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Starting Macadamia Nuts Farming Business in South Africa – Business Plan (PDF, Word & Excel)

Posted by BizBolts | All Articles , Business Ideas , Business Plans , Crop Farming

South Africa’s fertile landscapes and favorable climate have made it a prime location for the cultivation of macadamia nuts, establishing the country as a significant player in the global macadamia nut industry. Macadamia nuts, renowned for their buttery flavor and numerous health benefits, have witnessed surging global demand, transforming them into a sought-after commodity with lucrative returns. The allure of substantial profits and a thriving market makes macadamia nut farming an enticing venture for those looking to capitalize on South Africa’s agricultural potential. As one of the world’s leading producer of macadamia nuts, the country boasts both the expertise and resources needed to cultivate this lucrative crop efficiently. For those with a passion for agriculture and an interest in sustainable farming practices, establishing a macadamia nuts farm in South Africa presents an exciting opportunity to contribute to the growing demand for these delectable nuts. Although it may be a long-term project giving you revenue after 4+ years, it is worth the investment. Growing macadamia nut trees for both local and export markets  will give you good returns overtime. The consumption of healthy food such as  fruits, vegetables and nuts is likely to increase over the coming years. It is evident that this is a business that is worth exploring. This article will outline how to start a macadamia nuts farming business in South Africa, and the macadamia nuts farming business plan – PDF, Word and Excel.

LOCATION & LAND

Where you locate your macadamia nuts farm is an important decision to make before you start your operations. Consider proper site selection and location with relation to markets, labour, utilities, and future expansion. These factors will make a difference in how profitable your business will be. Also consider the land, and labour supply when setting up your macadamia nuts farm. It is imperative that you locate your farm where transporting your nuts to your target market will not be difficult, and where there are a lot of supporting services for macadamia farming. In South Africa, the primary production area for macadamia nuts is Mpumalanga (Hazyview to Barberton). The other major production areas for macadamia nuts in South Africa are Limpopo (Tzaneen and Levubu), and coast of KwaZulu Natal. Macadamia trees require a hot subtropical climate without much humidity. The most ideal provinces for Macadamia nuts farming in South Africa are Mpumalanga, KwaZulu-Natal and Limpopo. Your macadamia nuts business plan should cater for the costs of purchasing or leasing the land. 

EQUIPMENT FOR A MACADAMIA NUTS FARMING BUSINESS

You need various equipment for your macadamia nuts orchard business. The equipment you need depends on the size of your operations. Some of the important equipment includes, irrigation equipment, fertiliser spreaders, tractors, dehuskers, dryers and vehicles to name a few.  The other needs will have to do with power generation as some of the operations such as irrigation will need power. You can incorporate the use of fuel-powered pumps also or leveraging on solar energy. You’ll also need to have to stand-by generators to cushion yourself against lengthy power outages. Your macadamia nuts business plan should cater for the costs of purchasing all the relevant equipment that are required for your business.

FARMING INPUTS FOR GROWING MACADAMIA TREES

To start the macadamia nuts business, you need young macadamia trees. There are several macadamia trees nurseries in South Africa which can supply you with young trees to start your business. The macadamia trees will need about 4-5 years from the time of planting for them to start bearing nuts. Once they start bearing the nuts, they can continue doing so every year for over 40 years, thus you will continue enjoying the profits for many years to come. There are different varieties of macadamia trees cultivars in South Africa. The most popular macadamia tree cultivar in South Africa is the Beaumont/695 variety. There other macadamia varieties used in South Africa include the A4, 816, 814, Nelmak 1 &2, 842, eaau, Kakea, Kau, Purvis, Pahala, Mauka and Makai. 

Fertilizers are required to ensure soil fertility and support macadamia nuts growth. For effective growth, macadamia nuts require plant nutrients like nitrogen, phosphorus and potassium as well as sulphur, magnesium and calcium. These nutrients should be provided via fertilisers and manure to promote growth of the macadamia nuts.  Herbicides for effective weed control are important when growing macadamia trees. Fungicides and insecticides are essential  for protection of your macadamia trees against pests and fungi.

The costs of acquiring all these inputs should be included in your macadamia nuts farming budgets.

Effective irrigation is a fundamental component of a successful macadamia nuts farming business in South Africa. Macadamia trees require consistent and well-managed water supply to thrive and produce high-quality nuts. South Africa’s climate, characterized by periodic dry periods, makes proper irrigation even more critical for ensuring the health and productivity of your orchard. To begin, it’s essential to choose an appropriate irrigation system for your macadamia farm. Drip irrigation is often considered the most efficient method for macadamia nut cultivation, as it delivers water directly to the root zone, minimizing water wastage and reducing the risk of diseases caused by excessive moisture on leaves. Invest in a reliable and well-designed irrigation system that can be adjusted to meet the specific water needs of your orchard, which can vary based on factors like soil type and climate conditions. Maintaining an optimal irrigation schedule is paramount. Macadamia trees require a consistent supply of water, especially during critical growth stages and dry periods. Monitor soil moisture levels regularly and adjust your irrigation schedule accordingly. Avoid over-irrigating, as this can lead to root rot and other issues. Utilize weather data and soil moisture sensors to help fine-tune your irrigation practices and ensure the right balance between water conservation and tree health. Additionally, consider implementing water-saving techniques such as mulching and proper soil management to retain moisture and reduce evaporation. Investing in water-efficient technologies and practices not only benefits your macadamia nut farm but also contributes to sustainable agriculture in the region.

PESTS AND DISEASE MANAGEMENT

One of the critical aspects of successfully starting a macadamia nuts farming business in South Africa is effective pest and disease management. Macadamia trees, like any other crop, are susceptible to various pests and diseases that can significantly impact yield and quality if not properly controlled. To ensure a healthy and productive macadamia orchard, it is essential to implement a proactive approach to pest and disease management. First and foremost, it’s crucial to regularly monitor your macadamia trees for signs of pests and diseases. This includes inspecting leaves, nuts, and the overall health of the trees. Early detection is key to preventing infestations from spreading and causing irreparable damage. Consider investing in pest traps and conducting routine scouting to identify any potential threats. Integrated pest management (IPM) is a sustainable approach that combines various strategies to control pests and diseases while minimizing the use of chemicals. Utilize biological control agents, such as beneficial insects and nematodes, to keep pest populations in check. Additionally, cultural practices like proper spacing between trees, mulching, and maintaining good hygiene in the orchard can reduce the risk of disease outbreaks. When necessary, use pesticides and ensure you apply them following recommended guidelines and with proper safety precautions. Choose pesticides that are specifically approved for macadamia nuts and consult with local agricultural extension services for guidance on their usage. Maintaining accurate records of your pest and disease management efforts will help you track progress and make informed decisions to protect your macadamia nut farm’s long-term sustainability.

HARVESTING MACADAMIA NUTS

Harvesting macadamia nuts is a pivotal stage in the lifecycle of your macadamia nut farm, and it demands a strategic approach to ensure optimal yield and nut quality. Timing plays a crucial role, as nuts should ideally be harvested when they have naturally fallen or can be gently shaken from the tree, typically during late summer and early autumn. The choice between mechanical and manual harvesting methods depends on your orchard’s size and resources, with mechanical shakers providing efficiency but requiring specialized equipment, while manual harvesting offers greater control over nut quality. Handling and storage practices are equally essential. It’s crucial to handle harvested nuts with care, ensuring that they are collected in clean containers and kept free from contaminants. Proper storage is vital to prevent mold or deterioration, requiring well-ventilated containers or drying sheds until processing. After harvesting, macadamia nuts need post-harvest processing to remove their outer husks or shells, which can be accomplished using specialized equipment like dehuskers and crackers. The aim is to obtain whole, intact kernels that meet market standards while maintaining rigorous quality control by removing any damaged or discolored nuts. Lastly, record-keeping of harvest dates, quantities, and any encountered issues, along with prioritizing safety measures for personnel involved in the process, ensures the overall success and efficiency of macadamia nut harvesting on your farm.

STAFF & MANAGEMENT

In order to have a successful macadamia nuts farming business, its important that you hire employees that are hardworking and efficient. Your employees should be passionate about agriculture in general. If you want to hit the ground running it is better to employ a team of people who already have experience in this kind of business. Your staff members should be able to grow, and diligently take care of your macadamia trees according to the required specifications. Inexperienced staff members need to get extensive training before they can be given important tasks. Depending on the size of your macadamia nuts orchard, the number of your staff will vary. Some of the required staff members include the farm manager and general farm workers. You can also hire part time workers as and when necessary eg during planting, harvesting etc. Your macadamia nuts business plan should cater for the salaries of all your employees.

BUDGETING AND FINANCIAL PLANNING

Budgeting and financial planning are essential components of starting and running a successful macadamia nuts farming business in South Africa. Establishing a clear and well-structured financial plan is crucial for managing your resources effectively and ensuring the long-term profitability of your orchard. To begin, create a comprehensive budget that outlines all the expenses associated with establishing and operating your macadamia nut farm. This should include costs such as land acquisition, tree planting, irrigation system installation, labor, pest and disease management, and ongoing maintenance. Be thorough in your estimates and allow for contingencies to account for unforeseen expenses. Consider seeking financial advice or consulting with experts in agriculture finance to help you create a realistic budget that aligns with your business goals. A well-prepared budget will serve as a roadmap for your operations, helping you allocate resources efficiently and make informed financial decisions.

In addition to budgeting, it’s essential to develop a financial plan that covers not only your initial investment but also your long-term financial goals. Consider factors such as expected revenue from nut production, market trends, and potential risks. Your financial plan should outline your strategies for managing cash flow, securing financing if needed, and reinvesting profits back into the business to foster growth and sustainability. Regularly review and update your budget and financial plan as your macadamia nut farm evolves. This will allow you to adapt to changing market conditions, optimize your resource allocation, and ensure that your business remains financially sound.

There is a large global demand for macadamia nuts produced in South Africa. Most of the macadamia nuts are produced for export. South African exports of macadamia nuts generate more than R5 Billion in revenue every year. Hong Kong, VietNam and China are presently the largest markets for macadamia nuts (in shell) originating from South Africa. Some of the macadamia nuts are also for local consumption with Spar, Pick ‘n Pay and Woolworths being the main buyers. The main use for macadamia nuts is for food. Macadamia nuts are rich in vitamins, minerals, fiber, antioxidants, and healthy fats. Macadamia nuts have a sweet taste and are a super source of energy. Macadamia kernels are sold as snack nuts , and can also be sold as chocolate-covered candy.  The shells and husks of macadamia nuts also have applications in the animal feed and cosmetic industry. 

IS A MACADAMIA NUTS FARMING BUSINESS A GOOD INVESTMENT?

There is a reasonable number of macadamia farmers with a large market share in South Africa. However, it is still possible for you to own your own macadamia nuts farming business. There is still enough room for you to set up your macadamia nuts farm in the country as the demand far exceeds the supply. Building your own macadamia nut business from scratch can be rewarding if done well. Investing in a macadamia nuts farm can be a profitable venture, but this will depend on many factors such as your target market as well as the efficiency of your operations. The set up costs of a commercial macadamia nuts farm are relatively high but the expected return and profits will cover all the costs and give you a good profit on your investment overtime. Apart from the obvious advantages of becoming financially independent and becoming your own boss, running a macadamia farming enterprise can be a rewarding way of uplifting your community. It’s also a good investment to leave for your children as macadamia trees continue bearing nuts for more than 40 years.

Planning is important when it comes to setting up any kind of business. Thus, you need to develop a business plan for growing macadamia trees. A well thought out business plan will help you in both the short term and long term. There are various risks associated with running a macadamia nuts farm just like with any other venture so your business plan should clearly outline the risks involved and ways to minimise them.  Also, a business plan will help you determine whether or not your business idea is feasible or not.

KEYS TO PROFITABILITY

Achieving profitability in your macadamia nuts farming business in South Africa hinges on several critical strategies. First and foremost, careful selection of macadamia nut varieties adapted to local climate and soil conditions is essential. High-yielding and disease-resistant cultivars can significantly boost your orchard’s productivity, a key factor in profitability. Efficient farm management practices, such as optimizing labor utilization and employing modern farming equipment, can help minimize operational costs and improve overall efficiency. Another pivotal aspect of profitability is irrigation management. Consistent and well-managed water supply ensures healthy tree growth and nut development. Moreover, vigilant pest and disease control, including integrated pest management strategies, can prevent crop losses and reduce the need for costly treatments. Market research is also crucial; understanding local and global demand, consumer preferences, and potential buyers will enable you to make informed decisions about when and where to sell your nuts for maximum profit. Maintaining high-quality standards for your macadamia nuts is imperative. Producing consistently sized, well-packaged nuts with low defects can command premium prices in the market. Diversifying your macadamia nut farming business by exploring value-added products, such as macadamia oil or confectionery items, can open up new revenue streams and reduce dependence on nut sales alone. Cost management is an ongoing endeavor; regularly reviewing your budget and seeking cost-effective solutions without compromising quality or sustainability is essential.

PRE-WRITTEN MACADAMIA NUTS FARMING BUSINESS PLAN (PDF, WORD AND EXCEL): COMPREHENSIVE VERSION, SHORT FUNDING/BANK LOAN VERSION AND AUTOMATED FINANCIAL STATEMENTS

For an in-depth analysis of the macadamia nuts business in South Africa, purchase our macadamia nuts business plan. We decided to introduce the business plans after noting that many South Africans were venturing into the macadamia production business without a full understanding of the industry, market, how to run the business, the risks involved, profitability of the business and the costs involved, leading to a high failure rate of their businesses.

