> undergo local consumption, the rest enjoys use in the processing industries to make confectionery.&nbsp;<\/p>\n\n\n\n<p>In its part, the export base is a segmentation of North America, the Middle-east, the Far-east and Western Europe.&nbsp;<\/p>\n\n\n\n<p>Most experts at the SAMAC conference bet on the Middle-east as the \u201csweet spot\u201d to trial due to proximity.<\/p>\n\n\n\n<p>In short, the focus is now turning on diversifying South Africa&#8217;s macadamia exports from China to elsewhere. And as the data below indicates, this is possible, given that some markets buy more of Pretoria\u2019s shelled nuts than China does.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-south-africa-macadamia-nuts-statistics\">South Africa Macadamia Nuts Statistics<\/h2>\n\n\n\n<p>Between 1991 and 2022, South Africa\u2019s macadamia cultivation outstripped all other nut crops in growth by doubling production 20 times over. By 2022, production had reached&nbsp;<a href=\"https:\/\/proagri.co.za\/macadamia-nuts-the-future-of-high-value-crop-farming\/\"><u>68,522 metric tonnes<\/u><\/a>, up from 1991\u2019s 1,211 metric tonnes, according to Pro Agri. Acreage has also enjoyed a similar expansive growth since 2016, culminating at&nbsp;<a href=\"https:\/\/www.engineeringnews.co.za\/print-version\/s-africas-macadamia-industry-may-see-substantial-losses-as-chinese-exports-fall-through-2015-07-22\"><u>78,000 hectares<\/u><\/a>&nbsp;in 2024. &nbsp;Ideally, the country enjoys advantageous export trade because of links to big consumption markets such as China and the United States.<\/p>\n\n\n\n<p><strong>Is South Africa the biggest exporter of macadamia<\/strong>?&nbsp;<\/p>\n\n\n\n<p>South Africa has been leading the world in macadamia exports since 2015. In 2022, the country exported<a href=\"https:\/\/oec.world\/en\/profile\/hs\/macadamia-nuts\"><u>&nbsp;$291 million<\/u><\/a>&nbsp;worth of fresh or dried macadamia nuts. Only Australia at $214 million and Kenya at $109 million came near, according to OEC\u2019s data.<\/p>\n\n\n\n<p><strong>In which macadamia nut segments does South Africa enjoy most destination market diversity<\/strong>?\u00a0<\/p>\n\n\n\n<p>It is in shelled nuts that South Africa enjoys most market diversity as the U.S., rather than China, claims the biggest share at&nbsp;<a href=\"https:\/\/www.elsenburg.com\/wp-content\/uploads\/2024\/07\/sibulali-2021-he-economic-contribution-of-the-macademia-industry-in-south-africa.pdf\"><u>25%<\/u><\/a>&nbsp;of imports, as of 2020. For nuts-in-shell, an area where China controls 35% of imports from South Africa as of 2020, options are few. These include such markets as Hong Kong , which commanded 42% of imports in 2020. There are also Vietnam, Germany and Kenya, the last two claiming<a href=\"https:\/\/www.elsenburg.com\/wp-content\/uploads\/2024\/07\/sibulali-2021-he-economic-contribution-of-the-macademia-industry-in-south-africa.pdf\"><u>&nbsp;1%&nbsp;<\/u><\/a>of the import market share apiece in 2020.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The South Africa macadamia sector needs to diversify&nbsp;exports&nbsp;away from China to avoid disruptions as happened in 2015, industry experts have warned. Speaking at the Macadamias South Africa (SAMAC) summit in September 2024, Professor Ferdi Meyer of the Bureau for Food Agricultural Policy cited China\u2019s rising acreage. Meyer hinted at uptick cultivation of macadamia in China&#8230;<\/p>\n","protected":false},"author":3,"featured_media":21435,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[2],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v16.3 (Yoast SEO v20.5) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>The South Africa macadamia sector mulls diversifying exports outside China - Selina Wamucii | Food &amp; Agriculture News<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.selinawamucii.com\/news\/2024\/10\/24\/the-south-africa-macadamia-sector-mulls-diversifying-exports-outside-china\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The South Africa macadamia sector mulls diversifying exports outside China - Selina Wamucii | Food &amp; Agriculture News\" \/>\n<meta property=\"og:description\" content=\"The South Africa macadamia sector needs to diversify&nbsp;exports&nbsp;away from China to avoid disruptions as happened in 2015, industry experts have warned. 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