Our business plan will make it easier for you to launch and run a macadamia nuts production business successfully, fully knowing what you are going into, and what’s needed to succeed in the business. It will be easier to plan and budget as the macadamia nuts production business plan will lay out all the costs involved in setting up and running the macadamia nuts farming business. The business plan is designed specifically for the South African market.

USES OF THE MACADAMIA NUTS PRODUCTION BUSINESS PLAN (PDF, WORD AND EXCEL)

The macadamia nuts production business plan can be used for many purposes including:

• Raising capital from investors/friends/relatives
• Applying for a bank loan
• Start-up guide to launch your macadamia nuts farming business
• As a macadamia nuts farming project proposal
• Assessing profitability of the macadamia nuts farming business
• Finding a business partner
• Assessing the initial start-up costs so that you know how much to save
• Manual for current business owners to help in business and strategy formulation

CONTENTS OF THE MACADAMIA NUTS FARMING BUSINESS PLAN (PDF, WORD AND EXCEL)

The business plan includes, but not limited to:

• Market Analysis
• Industry Analysis
• 15 Year Automated Financial Statements [ Income statements, cash flow statements, balance sheets, monthly cash flow projections (3 years monthly cash flow projections, the remaining years annually),break even analysis, payback period analysis, start-up costs, financial graphs, revenue and expenses, Bank Loan Amortisation]
• Marketing Strategy
• Risk Analysis
• SWOT & PEST Analysis
• Operational Requirements
• Macadamia nuts farming guide (Technical Details of how to plant, grow and harvest the macadamia nuts)
• Operational Strategy
• Why some South Africans in the macadamia nuts production business fail, so that you can avoid their mistakes
• Ways to raise capital to start your macadamia nuts farming business in South Africa
• Directory [Contact Details for South African suppliers of inputs (macadamia trees, fertilizers etc), contact details of macadamia nuts buyers, and contacts of macadamia nuts farming training companies in South Africa]

The Macadamia Nuts Farming Business Plan package consist of 4 files

• Macadamia Nuts Farming Business Plan – PDF file (Comprehensive – 104 pages)
• Macadamia Nuts Farming Business Plan – Editable Word File (Comprehensive – 104 pages)
• Macadamia Nuts Farming Business Plan Funding Version – Editable Word File (Short version for applying for a loan – 50 pages)
• Macadamia Nuts Farming Business Plan Automated Financial Statements – (Editable Excel file)

Testimonial 1

Many thanks to the BizBolts team for putting together a fantastic business plan, I could not have done this business plan on my own. I managed to get funding from investors to start my butchery business using your business plan.

Testimonial 4

The business plan was very helpful, you did a great job of taking ideas and putting them into words as well as pointing out other aspects of the business plan I wouldn’t have thought of. I got funding using your business plan and it’s now 4 months since I started my poultry business, and everything is going well.

Testimonial 5

The BizBolts poultry business plan led us down the path from start to finish. Contact details of suppliers of key requirements were included in the business plan. It helped us crystallize our strategy, and the business plan was well received by the bank.

Testimonial 6

It is with excitement and pleasure to inform you that I have been successful in securing a loan from my bank. This would not have been possible if not for the BizBolts Business Plan. Thank you for your help, my dreams are now coming true.

Testimonial 2

I am extremely pleased with the business plan and financial statements. The business plan is very detailed & it meets my requirements. I feel better equipped with tools that can help me secure funding.  I would have no hesitation of recommending your business plans to other people.

Testimonial 7

Thank you BizBolts for the business plan. I received the business plan immediately after payment, it was money well spent ! I was able to easily edit the business plan. After using the BizBolts business plan, I can wholeheartedly recommend their products and skills.

Testimonial 3

The business plan has a highly professional look and feel. The research really helps me look deep into the market that I am targeting, it’s well suited for the South African market. The business plan clearly outlined everything I need to start the business and the costs. It’s now easier to budget and plan. Thank you very much.

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BizBolts (Pty) Ltd is a business research company based in Johannesburg, South Africa. We sell prewritten business plans for various industries including livestock production, crop farming and retail businesses. BizBolts also publishes articles on business ideas, business news, business tips, personal finance, and entrepreneur profiles.

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Invest KZN South Coast

Macadamia Nut Farming in South Africa: A Comprehensive Guide

A comprehensive guide to macadamia nut farming in south africa.

Are you looking to explore the world of Macadamia Nut Farming? We have compiled a comprehensive guide to help you get started.

Macadamia nuts are one of the most sought-after crops in South Africa, and KwaZulu-Natal has long been known for its perfect growing conditions for this nut. As part of our commitment to driving economic development on the South Coast, South Coast Tourism and Investment Enterprise (SCTIE) is dedicated to helping farmers capitalise on this opportunity.

This guide will provide helpful tips and tricks about Macadamia Nut Farming for the KwaZulu-Natal region. From information about soil conditions, harvesting techniques, and marketing strategies, you’ll find everything you need to know about this wonderful nut. So let’s get started!

Overview of the macadamia nut farming industry

You’ve heard of macadamia nuts, but did you know that they can take up to twelve years to reach full production? That’s why macadamia nut farming requires a long-term commitment and knowledge of the industry.

Macadamia nut trees require a hot subtropical climate with consistent irrigation to achieve their best yield. Additionally, these trees do not reach their full production until many years after they are planted. To reap the most benefit from your macadamia nut trees, it’s important to stay on top of care and maintenance, including pest control and fertilisation plans.

But don’t be discouraged by the long time frame! The time and effort will pay off when you’re able to harvest fresh nuts from your orchards and enjoy the fruits of your labour. With a successful harvesting system in place for your farm, you will soon be able to sell large quantities of fresh macadamia nuts at profitable prices!

What is macadamia nut farming?

Macadamia nut farming is the practice of growing macadamia trees to harvest their nuts. Macadamia nuts have an outer covering that starts with a bright green color, and as it ripens, it transitions to a dark forest green color. Once the covering is fully ripe, it splits open to reveal a cream-colored nut with a buttery flavor. Additionally, macadamia nuts are known to have the toughest shell of all nuts, which requires a lot of force to crack open. They can also come in different colors such as green and brown.

Macadamia nut farming has become increasingly popular in recent years due to the high demand for the nut. The farming process typically involves planting the trees, providing appropriate irrigation and fertiliser, pruning, protecting them from pests, and then harvesting the nuts.

The macadamia nut tree is native to Australia but is now grown in a variety of locations worldwide to meet the global demand. In South Africa, macadamia nuts are primarily produced in Levubu and Tzaneen in the Limpopo Province, Hazyview in the Mpumalanga province as well as the coastal KwaZulu Natal. The industry in South Africa has grown significantly in value over time.

Macadamia trees require a hot non-humid subtropical climate. The South African macadamia industry is export-based, with the majority of the nuts being exported to Asia and Europe. The processing of macadamia nuts in South Africa involves hand-picking, dehusking, drying in in-shed systems, cracking, sorting, grading, and packaging.

Macadamia farming has become a popular business in South Africa due to its high profitability. The nuts have high demand both locally and internationally, with the latter being the primary market.

Overall, macadamia nut farming is a viable and lucrative business that is growing in popularity.

Benefits of macadamia nut farming

High-profit potential.

Macadamia nut farming has become increasingly popular in South Africa due to its high-profit potential. The crop is considered to be one of the most profitable crops in South Africa. Additionally, the demand for macadamia nuts has been consistently increasing, which has led to a rise in production and investment opportunities.

One of the key reasons for the high-profit potential of macadamia nut farming is the fact that the crop has a long lifespan, with trees having a commercial lifespan of between  40 to 60 years . Furthermore, macadamia nuts are considered to be a high-value crop due to their nutritional value and versatile uses in the food industry.

However, macadamia nut farming is a long-term investment that requires patience and capital. It can take up to 7 years for trees to start producing nuts, and the initial investment cost can be quite high. Nevertheless, the potential for high returns has led to an increasing number of farmers investing in macadamia nut farming, particularly in the KwaZulu-Natal region of South Africa.

Overall, macadamia nut farming is a high-profit potential crop in South Africa due to its long lifespan, high-value crop status, and increasing demand. While it requires a significant investment, the potential for high returns makes it an attractive investment opportunity for farmers.

Wide Variety of Products to Make and Sell

The versatility of macadamia nuts means they are an ideal crop for producing a wide variety of products. Macadamia nuts can be used to make a range of products, including but not limited to oils, butter, nut milk, nut-based flour, nut spreads, and even cosmetics.

The use of macadamia nut oils and butter in the food industry has become increasingly popular due to its high nutritional value. The oil is rich in antioxidants and is considered to be one of the most heart-healthy oils available. Additionally, it has a mild flavour that makes it ideal for use in a variety of recipes.

Macadamia nut flour is an excellent low-carb alternative to wheat flour and is easy to make. By grinding up macadamia nuts in a food processor, you can create a gluten-free flour that is high in fiber and healthy fats. This flour can then be used in baking and cooking, as well as to make nut-based desserts such as nut muffins and pancakes.

Macadamia nut spreads are also a popular product made from macadamia nuts. By blending macadamia nuts with other ingredients, such as dates and cocoa, you can create a creamy spread with a delicious nutty taste. This spread can then be used as a topping on toast, crackers, and other snacks.

Finally, macadamia nuts are also used to make a range of cosmetics and personal care products. They contain high levels of tocotrienols which is a form of vitamin E, which is beneficial for skin, hair, and nails. Macadamia nut oils, butter, and creams are often used in the cosmetics industry due to their moisturising and nourishing properties.

Overall, macadamia nut farming is a viable and profitable business with a wide variety of potential products to be made and sold. From baking and cooking to cosmetics and personal care, macadamia nuts are an incredibly versatile crop with multiple uses.

High Nutritional Value

Macadamia nuts are highly nutritious and are a great addition to any diet. They are naturally low in sugar and carbohydrates and are rich in essential nutrients such as dietary fiber and antioxidants that help reduce the risk of or manage conditions like cardiovascular disease, diabetes, and digestive health. They are also an excellent source of protein, which is essential for muscle growth and repair. Macadamia nuts are also rich in healthy fats, making them a great snack for those looking to increase their fat intake.

In addition to being a great source of macronutrients, macadamia nuts are also rich in micronutrients like calcium, iron, and zinc. These nutrients are essential for maintaining healthy bones, skin, and hair. Macadamia nuts are also high in antioxidants, which help protect the body against damage from harmful free radicals.

One of the most significant health benefits of macadamia nuts is their ability to reduce the risk of heart disease. Studies have shown that regular consumption of macadamia nuts can help lower cholesterol levels, which is a major risk factor for heart disease. In addition, the healthy fats found in macadamia nuts may help improve blood pressure, which is another risk factor for heart disease.

Macadamia nuts are highly nutritious and offer a wide range of health benefits. They are rich in essential nutrients, healthy fats, and antioxidants, making them an excellent addition to any diet. Their ability to reduce the risk of heart disease and improve overall health makes them a great choice for anyone looking to improve their health.

Factors to Consider Before Starting a Macadamia Farm

If you are considering starting a macadamia nut farm, there are a few key factors to keep in mind.

Water Requirements

The macadamia tree requires a great deal of water when it is young. Depending on the area, rainfall may not be sufficient for the macadamias; it might require additional irrigation. Also, consider whether having a larger farm might require specialised irrigation equipment and/or techniques.

Soil Conditions

It is vital to consider soil characteristics such as fertility, pH levels, organic content, and water retention. Macadamias prefer deep, fertile, well-drained soils with a pH of 5.0-6.5; it is important to consider soil samples when planning your farm and selecting the land you intend to use for your trees. It is also important to ensure that the soil in the macadamia nut farming area is well-drained. Drainage issues and waterlogging can lead to root rot, which can cause serious damage to the trees and reduce yields. With the right soil conditions, macadamia nut trees can thrive and produce a high yield of nuts that can be sold for a profit. Taking the time to properly prepare the soil will help macadamia nut farmers achieve their long-term goals and maximize their profits.

Wind Conditions

Macadamia nut trees can be very vulnerable to high winds and should only be planted in areas where winds are mild. Some cultivars though are known to be more wind-resistant than others. Poorly rated land or land exposed to strong winds should not be considered viable options for planting macadamia nut trees.

Considering these three factors will help point you in the right direction as you begin your journey into Macadamia Nut farming.

Climate Requirements

Macadamia nut trees require a specific climate to grow and produce high-quality nuts in South Africa. They thrive in a subtropical climate where it is hot, but not humid. The ideal temperature for macadamia nut farming is between 16 and 25C, and the nut quality is superior when grown at an altitude of 600m or lower.

Macadamia nut trees require a significant amount of rainfall, ideally between 60 and 120 inches per year.

South Africa’s subtropical climate is suitable for macadamia nut farming and by ensuring that the climate requirements are met, farmers can maximize their yields and produce high-quality macadamia nuts.

Macadamia nut cultivar

Macadamia nut farming in South Africa requires farmers to choose the right cultivar to grow on their farms. Beaumont is the most popular cultivar in South Africa, known for its high yields, hardiness, and ability to produce at a young age. Several cultivars are available, but the most important factor to consider is the cultivar’s adaptability to the farm’s climate and soil conditions. Some of the most widely planted macadamia nut cultivars in South Africa include Beaumont, A4, 816, 814, Nelmak 2, 695, and 842.

Farmers must choose the right macadamia nut cultivar for their farm in South Africa. By considering factors such as climate, soil conditions, and yield potential, farmers can maximize their yields and produce high-quality macadamia nuts.

Pest and disease control

Pest and disease control is a crucial aspect of macadamia nut farming. Macadamia trees are susceptible to various pests and diseases, which can significantly impact the yield and quality of the crop. Therefore, it is essential to implement effective pest and disease control measures to protect the trees and ensure a successful harvest.

One of the most common pests that affect macadamia trees is the macadamia nut borer. These insects tunnel into the nuts, causing extensive damage and reducing the quality of the crop.

In addition to pests, macadamia trees can also be affected by various diseases. Farmers can help prevent these diseases by implementing cultural practices such as proper irrigation and drainage, avoiding over-fertilization, and using disease-resistant cultivars.

Overall, effective pest and disease control is crucial for the success of macadamia nut farming. By implementing proper pest and disease control measures, farmers can protect their crops and ensure a bountiful harvest.

Harvesting and processing

Harvesting and processing macadamia nuts require careful planning and execution to ensure the highest quality of nuts.

The process involves several critical steps, including the following:

Harvesting: Macadamia nuts are harvested by either handpicking or mechanically shaking the trees. Once the nuts have been harvested, they are taken to the processing facility for further processing.

Dehusking: Once the nuts have been harvested, they are dehusked to remove the fibrous outer layer.

Drying: After dehusking, the nuts are dried to reduce the moisture content.

Cracking: Once the nuts are dried, they are cracked to remove the hard shell.

Sorting: After cracking, the nuts are sorted based on size, color, and quality.

With the right tools and equipment, farmers can ensure the successful harvesting and processing of the nuts. Following best practices and guidelines in harvesting and processing macadamia nuts can help farmers to produce high-quality macadamia nuts that meet the demands of the global market and ensure the sustainability of the macadamia nut industry in South Africa.

Legal Requirements

Macadamia nut farming in South Africa is subject to various legal requirements that farmers must comply with. These requirements include licensing, permits, and regulations related to the use of pesticides and other chemicals, as well as labor laws and environmental regulations.

Farmers must comply with regulations related to the use of pesticides and other chemicals on their farms. The use of certain chemicals is strictly controlled and may require permits or licenses. Farmers must also follow guidelines related to the safe handling, storage, and disposal of these chemicals.

Another important legal requirement for macadamia nut farmers in South Africa is compliance with labor laws. Farmers must follow regulations related to employment contracts, wages, and working conditions to ensure that their workers are treated fairly and legally. Failure to comply with these regulations can result in fines and legal action.

Macadamia nut farming in South Africa is subject to a range of legal requirements that farmers must comply with to ensure that their farms are run safely, ethically, and sustainably. By following these regulations and guidelines, farmers can ensure the long-term success of their farms and contribute to the growth and development of the industry in South Africa.

Marketing and selling macadamia nuts in South Africa

Marketing and selling macadamia nuts in South Africa involves the development of a well-planned strategy to reach customers and grow the brand. One of the primary channels through which macadamia nuts are sold is through large-scale retailers such as supermarkets and grocery stores. These retailers often require nuts to be packaged in specific quantities and with specific labeling requirements.

In addition to large-scale retailers, there is also a growing market for macadamia nuts through online channels. Many farmers and processors are now selling their products directly to consumers through e-commerce platforms and social media. This allows for greater control over the branding and marketing of the product, as well as the opportunity to develop a loyal customer base.

Another emerging market for macadamia nuts in South Africa is the nut butter market. Nut butter made from macadamia nuts is becoming increasingly popular among health-conscious consumers and is being sold in specialty stores and online.

Marketing and selling macadamia nuts in South Africa requires a multifaceted approach that includes traditional retail channels as well as emerging online and specialty markets. By developing a strong brand and marketing strategy, farmers and processors can take advantage of the growing demand for macadamia nuts both locally and globally.

In conclusion, Macadamia nut farming is an exciting industry with a bright future. As the South Coast Tourism and Investment Enterprise is committed to unlocking the full investment potential of this region and engaging with local and international role players, it’s clear that the KwaZulu-Natal (KZN) South Coast is the ideal place to invest in Macadamia nut farming. With the right support and guidance, this industry could be a great success for the region and beyond.

• https://www.agmrc.org/commodities-products/nuts/macadamia-nuts
• https://gardenerspath.com/plants/nut-trees/grow-macadamia/
• https://southafrica.co.za/macadamia-nuts.html
• https://themacadamia.co.za/2022/07/13/nut-variety-royalty-now-in-south-africa/
• https://www.albasini.co.za/albasini-macadamia-cultivars
• https://hillgro.co.za/trees/macadamia-trees/
• https://www.foodformzansi.co.za/learn-more-about-macadamia-farming/
• https://www.farmingportal.co.za/index.php/agri-index/68-crops/582-the-nuts-and-bolts-of-sustainable-macadamia-farming-in-south-africa

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The nuts and bolts of sustainable macadamia farming in South Africa

]Successful farmers run their operations like a business. They rely on intuition and experience but know when to seek advice and hire experts to handle the multiple aspects of farming. From drawing up a business plan, finding land and getting financed, to marketing your products and partnering with the right processor, farming isn’t all watching plants grow. It’s growing a business.

In South Africa, there is no better business than macadamia farming. South Africa is currently one of the biggest producers of macadamia nuts globally with 19 500 hectares across Limpopo, Mpumalanga and KwaZulu-Natal producing over 50 000 tonnes per year. As one of South Africa’s most profitable crops, macadamias can rake in about R375 000 per hectare given that 95% are exported to China , Europe, Canada and the US.

Many local banana and tobacco farmers are capitalising on the booming global market opportunities and plant fat diet trends. To meet the growing demand, 7,5 million trees were planted in 2016 and 2 000 hectares are added every year. But macadamia farming is not an overnight job. It is a 24/7 operation of patience, intuition and a fair bit of business acumen.

Macadamia saplings can take up to 18 months before they are ready to be planted after which the first crop can only be expected in four to five years. In the interim, farmers must keep track of everything from climate, soil and planting requirements to fertilisation, pest control, harvesting and storage.

“This industry takes grit, determination and hard work, but you’ll never regret it”, says Alan Sutton, Valley Macadamia Group chairman and macadamia farmer. “We’re seeing a global market growth of 33% per year and an insatiable market makes for attractive prices.”

Macadamia farming in a nutshell Most soil types are suitable for macadamia farming but must be drained and free from restrictive layers in the first meter of soil. Macadamia cultivars have different growth patterns and have specific planting and fertilisation guidelines to ensure optimum growth.

Macadamias flourish between 16 and 25°C and nut quality is superior when grown at an altitude of 600m or lower. The bulk of the crop is usually collected from March to July and only nuts that have fallen to the ground must be collected at least once a week to avoid quality loss and damage.

It costs about R100 000 per hectare to establish a macadamia orchard but crops are generally easy to deal with. Labour requirements are low and pests are limited and easily manageable. Getting your yield from farm to fork requires substantial technical, managerial, marketing and negotiation skills. Sustainable farming requires foresight and collaboration with seasoned farmers, processors and exporters to guarantee supply and quality consistency.

Choosing the right processor Meeting international standards are vital to the success and longevity of macadamia farming. Processors must implement quality checks every step of the way and ensure the highest BRC and HACCP standards . A strict grading criteria and quality guarantee will continue to open doors to international markets and have a positive impact on price.

With only 10 green fingers and 24 hours in a day, macadamia farmers need access to ongoing advice, shared knowledge and farming trends . Partner with a processor that knows how to address local farming and international market challenges with comprehensive market intelligence.

To deliver on superior quality and food safety requirements, processors have to invest in world-class processes and equipment . Make sure your processor and exporter is committed to quality checks every step of the way, from sorting, grading and drying, to packaging, labelling and export preparation.

The significant upfront investment can leave macadamia farmers cash-strapped. Ensure that the processor you partner with offers fast payment terms and consistently achieves the highest returns irrespective of market conditions.

Farming is first and foremost a business and macadamia farmers mean business. With a shared passion for superior quality and the continued support of every role player, farmers and the South African macadamia industry as a whole will continue to grow in global market share.

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Management strategy for establishing productive macadamia orchards

By Marne de Vries Head Horticulturist: Fruit and Nuts Agri Technovation

The macadamia industry is one of the few rapidly growing agricultural industries in South Africa, with an estimated 25 000 ha already established and a growth projection of between 2 000 and 2 500 ha per annum. However establishing a productive and valuable macadamia orchard can be challenging. The appropriate management systems and techniques can aid in the development of a highly lucrative orchard.

Key aspects that should be considered when planning a macadamia orchard includes the site, soil requirements, climate requirements, the selection of cultivar, land preparation, and plant population.

It’s important to research each of these key aspects in order to plan and ensure that the new orchards achieve their yield potential over each tree’s lifespan.

A guide to suitable land attributes

Macadamias are an expensive crop to grow and maintain. This is reason enough to avoid any marginal land completely.

It is important to note that macadamia trees are not heavy feeders, and their fine lateral roots are efficient in absorbing phosphorus (P) and calcium (Ca), even where there are low levels of these nutrients in the soil.

Some of the most important attributes of suitable land for cultivating macadamias are:

• Soil depth:  At least 1.5 m of soil is needed, to allow for prolific root development.
• Soil drainage:  Good drainage is an essential feature within the rooting zone.
• Soil texture:  Macadamias cultivate especially well in a wide range of soil textures.
• Avoid frost:   High-risk areas are valley bottoms in the Lowveld and Levubu. The same goes for low-lying areas where cold air is dammed up by a timber plantation or natural bush.
• Optimum slope:  Within macadamia orchards, some slopes are desirable, mainly because it facilitates drainage. The preferable slope is between 1% and 15%. Slopes greater than 15% may facilitate more erosion, which may become a hazard. A steeper slope will increase the need for greater soil protection measures.
• Proximity to the source of irrigation water:  If the static lift of the water exceeds 100m, careful investigation of capital and irrigation running costs should be conducted.

Climate requirements checklist

Macadamias originated in the fringes of the subtropical rain forests of Australia. This should give a good idea of the climate requirements for the cultivars, which is similar to areas where avocados, papayas, and bananas grow well.

When choosing a site for a macadamia orchard, the maximum and minimum temperatures must be considered as well as the altitude and humidity. High humidity can enhance tree vigour, sap flow, fruit set and high-quality kernel. Low humidity can increase ‘stress’ in the tree with negative results that could result in nut drop, low oil, and bad kernel quality.

A few key points  to keep in mind when considering climate requirements:

Temperature:

• The optimal temperature for photosynthesis is between 16°C to 25°C.
• Prolonged exposure to temperatures of 30°C and greater can result in distorted, chlorotic new growth.
• High temperatures (30°C – 35°C) during flowering (Aug – Sep) will reduce the fruit set and can cause immature fruit to drop.
• Photosynthesis is greatly reduced below3°C and no photosynthesis takes place above 33°C – 35°C.
• Trees can survive temps below 3°C, but young trees will be killed by frost at a temperature below –1.5°C.
• It has been reported that mature trees can survive mild frosts at temperatures as low as –6°C for short periods.
• Vegetative flush is suppressed by both high temperatures (above 30°C) and low temperatures (below 10°C).
• The ideal temperature for floral initiation is 18°C.
• The minimum rainfall is about 1 000 mm/annum if no irrigation is present.
• Irrigation should be used to supplement any water needs.
• Macadamia wood is very brittle and prone to wind damage.
• Avoid planting in areas that experience high winds. Windbreaks can be planted to protect trees.
• Stakes can be tied to the young trees; up to 500 mm above the graft union can prevent the trees from breaking at the weaker graft union.
• Hot and dry berg winds can burn and damage the new growth on the trees and can increase the nut drop during November.
• Narrow branch angles and multiple branching from the same node will increase the possibility of wind damage. Selective tree training and pruning can reduce the likelihood of branches breaking.

Key cultivar characteristics to consider

Most of the cultivars available to produce in South Africa are exotic, but the country features significantly diverse regional growing conditions. Plant performance and growth will always vary according to the region.

While choosing a macadamia cultivar for an orchard, the producer should take a few key characteristics into account. This includes, but is not limited to, yield and quality data for the specific area, or from an area with similar climatic conditions. There are currently 32 macadamia varieties, including four rootstocks (H2, N2, 695 seedlings, 695 clonal), new cultivar evaluations (2018 ARC-BioGold), and two cultivar and rootstock mother-blocks.

Cultivar improvement is an ongoing process which, in the case of macadamias, has only been in progress for just over 70 years. There is, therefore, still room for a lot of improvement, especially when it comes to plant breeding and selection work. This is important for both production and nut quality.

Selecting a cultivar for SA’s climate

An often-asked question is why industry statistics show Beaumont (695) as the most prominently planted cultivar, especially when 816 and A4 are also prominent new cultivars. This is because Beaumont has a high-quality rootstock, coupled with an above-average kernel (and an exceptionally precocious nature), which means the cultivar produces well when cultivated properly. Beaumont rootstocks are still the preferred cultivar, with the Nelmak 2 rootstocks showing a steady increase in the number of new plantings.

Cultivars that are currently planted in South Africa include:

‘Keauhou’ (HAES 246); ‘Purvis’ (HAES 294); ‘Ikaika’ (HAES 333); ‘Kakea’ (HAES 508); ‘Keaau’ (HAES 660); ‘Beaumont’ (695); ‘Mauka’ (HAES 741); HAES 746; HAES 772; HAES 783; ‘Pahala’ (HAES 788); HAES 789; ‘Dennison’ (HAES 790); ‘Fuji’/‘Richard’ (HAES 791); HAES 792; HAES 796; ‘Makai’ (HAES 800); HAES 812; HAES 814; HAES 816; HAES 834; HAES 837; HAES 842; HAES 849; HAES 863; HAES 887; A4; A16; A38; Cate; Daddow; Fernley special; Nelmak 1; Nelmak 2; Nelmak 26; Nelmak D; NGX8; and Yonik.

There are quite a few cultivars that perform well under South African conditions. Performance limitations are mostly accompanied by high temperatures and corresponding low humidity (high vapour pressure deficits) that strongly influence macadamia tree flowering and nut set.

In any new planting, it is a good idea to plant at least 4 cultivars in relatively equal proportions. Firstly, so as not to be reliant on a single cultivar should the market at any stage discriminate against that cultivar. Secondly, because of the well-documented benefits of cross-pollination – planting two cultivars in alternating single or double rows within each block is also ideal.

The cross-pollination benefits will decrease by 25% for each row moving away from the pollinator cultivar row, so the fourth row of trees from a pollinator row derives little or no benefit from cross-pollination. But the benefits are well understood – cross-pollination will improve fruit set and fruit size, so the impact is on both yield and TKR% (Total-Kernel-Recovery). Larger nuts will show higher kernel recovery as the kernel mass is larger in proportion to total NIS (Nut-In-Shell) mass.

All cultivars planted in SA are capable of producing at least one ton of kernel per hectare when trees are 10 years old, under a wide range of conditions, whether dryland or irrigated. In many cases, this target yield will be reached earlier, especially under irrigation.

Soil preparation an essential step

At this point, preparing the carefully selected land’s soil is an essential step to ensure a great macadamia orchard. Initially, bush clearing and deep ripping are best carried out mechanically. After this, it is important to introduce lime into the soil to ensure the correct levels of soil acidity. Aeration of the soil profile is especially beneficial in the deep red clay and clay loam Hutton type soils. If financial constraints preclude mechanical clearing and ripping, the best thing to do is to mechanically deep rip only along and across the tree rows.

At this point, producers should have soil analysis and mapping done to identify any pre-planting nutrient requirements. Agri Technovation can aid in this step with its My Soil Classification™ service. Chemical soil mapping is best done mechanically, spread over the entire surface area prior to deep ripping to ensure that ameliorants are incorporated as deeply as possible into the soil. Levelling the soil after ripping with a heavy roam plough will further mix and incorporate ameliorants into the soil.

Where soils are adequately drained to a depth of 1 m, it is not necessary to plant macadamia trees on ridges. Where soil drainage is problematic, ridges will definitely improve root development with the extra depth 30 – 40 cm soil, where the roots can grow above a shallow water table or another impeding layer of harder soil material or rock. A broad ridge with a height of 30 – 40 cm and sloping gently to the centre of the between row space is ideal but costly. Small high ridges (mounds) create their own problems especially in terms of soil moisture management, as they tend to dry out faster than a flat soil surface, especially if they are not heavily mulched.

It is advised to use Agri Technovation’s My Soil Classification™ service to aid macadamia producers to make the best decisions on the following:

• Map entire areas to gain additional insights, necessary for crop production.
• Identify most suitable cultivar for soil type.
• Identify uniform management/irrigation blocks.
• Identify high potential / challenging areas.
• Find solutions for areas and execute the best management to minimise risk and improve yield.

Planning optimal plant spacing

Finally, tree placement and populating the land will be the order of the day. Choosing the optimal plant spacing will be guided by the current state of the slope, and how tractors and implements may be able to access the rows after planting.

Steeper slopes require wider spacing, while higher densities can be used on flatter land. The ideal tree populations are 300 to 600 trees per hectare. There is no single perfect spacing option, the choice of plant population depends on the objectives and management style of the individual producer. For example, growers with large land areas seek to simplify their management system, which is why they choose extensive management options which have wide spacing, no tree training or pruning and in some cases no irrigation. This seldomly used management style results in low yield per hectare but accompanied by low cost per hectare.

Growers that choose to plant in areas where land values are high and the area available for planting is small should look at a more intensive management system. This system has high plant density under full irrigation and canopy management aimed at optimising yield per hectare as soon as possible in the orchard.

Get a blueprint for your soil

Agri Technovation can aid potential and existing farmers through every step of the management process by providing valuable knowledge and data to future growth. This is particularly true when it comes to new ventures into macadamia orchards, as well as with existing orchards. We can help with site selection, chemical soil testing, ameliorate application, cultivar selection, tree spacing, land preparation, and any specific query around the growth and reproduction of macadamia orchards.

Start by gaining a blueprint of the soil on your farm with Agri Technovation’s My Soil Classification™ services, which will show:

The variation in your soils with regards to:

• soil depth,
• limiting layers,
• plant-available water capacity,
• whether ridges are required
• How high ridges need to be, etc.

iTEST™ Soil can visually display your chemical status of your soil, which involves taking soil chemical samples on a 0.5 or 1 ha grid. Maps are then generated based on the chemical analysis of pH, Ca, Mg, K, P, and Na levels in the soil.  Variable application of fertilisers can be done, according to the nutrient map generated with the iTEST Soil, to correct any chemical deficiencies that may occur.

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Laeveld Agrochem’s agents (franchisees) are qualified agronomists accredited by CropLife South Africa (formerly AVCASA).

In each region, agents receive support from experienced Business Managers, enabling detailed recommendations for both corrective and proactive measures on the farm.

Operating as a franchise business model, our dedicated team can assist growers with detailed recommendations to optimise yield per hectare.

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Mzansi's macadamia industry may have started small and slow, but today it's one of the major players in the world and continues to grow. It takes a lot of time, research and resources, but if you're committed and willing to put in the work, you will reap the rewards

South Africa's macadamia nut industry is one of the biggest in the world, and continues to grow. Photo: Supplied/Food For Mzansi

Indigenous to Australia, South Africa’s first introduction to the macadamia nut was in the 1960s. In the last few years, however, the country’s industry has grown immensely and is considered one of the biggest in the world.

According to Macadamia South Africa (Samac) , the country’s macadamia industry has grown twenty times bigger in the last two decades. In 1991, South Africa was harvesting 1 211 tonnes of nuts in shell (NIS). By 2019, 59 050 tonnes were harvested.

Mark Penter, a researcher at the Agricultural Research Council (ARC), confirms that the country’s macadamia industry rivals even that of Australia, which is the biggest macadamia producer in the world.

“There’s been talk in the last five years of South Africa having overtaken Australia as the biggest producer. I think that changes a little bit from year to year. We have our on and off years. They have their on and off years. So on average, we are probably producing roughly in the region of what they’re producing, but certainly we’re planting more trees.”

Penter has spent more than two decades working with macadamia nuts, and currently leads the ARC’s macadamia evaluation programme, where he evaluates new cultivars for the industry.   

The macadamia market

Samac , South Africa’s primary macadamia organisation, reports that the industry has grown in value from R32 million in 1996 to R4.8 billion rand in 2021. In 2020, macadamia farmers planted an additional 5 351 hectares of macadamia trees, with KwaZulu-Natal planting the most new trees.

The macadamia industry exports about 98% of its production. The NIS exports go primarily to China and East Asia, and the majority of the kernel export market is made up of North America and Europe.

Penter says that this season’s harvest is predicted to produce 57 000 tonnes of NIS. He explains that the global market is estimated at 350 000 tonnes, confirming that South Africa plays an important role in the global market.

“The biggest new role player in the worldwide macadamia industry is probably China. They are certainly planting a lot more trees than the rest of the producing countries, but their plantings tend to be in suboptimal areas. So possibly, although they’ve got the most trees in the ground, it’ll be a little while before they’re the biggest mac producer, but we can’t rule them out of the global market.”

Of the nearly 60 000 tonnes of macadamia nuts we produce, only about half of that is processed in the country, Penter adds.

“Its nuts are dried and cracked, and the kernel extracted locally for export. We exported, last year, 57% of our crop as kernel and 43% of our export as NIS, so that means the matter is dried, but it’s not taken out of the shell.”

An expensive crop to plant

Penter explains that planting macadamia trees is a long-term commitment. The crop is an expensive investment and can take many years to start producing profits.

“For the precocious cultivars, you’re looking at about two to three years for the first nuts to be on the tree. And at that point, it’s a really small crop, a handful of nuts. So, you’re not looking at being economically viable.”

The crops will very likely only increase around year six or seven, he says, but that depends on the cultivar and on your farming experience.

“If you’re an established grower growing another crop, and you’ve already got all your infrastructure like tractors, buildings, etc, and you’re just switching to macadamias, you’re probably looking at a macadamia orchard breaking even by year six to seven. If you are a new farmer who just bought a piece of land, starting from scratch with no infrastructure in place, and you still have to put in all the irrigation, buy the equipment and build a shed, you’re probably looking at about 11 years to break even.”

To plant a macadamia crop can cost around R60 000 per hectare, Penter says. The primary inputs that make this crop so expensive is the cost of labour and fertiliser.

“Picking up the crop requires a lot of hands-on the ground. There is a move to mechanisation or mechanised harvesting, but that’s relatively early days for the industry. At the moment, there’s a lot of labour involved and that’s probably the biggest cost. After that, your fertilisers and things like irrigation and then farm equipment comes into the equation.”

The potential income per hectare, once the orchard starts producing, is around R178 000, says Penter. But that amount is highly variable.

“I think there’s talk of some areas where they achieve around R300 000  per hectare. But that’s very localised. It’s limited to areas that are optimal for the crop, but that’s the sort of income you’re looking at.”

He emphasises that because farming with macadamias is so expensive, farmers should look at having a second crop that generates cash flow. In some instances, farmers have grown crops between their macadamia rows or switched to plantation type crops like papaya and bananas, Penter says.

“You will often see the macadamias being established in established plantations, and so you’ll see a banana field with macadamias planted between the bananas until they’re big enough to be producing, at which point the bananas are taken out. That’s not ideal, but that’s a reality. You need cash flow when you’re farming.”

The ideal macadamia climate

For your macadamia trees to flourish, the ideal climate is subtropical, where it gets hot but not humid. Penter explains that there are few areas in the country where macadamia nuts will not grow, and that there are growers who plant year-round. He says that the crop does not do well in areas with frost.

“[Macadamias are] definitely not a deciduous species. If you have frost, don’t plant them. There are farmers in areas that receive occasional frost, like every third or fourth year, that take a chance. Especially if the frost events are relatively mild, and only a day or two. And, if you can protect young trees in the first three or four years against frost, you can possibly get away with that.”

He says that young trees are particularly sensitive to frost but with older trees, a mild frost will probably result in the loss of the tips of the branches. “In young trees, you will use the entire tree, so stay away from macadamias if you’re in an area [with plenty] of frost.”

While the crop is one that needs hot weather, too hot weather can also be dampening. Penter explains that macadamia trees tend to stop photosynthesising once the temperature reaches 33°C, but will be prevented from succumbing to the heat with enough water.

“If you’ve got ample water in hot areas, you’re not going to lose your trees but you’re certainly not going to have a productive tree. Having said that, most of our areas do have days over 33°C, both the subtropical and tropical areas, and with the years getting warmer, that’s more and more becoming the case.”

In areas where the temperatures get really high, macadamias may still flourish, as long as those temperatures are not occurring a majority of the time.

“[If you get] temperatures above 33 and in some of the planted areas, you get up to 35 to 40° at certain times of the year – as long as it’s not the dominant temperature, you are okay. The ideal temperature for the macadamia is probably between 16 and 30°.”

Soil, water and wind

Penter says that the recommended amount of water for macadamia crops is a minimum of 800 to 1000ml if you are planting dry land. He explains that planting macadamia crops on dry land requires that the rainfall take place around flowering, which is generally around August.

“Your primary water need is between August and late January, early February. That’s the period from flowering to oil accumulation. If you don’t have between 800 and 1000ml, you obviously need supplementary irrigation and most macadamia farms are irrigated.”

Wind, he says, is another element that factors in the health of macadamia trees. “Macadamias have very brittle wood and some of the cultivars are extremely prone to wind damage. This particularly applies to the coastal areas where there’s regular wind. You are going to need to plant windbreaks in windy areas. That’s critical.”

When it comes to soil, Penter explains that the crop is tolerant of a wind range of soil types. Macadamias can be planted in fairly sandy soils through to heavy clay soils.

“In terms of soil, your biggest negative for macadamias is wet fruits. They’re highly susceptible to root rot. So, you’re going to want to avoid overly wet soils, which means you need to ensure that your soils are well-drained, and if they have compaction layers, they need to be ripped and cross ripped before planting to at least the depth of a metre.”

In shallow soils where there the depth does not reach one metre, Penter says the crops can be planted on ridges.

Critical to the future success of a macadamia orchard is getting the soil properly analysed. “Get a soil consultant in before you plant. If this is not a lifestyle planting or a small-scale planting or some sort of retirement planting, if you’re going to do this properly and commercially, get soil samples before you plant.

“Get a soil analysis or profile done and get a soil mineral analysis. A lot of areas you’re going to need a pre-plant fertilisation to adjust the soil chemistry [so it’s] right for macadamias. That’s critical.”

Different cultivars

Penter says the most common cultivar in South Africa is the Beaumont cultivar. The plant has about six species but only two are edible. Those two, says Penter, is Macadamia integrifolia and Macadamia tetraphylla.

“Tetraphyllas are not commercially planted. Their kernel sugar content is too high for good roasting of the kernel, so we tend to plant the macadamia integrifolia and hybrids of integrifolia and tetraphylla.”

Beaumont, explains Penter, is a hybrid cultivars. He says that its tetraphylla background makes it relatively precocious, meaning it flowers or fruits earlier than usual, and it will start producing nuts at year two or three.

“However, the biggest negative to the Beaumont cultivar, because of its tetraphylla background, is that it doesn’t drop its nuts very readily. So, although it’s a widely planted cultivar because it’s precautious and it bears well, there is a slight drawback in that it doesn’t easily drop the nuts. That means there’s quite a bit more work involved in harvesting.”

Penter says that there are other cultivars which also enjoy popularity in the country, including the 816 cultivar. It is an older cultivar, and is used for the quality of its produce.

“The 816 cultivar is an integrifolia cultivar. It’s popular not because of its yields – which are relatively low compared to the other cultivars – but it produces large whole kernels, and very clean, very pale kernels. So its quality is the main driver for its popularity.”

Once you have decided which cultivar you are going to plant you need to ensure that you purchase it from an accredited nursery years before you start planting, Penter advises.

“It’s critical, three to four years before you’re intending to plant, to make contact with the nursery you’re going to use. There is a fairly long waiting period for trees at the moment. This is a rapidly growing industry. The nurseries don’t have stock standing by waiting for buyers. Everything in the nursery is already committed to orders so you need to get an order in with an established nursery, or an approved nursery, at least two to three years before you intend on planting.”

Tips and advice

Penter has the following advice for farmers aspiring to farm with macadamia nuts:

• If you’re not an established farmer growing something else that is providing cash flow, you need to get your finances in place. If you’re going to be commercial and you’re going in for the long term, there are non-negotiables like land preparation, fertilisation, buying good quality trees, and getting your spraying equipment bought.
• Talk to Samac. At the moment, the industry works off a statutory levy, so as an incoming grower, just understand you’re going to be contributing to a statutory levy that goes towards financing research but also financing the Samac body. But make contact, talk to them about what they do for the growers.  
• Start early. Up to three or four years before you plan to plant, get a list of nurseries. One of the services Samac provides is the list of accredited nurseries. So, through Samac, get that nursery list and make contact with the nurseries in the area where you are planning to plant. Get your pre-order in early and then yeah start the process of the specialised on-farm equipment that you’re going to need. You’re going to need dehusking facilities and you’re going to need drying facilities.
• Find out everything you can about the crop. There are quite a lot of macadamia consultants out there. The ARC also produces a book of about 200 odd pages on the cultivation of macadamia which they sell to the public. 

ALSO READ: Could soybeans be your next venture?

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Nicole Ludolph

Born and bred in Cape Town, Nicole Ludolph is always telling a story. After a few years doing this and that, she decided that she might as well get paid for her stories. Nicole began her journalism career writing science articles for learner magazine Science Stars and interning at Getaway Magazine.

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Macadamia nuts: The future of high-value crop farming

Macadamia nut production is on the rise worldwide, and for good reason. If you're looking for a profitable agricultural endeavour that offers health benefits to customers, consider investing in a macadamia nut orchard.

W hen most people think of high-value crops, the first things that come to mind are probably fruits and vegetables. However, one nut is quickly becoming a favourite among high-value crop farmers: the macadamia.

Macadamia trees can be temperamental but are hardy in conditions similar to the biome where they originated and can tolerate various soil conditions and climates. They also have a long shelf life, making them attractive to buyers. Consumers highly prize macadamia nuts due to their delicious flavour and nutritional value. Lastly, macadamia trees require little maintenance, making them an affordable option for high-value crop farmers.

Although they are native to Australia, macadamias have grown in Southern Africa since the 1960s and today compete with Australia in terms of being the largest producer.

Macadamia production in Southern Africa: The production growth

With a production increase of more than 20-fold in the last 20 years, macadamias have become the fastest-growing tree crop industry in South Africa. Production grew from 1,211 tonnes of nut-in-shell (NIS) in 1991 to an estimated 61,288 tonnes in 2022.

Yearly Southern Africa Macadamia Production

Production has steadily increased over the years, with a decline in 2020, possibly due to the worldwide Covid-19 pandemic and unfavourable weather conditions. Rainfall experienced in 2020 was average , and while many production regions experienced high temperatures during flowering other parts of the country experienced colder winters, resulting in frost damage.

Pierrie Cronjé, chairperson of Macadamias South Africa, spoke at the annual SAMAC conference in White River earlier in October this year and said that 2022 had probably been the toughest the industry had seen when it comes to the marketing of macadamia nuts , with the fallen price of macadamia. The most significant factors in the price reduction being the struggling global economy and high inflation, the expanding Chinese crop, as well as the stale market conditions in China due to the Covid-19 pandemic.

Growth in hectares

A significant increase in hectares planted annually across the Southern African Continent occurred between 2016 and 2018, followed by a decline in 2019 and a further decline in 2020. The Covid-19 pandemic likely contributed to the decrease in growth for 2020, as seen by the jump in hectares planted from 2020 to 2021.

Macadamia Orchard Hectares Planted Per Year

Why is macadamias a growing industry .

The growing demand for macadamias can be due to the popularity of the commodity. Macro-trends such as vegan and plant-based diets, along with the health benefits of this high-value product, could be an underlying factor in the growing demand.

A contributing factor could also be the use of processed macadamia nuts in industries such as food and beverage, cosmetics, and personal care. However, the processing and snack industry remains the largest consumer of macadamia .

While most macadamias are exported, 7% of the South African macadamia nuts are consumed by the local market, leaving more room for growth locally for macadamia nut producers and processors to grow the confectionery and baking industries.

For the past several years, macadamia demand has outstripped the supply. Even though Macadamias are less than 2% of the global nut basket, the exponential supply increase forecasted for the next five years could result in supply exceeding demand in the short term, potentially causing a price disruption.

An in-depth look at the industry

Even though the macadamia industry is booming, it is an expensive investment and a long-term commitment, taking many years to produce profits. Planting a macadamia crop can cost around R60,000, with a potential income of R178,000 per hectare once the orchard starts producing.

The industry is export-based, with 98% of the annual macadamia production shipped to international markets, and approximately 97% of NIS was exported to East Asia and Southeast Asia (China).

The demand for South African macadamias remained strong over the past years, with the annual production value increasing significantly from R32 million in 1996 to approximately R5.1 billion in 2021.

Another area where the macadamia industry has contributed significantly to the South African market is employment. Most of the industry’s workers are seasonal; still, for harvesting and processing during February and August, at least ten thousand permanent jobs have been created, and over nine thousand during peak seasons.

As new orchards continue to be established, employment creation is expected to continue to increase due to increased production .

Why you should take note of macadamias

In recent years, macadamias have also become popular as a source of healthy fats and antioxidants.

• Macadamias are rich in nutrients. They are an excellent source of healthy fats, fibre, vitamins, and minerals.
• Macadamias are rich in antioxidants. These nutrients scavenge harmful toxins that can lead to chronic disease.
• Macadamias boost heart health. The healthy fats in macadamias help lower cholesterol levels and can reduce the risk of heart disease and stroke.
• Macadamias reduce your risk of metabolic syndrome. This condition is characterised by high blood sugar and cholesterol levels that raise your risk of stroke, heart disease and type 2 diabetes.
• Macadamias aid in weight loss. The healthy fats and fibre in these nuts help to promote satiety and reduce calorie intake. This can lead to weight loss over time.
• Macadamias improve gut health. The fibre in macadamias acts as a prebiotic, feeding the beneficial bacteria in the gut. This helps to keep the gut healthy and reduces the risk of gastrointestinal problems such as constipation and diarrhoea.
• Emerging research shows that the antioxidants in Macadamias provide anti-cancer properties; however, more research on this is needed.*
• Macadamias boost brain health. The healthy fats and antioxidants in macadamias help to protect the brain from age-related damage and improve cognitive function; however, more research on this is needed.*
• Macadamia consumption has been linked with increased longevity. These nuts may help extend life by reducing the risk of premature death by approximately one-third.*
• Macadamias are easy to add to your diet. You can enjoy them as a snack or add them to various recipes such as salads, baked goods, or smoothies. 

Adding macadamia nuts to your diet is a delicious way to improve your health.

The cost of macadamias – from a buyer’s point of view

As a consumer, Macadamias may seem unreasonably high-priced. This is not without reason. Macadamias are expensive due to their supply. Like most nuts, macadamias grow on trees, leading to a delay from planting to harvest. From planting, it can take trees between three and seven years to reach maturity to start harvesting.

Macadamia trees can also only exist in agricultural areas with high altitudes, high rainfall, and temperate climates similar to Australia.

How can John Deere support the macadamia industry?

Like all good things, macadamia production does not happen by itself. Establishing orchards is costly, and reaping the first decent harvest takes a while. After that, other challenges, like pests, need to be considered and can likely increase production costs. 

Fortunately, macadamia farmers in South Africa can count on the support of John Deere, helping them with;

Reliable Equipment

The John Deere 5E Series Tractors , including the 5055E , 5075E and 5090E models, are highly suitable for efficient use in macadamia orchards with appropriate tools such as a plough, field hoe, planter , sprayer , and trailer. The 5055E and 5075E tractors are equipped with the popular John Deere 3-cylinder 2,9-litre Powertech™ turbodiesel engine, while the 5090E tractor is equipped with the John Deere 4-cylinder 4,5-litre Powertech™ turbodiesel engine. 

The 24% Torque reserve on the 5090E model allows for ease of operation through tough spots without needing to change gears. The E-Series also provide operator comfort with an adjustable seat to reduce operator fatigue.

Farmers can also choose between a 9F / 3R SyncroShuttle (TSS) or a 12F / 12R PowerReverser (PR) gearbox for their 5E tractor while benefiting from the 540 / 540E PTO option, contributing to up to 30% fuel saving.

The E-series is suitable for many applications in your orchard. Its versatility will save you time and money as it performs the tasks of multiple tractors.

Aftermarket Service and Parts supply

John Deere understand that uptime is critical to any farming operation and is passionate about the service farmers receive and the availability of spare parts where and when needed.

John Deere Dealers are the first point of contact for Aftermarket Service and Parts , and John Deere is dedicated to keeping its dealers equipped with the necessary products and services to keep farmers up and running.

Financing solutions through John Deere Financial

John Deere Financial understands the importance of access to finance and believes in offering all farmers the same opportunity to succeed through solutions that suit each farmer’s needs. 

They offer customers an easy application process, flexible, customised financial solutions, market-leading interest rates, excellent service, and are quick to a yes.

No matter what a high-value crop farmer’s needs are, John Deere offers complete peace of mind. Invest in the future – invest in John Deere.

Macadamia nut production is on the rise worldwide, and for good reason. The demand for this nutrient-rich nut continues to increase both in Southern Africa and abroad, and with the right equipment, it can be grown successfully.

If you’re looking for a profitable agricultural endeavour that offers health benefits to customers, consider investing in a macadamia nut orchard. John Deere is committed to helping growers succeed in this industry, so reach out today for more information about our equipment and services tailored specifically to macadamia farmers.

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Macadamia Farming in South Africa

Macadamias, a type of tree nut that has grown wild in Australia for thousands of years, have been farmed commercially in South Africa since the 1960s. 

The nuts are consumed as a snack, used in the manufacture of sweets, baked goods and ice cream, and are found in plant-based alternative choices such as milk as well as health foods. Uses for the shells include beauty products, filters, powders and homeware. For a number of years there has been growing demand.

South Africa is one of the leading producers in the world. The subtropical regions of the country provide the perfect climate for growing macadamias. 

The trees flower from August to September, and the nuts develop over 31 weeks, with harvesting starting in March and continuing through to July. 

Macadamia production in South Africa

The macadamia nut industry in South Africa is significant in terms of both employment and export earnings. 

According to the South African Macadamia Growers’ Association (SAMAC), there are more than 700 macadamia nut farmers, mostly located in Limpopo, Mpumalanga and KwaZulu-Natal, with some growers in the Eastern and Western Cape too. 

The industry is an important employer, providing more than 10 000 permanent jobs with seasonal work for 9 000. This is expected to grow due to increased plantings.

South African macadamia nuts are widely exported. Half of the macadamias grown in South Africa are exported in-shell, with most going to China and other parts of Asia; the remaining half is exported as kernels to the United States, Canada, Europe, Japan, South East Asia and the Middle East.

'Beaumont' is a drought tolerant variety and currently the most widely planted cultivar in South Africa .

Nelmak 2, 842, A4, 695 and 814 are favoured because they bear fruit earlier than other macadamia cultivars and subsequently produce high yields. 816 and A4 are prized for their nut quality. New plantings are focusing on 849, A4, A16, 816 and 814.

Pests and diseases

Macadamia nut growers in South Africa have to contend with a variety of pests and diseases. According to the National Department of Agriculture in cooperation with ARC-Institute for Tropical and Subtropical Crops, these include the nut borers (including the larvae of the false codling moth), Phytophthora root rot and stinkbugs. 

ARC in collaboration with SAMAC, is researching the effects of a newly discovered Orthotospovirus on the yield of macadamia nuts : “This novel virus was identified within the unit by high-throughput sequencing technologies and was shown to be wide-spread in Macadamia orchards, being detected in Mpumalanga, Limpopo and KwaZulu-Natal. The virus causes characteristic ringspot symptoms on infected macadamia leaves from various cultivars and the presence of the virus can be confirmed by diagnostics developed within the lab.”

An infopack from the Department of Agriculture notes that “stinkbugs are the most important pest on macadamias in South Africa. Damage is caused by a stinkbug complex comprising at least 20 different types. The most important types are: two-spotted stinkbug, green vegetable stinkbug, coconut stinkbug, small green stinkbug, spotted stinkbug, yellow-edged stinkbug and yellow-spotted stinkbug. Stinkbugs can cause crop losses of up to 80 %.”

ADAMA Solution

Among the  ADAMA products registered to protect macadamia trees are Aceta Star 46 EC and Klartan 240 EW. 

Aceta Star 46 EC has emergency registration for the control of false codling moth on tree nuts.

Klartan 240 EW is registered for the control of stinkbugs on macadamia trees in Mpumalanga only.

From 1 211 tonnes nut-in-shell in 1991 the harvest has grown to more than 60 000 tonnes in 2022.  SAMAC notes that “ the total value of annual production has increased from R32 million in 1996 to approximately R5.1 billion in 2022 ”. Farmer’s Weekly reports that the SA “ macadamia industry is expanding by over 3 000ha/year and the planted area has reached around 30 000ha ”. 

This expansion is likely to be bolstered by growers in KwaZulu-Natal who are looking for alternatives to sugarcane after Tongaat Hulett went into business rescue in October 2022.

However, after decades of growth, there are now concerns that demand for macadamias might have peaked. Prices have fallen for the first time in almost ten years as supply has increased, particularly in South Africa, which vies with Australia for the position of top global producer. 

The SA macadamia industry’s most important export partner, China, has dramatically ramped up domestic planting, with 2020’s  estimated 240 000ha projected to reach 300 000 ha by 2030 .  

Macadamias are a superfood that forms just 2% of the total nut market, so while there is cause for short-term concern, there is certainly room for recovery long term, if a sound marketing strategy is employed. As Jillian Laing, CEO of the World Macadamia Organisation, noted in 2022, “There are only three ways to grow consumption: get more people to eat the product, get them to eat more per serving, and more often… The core target market is someone who cares about what they eat, and wants to reduce meat intake but is not a vegan. It’s a flexitarian who wants real dairy and some meat, looks after their body and their mind, and wants sustainable foods.”

Copyright © ADAMA

• Information Hub

Welcome to the SAMAC Information Hub, your go-to resource for staying up-to-date with the latest developments in the Macadamia Industry. Here, you’ll find easy access to a wealth of information, including the most recent Government Gazettes including the statutory levies, newly enacted laws, crucial updates in the agriculture sector, industry standards, and statistic.

Our mission is simple: to keep our members and constituents informed about the ever-evolving landscape of agriculture. We strive to empower you with the knowledge needed to navigate this dynamic sector confidently and conveniently.

Please note that the Information Hub is dedicated solely to factual updates and does not entertain opinions or debates. SAMAC maintains neutrality and does not endorse any viewpoints expressed by external entities unless specifically requested for a legal opinion.

Overview of the South African Macadamia Industry

Since the 1960s, the South African macadamia industry has burgeoned into a global powerhouse. Production has surged over 20-fold in recent years, with an estimated 77,532 tonnes of nut-in-shell (NIS) forecasted for 2023. The industry’s value has mirrored this growth, soaring from R32 million in 1996 to approximately R5.1 billion in 2022.

Key macadamia growing regions in South Africa include Levubu and Tzaneen in Limpopo, Nelspruit, White River, Hazyview, Malelane Barberton in Mpumalanga, the North and South Coast, Midlands in KwaZulu-Natal, and the Western and Eastern Cape.

Numerous growers boast Global GAP and SIZA accreditations, while most cracking facilities hold HACCP and/or ISO 9001 accreditations. Additionally, thirteen nursery members have Seedling Growers Association of South Africa (SGASA) accreditation.

The industry is export-oriented, with 98% of annual macadamia production destined for international markets, primarily East and Southeast Asia, notably China. The South African macadamia industry creates substantial employment opportunities, with around 75,000 individuals employed locally, supporting approximately 300,000 dependents.

Established in the early 1970s, the South African Macadamia Growers’ Association (SAMAC) addresses common industry challenges. SAMAC NPC, established in November 2018, operates as a dynamic organisation funded by a statutory levy and voluntary membership contributions. Its leadership comprises industry stakeholders dedicated to fostering the industry’s orderly growth and development.

SAMAC has cultivated global partnerships through participation in International Macadamia Symposia, hosted thrice by South Africa since 1999. Additionally, SAMAC is a member of the INC (The International Nut and Dried Fruit Council) and the Peanut and Tree Nut Processors Organisation facilitating collaboration with global macadamia industry players.

In response to projected oversupply and market disruptions, South Africa and Australia established the World Macadamia Organisation (WMO) in 2020, whereafter other countries have also joined. The WMO aims to collect market intelligence, set global quality standards, drive health research, promote consumption, and identify new markets.

Ms. Jillian Laing, appointed CEO of the WMO in February 2021, brings extensive experience in food service and consumer business, particularly in Southeast Asia and China. Her vision is to emulate the success of non-origin consumer campaigns that have stimulated demand in industries like avocados and almonds.

Under Ms. Laing’s leadership, the macadamia industry is poised to seize opportunities amidst forecasted global supply growth, charting a prosperous path forward.

Legislation

Labour matters, national water amendment billding here.

The National Water Amendment Bill refers to proposed changes or additions to the existing national legislation related to water management and usage.

Government notice no 50020, 4266 – Raw water use charges for the 2024

Some text here

GG Notice (PPECB) on the control of exports of tree nuts 2 June 2023

Some additional content

Minimum Wage Act

The Minimum Wage Act is a law that sets the lowest amount that a worker can be legally paid for their work.

Industry Statistics

• Import and Exports

Tree Census

Employment stats.

Considerations

Our survey encompasses 183 respondents from a pool of over 2000 farmers within the industry, necessitating extrapolation for a more comprehensive overview. Our analysis hinges on the correlation between planted hectares and those in production. However, we haven’t factored in specialized value-adding businesses or the employment opportunities offered by secondary industries like agricultural service providers and product suppliers, which would significantly affect these figures.

The number of farm employees can fluctuate considerably, influenced by variables such as yield, on-farm prices, and the availability of alternative tasks or crops for labour. Given the significant disparities in employment and management approaches between the Post-Harvest and Harvest periods, these figures have been reported separately.

The number of nursery employees can vary due to diverse business models, including catering to household plants or other crop types alongside Macadamias. Refinements to the questionnaire’s wording and context could enhance the precision of future data analyses.

Import and Export Stats

WMO Macadamia Product Standard

Industry resources.

• Disease Diagnostic Clinic
• MacShield: SAMAC

PDF Documents

• Precision Tree Breeding Platform
• SAMAC Monitoring Standard Operating Procedure Data Recording Sheet

Find answers to common inquiries about SAMAC and the Macadamia Industry in South Africa.

It is always risky to speculate about future market trends. However, macadamia nuts make up less than 1% of the global tree nut production (this excludes peanuts). In the past few years, there has been very strong growth in nut consumption in China.

China remains South Africa’s fastest-growing market for macadamia nuts. China currently consumes about 30% of South African macadamia production. Growth in the Chinese market is expected to continue for the foreseeable future. SAMAC is currently investing funds on scientific research which focus on the health benefits associated with the consumption of macadamia nuts, in collaboration with the Australian Macadamia Society.

This would then be incorporated into the consumer awareness marketing strategies of macadamia nuts. Another factor to consider is the fact that macadamia plantings in China are on the increase; nevertheless, it is predicted that there would still be a continuous high demand for macadamia nuts.

Macadamias are a subtropical fruit tree crop that originated in Australia and more importantly is closely related to Protea species that we are so familiar with in South Africa.

This similarity between macadamias and Protea species largely dictate where macadamias can and cannot be cultivated. Macadamia trees are, however, fairly tough trees and have been shown to survive and produce in a range of climatically different areas.

It is well known that better crack outs (kernel as a percentage of dry nut in shell weight) are usually achieved at lower altitude due to the nuts developing thinner shells at lower altitudes, where it is generally warmer. Even at low altitudes, macadamias grown in warmer areas will have thinner shells. Nuts from the North Coast of KwaZulu-Natal have thinner shells than nuts from the cooler South Coast. Macadamia plantings in Mpumalanga and Limpopo range between 600 and 1200 m AMSL. It is however probably not the altitude that determines the kernel percentage, but the climatic conditions associated with the altitudes. The higher the humidity, the better, and moderate temperatures in combination with high humidity seem to be ideal.

When the plants are under less stress, less energy is used for shell production with resultantly thinner shells. Macadamia trees are susceptible to both heat and frost damage. Young trees are readily killed by frost, whereas older trees usually survive. Frost can still damage flowers and result in lower fruit (nut) set. Temperatures above 35 °C, on the other hand, become too high and reduce photosynthesis. Therefore tropical and subtropical regions are more suitable; however there are areas in highlands that produce macadamia nuts, and the micro climate will play a more vital role in these areas, for instance using micro irrigation as opposed to drip irrigation to increase humidity or planting on the cooler or hotter slopes, etc.

It should be noted that macadamias have also been established in some non-traditional areas and have shown to be economically viable. Before planting macadamias in a new area, it is highly advisable to contact a macadamia specialist to aid you in your decision.

It is important to buy good-quality planting stock when establishing an orchard. We suggest that you buy from a Seedling Growers Association of South Africa (SGASA) accredited nursery, which is also a SAMAC Registered Nursery.

Click on the link to find a list of nurseries ( https://www.samac.org.za/nurseries ).

Avoid trees that are stunted, pot-bound or infested with pests or infected by a disease. To ensure the orchard gets off to a good start, select vigorously growing trees free from nutrient disorders, insect pests and disease with a good healthy root system. Buyers should look closely for:

• A healthy well-formed root system that is not spiralled or twisted.
• A root system that has masses of very fine roots throughout the potting mix.
• A potting mix that is well-drained, friable, and free from waterlogging and hard compacted clods.
• Healthy, vigorous, well-formed growth with dark green foliage/plant leaves.
• A minimum of 150 mm of hardened new growth above the graft. This should consist of at least two growth flushes with a strong graft union.
• Trees that are free from insect pests and diseases.

Many growers produce/propagate their own trees with success, but due to the relatively small quantity of trees, together with the inexperience, it would usually be cheaper to buy trees from a Seedling Growers Association of South Africa (SGASA) accredited nursery. SGASA performs annual audits on these nurseries to ensure that trees are of the highest quality.

It is important to keep in mind that although one might be able to produce trees quicker than a nursery with a waiting list, the quality of a tree will determine the “quality of service” in return. Our recommendation is thus to rather wait for good quality trees.

This is a challenging question to answer because we do not have all the answers as not all cultivars perform the same everywhere and under different production practices. SAMAC is currently conducting a cultivar trial where various “old” and newly imported cultivars are evaluated across all production regions. This is unfortunately a long term project, but once this project is completed we will be able to provide more specific information. At this stage, there is a tendency to plant ‘849’, ‘A4’, ‘A16’, ‘816’ and ‘814’. ‘Beaumont’ and ‘Nelmak 2’ are also still widely planted.

There is an indication that Nelmak D might perform well at higher altitudes. It is however recommended to do a bit of risk distribution by planting at least two to three cultivars. Cross-pollination is an important factor to consider and in the past, it was recommended to interplant a specific cultivar block with another cultivar every 6th to 8th row (eg in a ‘Beaumont block’ to have every 7th row a ‘816’ row). However the recent trends are towards mechanisation to reduce labour and labour cost, and one of the areas in reducing labour cost is in harvesting using ethapon sprays. Unfortunately, not all cultivars can be sprayed with ethapon and the grower needs to wait for the nuts to drop naturally, for instance, the case of ‘816’.

These mixed-cultivar blocks make it difficult or impossible to use ethapon, and recent trends are to plant single-cultivar blocks but to try and obtain some cross-pollination effect from neighbouring blocks. The choice of cultivar thus comes down to choice of farming practices.

Some macadamia cultivars have an upright growth pattern, whereas other cultivars tend to have more lateral growth. The cultivar choice could influence tree spacing. In Mpumalanga, the average planting density is 7.4 m x 4 m. Many growers are moving to lower density plantings, for instance, 9 m x 5 m. Lower density plantings will still require pruning, and perhaps 8 m x 4 m or 8 m x 4.5 m will provide a good balance between pruning intensity and optimal yield per hectare.

Some cultivars such as ‘Beaumont’, ‘A4’,‘A16’, ‘791’ and ‘Nelmak 2’ are considered precocious and sporadic trees could bear nuts from about three years of age. SAMAC has funded and has been involved in several cultivar trials. In year four approximately 0.6 kg – 0.8 kg per tree for ‘Beaumont’ could be achieved. In year five, between 2 kg and 10 kg of nuts (Wet In Shell; WIS) can be expected per tree. In year 8, approximately 16 kg can be expected and maximum yield is perhaps as late as year 13 to 14, yielding as high as 35 kg per tree (WIS).

These are rough indicators, but these figures are guaranteed to differ between areas. More details are on the SAMAC website under the member’s section: technical info – orchard establishment.

Grafted trees start bearing fruit as early as 3 to 5 years, depending on the variety. It is recommended that the flowers be picked off untill year 3 to give the tree enough time to establish its roots and build energy before nut production. Some dropping varieties produce reasonably sized crops from year 5 to 7 and continue to increase crop size for the next 15 to 20 years.  BEWARE– seedling trees do not usually produce nuts until 10 to 12 years and sometimes much longer. Seedling trees are generally huge with prickly leaves, nuts are small and need to be picked, kernel recovery is low due to thick shells, oil content is low and sugar content high, attracting pests.

• Remove the husks (dehusk) preferably within 24 hours of harvesting, particularly if the husks are closed.
• Dry the dehusked nuts in drying bins with ambient air or hang them in onion bags in a dry, airy, shaded location for approximately 3 months to reduce the moisture content by approximately 10 to 15% (depending on the industry standard).
• Store on the hot water cylinder for a minimum of 3 weeks. The additional dry-out weight loss will be approximately 8%. (a dehumidifier can be very helpful)
• Now dry and ready for cracking, the kernel will ideally be rattling in the shell and above all will be crunchy and savoury or sweet – depending on the variety.
• Nuts can be taken to our SAMAC accredited Handlers ( https://www.samac.org.za/handlers/ ).

Although research in this field is still underway, it is currently accepted that a mature macadamia tree needs approximately 500 – 600 mm of water per annum to produce a sustainable yield. It should however be noted that although large areas of South Africa have an annual rainfall exceeding the amount of water required by macadamias, this rainfall is not evenly distributed and as a result supplemental irrigation might be required, especially during certain phenological periods.

In areas with a well distributed rainfall and high potential soils, macadamias are successfully cultivated without any irrigation, but in these areas small trees (less than 3 years) are usually watered by hand until an extensive root system has been established and trees are capable of extracting larger volumes of soil water and nutrients.

August and September are the periods with the highest irrigation requirements due to low rainfall, high temperatures and low relative humidity. Furthermore, a high water demand arises in August and September, which are the months when most cultivars flower and nuts set.

This depends on location and of course, there are many variables. A rough guide would be to budget for approximately R100 000 per hectare of orchard establishment. This excludes any implements. After orchard establishment, it could cost up to R25 000 per hectare per year for general running costs (weeding, fertilising and irrigation). Also, take into consideration that as soon as trees start bearing you will need a dehusker and drying bins for the nuts.

SAMAC’s Research and Development activities are driven by a committee consisting of SAMAC staff (Director for Research and Development, CEO and Research and Development Manager), external technical consultants and experts from at least one other industry. The committee has drafted a framework outlining all the research/technical needs in the industry from a survey conducted under growers annually.

The Research Framework and more information on all research projects can be found under the “Research and Development” tab on the website. The outcomes and progress of research projects are communicated to growers through quarterly Research and Development Newsletters and annually in the SAMAC journal and Research Symposium. A research library with articles on pests and diseases, post-harvest handling, horticulture etc is available to SAMAC members under the “Member” section

SAMAC provides growers with updated lists of registered products, their maximum residue limits (MRLs) and labels continuously, and supports the registration of new chemicals through motivations to the Registrar of Act 36. SAMAC also has best practice videos on topics ranging from scouting to calibrating spray machinery, and releases fact sheets on various topics to members. All these resources are available to members in the “Technical Library” in the “Member” section.

Yes, SAMAC provides skills development for SAMAC registered emerging farmers, through study groups. Study groups provide farmers with information on the current production activities and innovations within the industry

According to Government Gazette 41970, it is required that all Growers, Nurseries, Processors, Consolidators of nut in shell, Exporters and Importers register with SAMAC NPC. This registration is for the purpose of gathering accurate industry information which will benefit the industry e.g. research needs, market development, crop estimates, tree census information, production forecasts, employment growth, etc. It also forms part of the process of collecting the statutory levy of 70 c/kg nut in shell (1.5% kernel moisture). The statutory measures require handlers (processors and consolidators of nut in shell) and importers of inshell macadamias to deduct and pay over the levy on behalf of all growers. Please note that the levy for the year 2024 of 70 c/kg excludes VAT, and that VAT must be charged on levies.

You are not automatically a member of SAMAC if you pay levies as membership and levies are two different aspects. Membership ensures that you receive all the latest information regarding the industry and have voting rights on important industry matters. Please see attached “Value of SAMAC membership”.

We therefore encourage all macadamia growers to become members of SAMAC. If you have any further queries in this regard, kindly do not hesitate to contact us at [email protected]

SAMAC VA formed part of Subtrop while SAMAC NPC was established in November 2018. All SAMAC VA members had a grace period in which their membership could be transferred to SAMAC NPC. It might be that you did not receive the communication and therefore your membership was not transferred to SAMAC NPC. You can apply for SAMAC NPC membership by completing the application form. You are welcome to contact contact us at [email protected] .

The NAMC has strict guidelines and requirements on how to spend the money received from levies. The breakdown is as follows:

50% – R&D

20% – Transformation

20 % – Special Projects

10 % – Administration and operational costs

The Board agreed that SAMAC’s offices should be centrally situated to ensure its staff can travel with ease to any of the Provinces where our 1400 members are situated. The SAMAC office is less than 10 minutes from OR Tambo and conveniently situated to travel within 2 minutes on any of the main roads, leading to Limpopo, Mpumalanga and KwaZulu-Natal. Furthermore, our 4 year strategy focuses on important industry needs such as obtaining favourable market access in China and India, to open new markets, to increase our research efforts to ensure better quality yields and to establish transformation initiatives to ensure an inclusive industry. Most of the stakeholders we need to engage with in this regard are situated in Gauteng.

It is important for us to also regularly communicate to our growers on various activities and therefore we use various mediums such as the SAMAC App, WhatsApp, newsletters, the SAMAC Journal and regional farmers feedback sessions that is hosted at least twice a year. If you do not receive the aforementioned, kindly contact us at [email protected]

To provide the best experiences, we use technologies like cookies to store and/or access device information. Consenting to these technologies will allow us to process data such as browsing behavior or unique IDs on this site only . Not consenting or withdrawing consent, may adversely affect certain features and functions.

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Getting South Africa’s macadamia orchards on the map

Pictured Above: :  The extent of South Africa’s macadamia orchards is mapped to assist the industry in production forecasts and marketing assessments

At the end of 2021, SAMAC and the research team from the Applied Agricultural Remote Sensing Centre at the University of New England teamed up with two objectives in mind: to build a national map of macadamia orchards and to develop satellite-based tree age and yield forecasting models for the South African industry.

Until recently, the size of the macadamia industry in South Africa was inferred from tree sales and planting data from nurseries and growers respectively, which resulted in an under-estimation of the size of the industry.

With the expected exponential increase in macadamia production forecasted and currently experienced globally, it is important to know what South African production will amount to in future to ensure consumption is increased in current markets and that new markets are developed ahead of supply. Results confirmed the exponential increase in plantings over the last seven to ten years, but with actual numbers now available for the number of hectares established and tree age distribution in industry. This will assist SAMAC with the development of a more accurate crop forecast strategy going forward.

Mapping relied on satellite imagery and the correct classification of crops was further informed by supplementary data from various sources. This included publicly accessible information such as street view imagery, field work and engagement at regional study groups. To date, 72 652 hectares of macadamias have been mapped in South Africa. This is 16 284 hectares (or 29%) more than the 56 368 estimated previously. 15 068 ha have been mapped in Limpopo, 29 083 ha in Mpumalanga and 23 806 ha in KwaZulu-Natal, with smaller plantings also present on the highveld, Eastern Cape, Southern Cape and Western Cape.

From left, Dr Elrea Strydom (SAMAC), Craig Shepard and Joel McKechnie (AARC).

Historic information

Historic block-level tree age information was used alongside historic Landsat satellite imagery to build an algorithm able to predict planting year with a 1.8-year average prediction error. In Limpopo, where the macadamia industry in South Africa originated, 23% of trees are older than 20 years, and 32% of trees are younger than ten years in age. In Mpumalanga, which is currently the biggest producing area, 10% of trees are older than 20 years, and 66% of trees are younger than ten years. KwaZulu-Natal is the new frontier in the South Africa macadamia industry, with only 5.5% of orchards older than 20 years, and a whopping 78% of orchards less than ten years old. An accurate yield forecasting model could not be developed as a result of the small historic block-level yield dataset which was available. This will be explored further once a more comprehensive data set is available.

Accurate information

Accurate information on the spatial distribution and area under macadamias in South Africa, as well as the age distribution of orchards will allow industry to plan more accurately. The map will also support the dissemination of aggregated industry information and research outcomes at block level in future. This tool is invaluable to the macadamia industry, and the map will only maintain its value if it is continually updated by industry. Growers are thus encouraged to keep their block-level information updated. The map can be viewed through the interactive dashboard, and updated through the industry engagement web app. Both platforms can be accessed through the member section of the SAMAC website.

Other SAMAC research projects

A number of SAMAC research projects are being finalised, and growers can look forward to seeing the results in the next few months. This includes projects on the advantages of macadamia husk compost, classification of sites suitable for macadamia production in South Africa, climate change modelling, technology deployed for mechanical harvesting in Australia, husk rot, Phytophthora root rot and more.

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THE NUTS AND BOLTS OF SUSTAINABLE MACADAMIA FARMING IN SOUTH AFRICA

• Valley Macs

They rely on intuition and experience but know when to seek advice and hire experts to handle the multiple aspects of farming. From drawing up a business plan, finding land and getting financed, to marketing your products and partnering with the right processor, farming isn’t all watching plants grow. It’s growing a business. 

In South Africa, there is no better business than macadamia farming. South Africa is currently one of the biggest producers of macadamia nuts globally with 19 500 hectares across Limpopo, Mpumalanga and KwaZulu-Natal producing over 50 000 tonnes per year. As one of South Africa’s most profitable crops, macadamias can rake in about R375 000 per hectare given that 95% are exported to China, Europe, Canada and the US.

Many local banana and tobacco farmers are capitalising on the booming global market opportunities and plant fat diet trends. To meet the growing demand, 7,5 million trees were planted in 2016 and 2 000 hectares are added every year. But macadamia farming is not an overnight job. It is a 24/7 operation of patience, intuition and a fair bit of business acumen.

Macadamia saplings can take up to 18 months before they are ready to be planted after which the first crop can only be expected in four to five years. In the interim, farmers must keep track of everything from climate, soil and planting requirements to fertilisation, pest control, harvesting and storage.

“This industry takes grit, determination and hard work, but you’ll never regret it”, says Alan Sutton, Valley Macadamia Group chairman and macadamia farmer. “We’re seeing a global market growth of 33% per year and an insatiable market makes for attractive prices.”

Macadamia farming in a nutshell Most soil types are suitable for macadamia farming but must be drained and free from restrictive layers in the first meter of soil. Macadamia cultivars have different growth patterns and have specific planting and fertilisation guidelines to ensure optimum growth.

Macadamias flourish between 16 and 25°C and nut quality is superior when grown at an altitude of 600m or lower. The bulk of the crop is usually collected from March to July and only nuts that have fallen to the ground must be collected at least once a week to avoid quality loss and damage.

It costs about R100 000 per hectare to establish a macadamia orchard but crops are generally easy to deal with. Labour requirements are low and pests are limited and easily manageable. Getting your yield from farm to fork requires substantial technical, managerial, marketing and negotiation skills. Sustainable farming requires foresight and collaboration with seasoned farmers, processors and exporters to guarantee supply and quality consistency.

Choosing the right processor Meeting international standards are vital to the success and longevity of macadamia farming. Processors must implement quality checks every step of the way and ensure the highest BRC and HACCP standards. A strict grading criteria and quality guarantee will continue to open doors to international markets and have a positive impact on price.

With only 10 green fingers and 24 hours in a day, macadamia farmers need access to ongoing advice, shared knowledge and farming trends. Partner with a processor that knows how to address local farming and international market challenges with comprehensive market intelligence.

To deliver on superior quality and food safety requirements, processors have to invest in world-class processes and equipment. Make sure your processor and exporter is committed to quality checks every step of the way, from sorting, grading and drying, to packaging, labelling and export preparation.

The significant upfront investment can leave macadamia farmers cash-strapped. Ensure that the processor you partner with offers fast payment terms and consistently achieves the highest returns irrespective of market conditions.

Farming is first and foremost a business and macadamia farmers mean business. With a shared passion for superior quality and the continued support of every role player, farmers and the South African macadamia industry as a whole will continue to grow in global market share.

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Farming South Africa

Macadamia Farming In South Africa

Macadamia Farming In South Africa has become an increasingly popular industry, with the country now being one of the largest producers of macadamia nuts in the world. The success of the industry can be attributed to the favorable climate and soil conditions for growing macadamias, as well as the growing demand for these nuts globally.

Macadamia farming provides employment opportunities for local communities and contributes to the country’s economy. The industry is characterized by the use of modern techniques and technology to improve yields and quality, making it a sustainable source of income for farmers.

In this blog, we will explore the advantages and disadvantages of macadamia farming in South Africa, as well as the challenges and opportunities that the industry faces. We will also take a closer look at the process of growing and harvesting macadamias, and the future outlook for the industry. Whether you’re a farmer, consumer, or just interested in learning more about macadamia farming, this blog has something for everyone.

Macadamia farming is a growing industry in South Africa, with the country being one of the largest producers of macadamia nuts in the world. Macadamia nuts are grown in various regions, including Limpopo, Mpumalanga, and KwaZulu-Natal. The industry provides employment opportunities for local communities and contributes to the country’s economy. Macadamia farming in South Africa is characterized by the use of modern techniques and technology to improve yields and quality.

Table of Contents

Is there a future in Macadamia farming in South Africa?

Yes, there is a future in Macadamia farming in South Africa. The demand for macadamia nuts is growing globally due to their increasing popularity as a healthy and versatile snack, as well as for their use in various food products. South Africa has favorable climate and soil conditions for macadamia farming, making it an attractive location for the industry. Additionally, the South African government has been supportive of the industry and is working towards promoting it both domestically and internationally. All these factors point towards a bright future for Macadamia farming in South Africa.

What is the Advantages of Farming with Macadamia

There are several advantages of farming with macadamias:

• High demand: The global demand for macadamia nuts is growing, driven by increasing consumer interest in healthy and nutritious snacks.
• Long shelf life: Macadamia nuts have a long shelf life, which allows farmers to store their harvest and sell it over an extended period.
• High profitability: Macadamia nuts command high prices in the market, which can provide farmers with a high return on investment.
• Diverse uses: Macadamia nuts have a variety of uses, including as a snack food, ingredient in baked goods, and for oil production.
• Climate suitability: Macadamias are grown in subtropical regions, making South Africa an ideal location for macadamia farming.
• Sustainable crop: Macadamia trees have a long lifespan and can be farmed sustainably, making it a good option for farmers looking to establish a long-term source of income.
• Employment as a “superfood”: Macadamias are considered a “superfood” due to their high levels of healthy fats, protein, and minerals. This status has helped drive consumer demand for the nuts.

Disadvantage of farming with Macadamia

There are also some disadvantages of farming with macadamias:

• High initial costs: Starting a macadamia farm can be expensive, as the trees are slow-growing and take several years to start producing nuts.
• Pest and disease issues: Macadamia farms can be susceptible to pest and disease problems, which can reduce yields and quality.
• Long-term commitment: Macadamia farming requires a long-term commitment, as the trees take several years to reach maturity and start producing nuts.
• Labor-intensive: Macadamia farming can be labor-intensive, as the nuts must be hand-harvested and processed.
• Market fluctuations: The price of macadamia nuts can be affected by market fluctuations, which can impact farmers’ profits.
• Climate dependence: Macadamias are grown in specific climatic conditions, and changes in climate can impact yields and quality.
• Competition: The macadamia nut industry is competitive, and farmers need to be able to produce high-quality nuts to remain competitive in the market.

How to start farming with Macadamias

Starting a macadamia farm involves several steps:

• Conduct research: Research the macadamia nut industry, including market demand, production costs, and the specific requirements for growing macadamias in your area.
• Choose a location: Select a suitable location for your farm, taking into account factors such as soil type, climate, and water availability.
• Obtain funding: Secure funding for your farm, either through savings, loans, or investment.
• Purchase seedlings: Purchase high-quality macadamia seedlings from a reputable supplier.
• Prepare the land: Clear and prepare the land for planting, taking into account factors such as slope and soil fertility.
• Plant the trees: Plant the macadamia seedlings at the appropriate spacing and depth, and provide them with proper care and maintenance.
• Establish a marketing plan: Develop a marketing plan for your macadamia nuts, including how you will sell them, who your target market is, and what your pricing strategy will be.
• Monitor your crops: Regularly monitor your macadamia trees and crops, and take steps to address any issues, such as pest and disease problems.
• Harvest and sell: When your macadamia nuts are ready to be harvested, collect and sell them to processors or directly to consumers.

Farming with macadamias requires a long-term commitment, as the trees take several years to reach maturity and start producing nuts. However, with proper planning and management, a macadamia farm can be a profitable and sustainable source of income.

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South African Macadamias Performed Well in 2022 Despite Tough Year for Nuts

Latest Crop Estimate Tops 70,000 mt

Macadamias South Africa (SAMAC) raised their 2022 crop estimate to a remarkable 70,139 mt (in-shell) or 22,444 mt (kernel basis). The estimate, based on an industry survey, was raised several times during the year and was 12,414 mt higher than the initial forecast. This represents a 31.5% increase from 2021 and a record-breaking 10,000 mt higher than the previous record of 59,050 mt in 2019. The increase in production was driven by good rains, favorable production conditions, and a rise in bearing trees. In 2021, South Africa had 56,368 ha of established macadamia orchards, with new areas planted surpassing 5,000 ha for the fourth consecutive year, indicating potential for future growth. Macadamia growing regions have again experienced good rains during the flowering and nut-fill stages, and 2023 is set to break production records once more.

Large Quantities Exported, albeit at Lower Price

South Africa's macadamia exports were resilient during most of 2022. These exports, calculated on a kernel basis, reached a substantial 21,555 mt, valued at USD 277 million. This made it the second-highest year for volume exports, behind only the 23,043 mt exported in 2019. However, in terms of value, it ranked as the fourth-best year due to the lower price received for macadamias. While the price is below what suppliers hoped for, South Africa was able to sell the majority of the crop and clear out storage space before the next crop comes in, already starting next month. Many other nut-producing countries are stuck with an oversupply of nuts and subsequent storage issues as global demand has fallen. Macadamia demand has remained strong compared to other nuts, despite being one of the most expensive commercial nuts. Macadamias often retail at three to four times the price of almonds (on a kernel basis). Consumers of macadamias in China, who are typically high-income households, have been less affected by rising living costs, making demand for this nut more resilient. In contrast, demand in the US and Europe has been more sensitive to changes in price.

Source: South African Revenue Service (SARS)

Exports to China Increased, but Decreased to the US and Europe

Over the past 10 years, the top destinations for South African macadamias have alternated between the US and China, with Europe close behind. However, in 2022, China emerged as the clear leader, accounting for 40% of the value of South African macadamia exports, compared to 28% the year before. This increase in exports to China occurred despite the country's own production increase from 32,500 mt in 2021/2022 to 62,500 mt in 2022/2023 on an in-shell basis. The US and Europe’s market shares dropped from 31% to 29% and from 22% to 19% respectively. With declining demand from Europe and the US, the South African macadamia industry may continue to target high-income consumers in China in 2023.

Source: SARS

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Cultivating Smallholder Inclusion in Southern Africa's Macadamia Nut Value chains

This paper examines the potential for developing a macadamia nut value chain within Southern Africa, while also exploring the potential for incorporating smallholder producers into the macadamia nut industry. Using the country case studies of South Africa, Mozambique and Malawi, the paper examines the development of the macadamia nut sector in each country, highlighting the challenges faced and positive developments made in incorporating smallholders into the sector, and examining the role of African markets and producers in the international trade in macadamia nuts. The paper concludes with an understanding of the specific requirements policymakers would need to implement if a regional value chain were to be developed for the macadamia nut industry.

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Starting Macadamia Nuts Farming Business Plan (PDF)

Regarding long term business ideas there are many farming business ideas to choose from. One of them is macadamia nuts farming. Macadamia nuts are a valuable fruit with high demand. Macadamia nuts are some of the most expensive nuts in the world. The global demand of macadamia nuts currently exceeds supply. This is what makes macadamia nuts farming an attractive business venture. Macadamia nuts are widely used in the confectionery, baking, ice cream and snack food industries. This is a long term business as the macadamia trees will only start bearing fruits after 4-7 years. However once the trees start bearing the macadamia nuts, they can continue producing them for more than 40 years, and you will continue reaping profits year after year. This article outlines how to start a macadamia nuts farming business and the macadamia nuts farming business plan – PDF, Word and Excel.

Macadamia nuts farming is a lucrative business, providing income for many people, but there are some essential things you need to do before you venture into the macadamia nuts farming business. You have to make a decision on how many hectares you want to farm, which type of macadamia trees you will grow,  and your target market. These choices will be affected by the amount of capital you have, and the size of your target  market.  If you do not have a lot of capital, you can always start small and grow your macadamia nuts orchard over time. You also need to carry out market research (Who are you going to sell the macadamia nuts to? At what price?) and write a macadamia nuts farming business plan before you venture into the business.

Business Model

Macadamia nuts farming is primarily done for the domestic or export market. They can be sold raw and mainly used or food. Macadamia nuts can be consumed in several different forms. For example, some roast them and sell them as snacks. Some process them into candy. They can also be made into food ingredients. Extracts such as oil from macadamia nuts can be used to make detergents and cosmetic products. You can do the value addition yourself or you can sell to food manufacturers. Macadamia nuts can also be processed into other non-food uses. The most common business model is that the farmers harvest and sells the macadamia nuts raw. After all, macadamia nuts are at their healthiest when raw.

Land for Macadamia Nuts Farming Business

Macadamias nuts perform best when they are grown in well-drained and deep soils that are rich in organic matter. When choosing land for macadamia nuts farming, you should avoid heavy clay soils or land with rock bars close to the surface. The slope of the land for macadamia trees should be up to 15% provided that the macadamia orchard is designed to minimize erosion. If the land is too steep, then there will be high risk of erosion and it will also be difficult to operate the farm machinery. The land should also offer sufficient wind protection, this can be provided by surrounding forests or through planting windbreaks. Your business plan for macadamia nuts production should take into account the cost of purchasing or renting the land.

Machinery and Equipment

Machinery and equipment which are required for your macadamia trees orchard business will depend on the scale of your operations. Machinery and equipment needed include tractors, harvesters, boom sprayers, safety equipment, fertilizer spreader, irrigation system, spray equipment, dehusker and sorting equipment, sheds, slashers etc. Some farmers usually hire big machinery like tractors when they want to use them, rather than purchasing them as they are expensive. There may also be need of grid hydroelectricity energy for the irrigation systems, standby diesel generators for use during power outages, or solar powered irrigation systems. The higher the level of mechanization at your macadamia orchard, the higher the efficiency of your operations, and the profitability of your macadamia nuts business. The macadamia nuts orchard business plan should include the costs of acquiring and hiring the various machinery and equipment.  

Macadamia Trees

You require various farming inputs when doing macadamia nuts farming. Most importantly you need the macadamia nut trees. There are several different varieties of macadamia trees which are used in different parts of the world. They vary in characteristics such as size, growth habit,  drought resistance, pest and disease resistance, yield and time to maturity. Thus before you start your macadamia trees orchard business, you have to decide which type of macadamia trees you want to use. That choice will be determined by the availability of the trees, the yield of the trees, the resistance to diseases of the macadamia trees, and your target market. It is important that you purchase your macadamia trees from certified suppliers. If you buy poor quality macadamia trees, your trees will not grow to their full potential and you will have poor yields. You start the business with young macadamia trees which you buy from nurseries. These trees will take 4-7 years to start bearing fruits. You can expect a yield of 3-5 tonnes of macadamia nuts per hectare per year after 10 years. Your macadamia nuts business plan should include the costs of acquiring the macadamia trees.

Farming Inputs

Farming inputs required for macadamia trees farming include herbicides, for effective weed control at your macadamia orchard. Pesticides and fungicides are required for protecting your macadamia orchard against pests and fungi. Fertilizers are required to support the efficient growth of your macadamia trees, by providing all the nutrients needed by the macadamias so that they grow to their full potential. Irrigation may also be required in areas without sufficient rainfall. The costs of acquiring all these inputs should be included in your macadamia nuts business plan.

Pest And Disease Management

The most common pests in macadamia nuts farming are macadamia nut borers, tropical nut borers, and rats. The first line of defence is to use resistant macadamia nut varieties. Agronomists can help you in identifying the best hybrid macadamia nut varieties. You can also consult other successful macadamia nuts farmers. Then once insect infestations emerge, immediately administer the applicable insecticides. That is why it is imperative that you regularly inspect your macadamia nut plants or trees. This is because any delay in noticing insect infestations makes it harder to get rid of them.

The most common diseases in macadamia nuts farming are anthracnose, husk spot, raceme blight, slow tree decline, and quick tree decline. Any damage to the macadamia nut plants or trees can trigger diseases. No wonder it is important to use healthy seedlings when starting out. Even as the macadamia nut plants or trees develop, avoid getting their bodies damaged. It is also important to ensure they are adequately watered. The same applies for fertilizer needs. If these areas are lacking, they can lead to the emergence of diseases. When you discover signs and symptoms of diseases, apply the necessary fungicides. All the above-mentioned diseases are caused by fungi. If you notice any diseased macadamia plants or trees, get rid of them immediately.

Harvesting And Storage Of Macadamia Nuts

When macadamia nuts are ready for harvest, they often fall to the ground. This usually makes harvesting easier; it is important to harvest those nuts that fall as soon as possible. Otherwise you can just pick them off the macadamia trees. Harvesting is typically immediately followed by removing the husks or shells. This is then followed by drying the nuts. Drying can be done naturally or artificially.

Generally, harvested macadamia nuts must be stored in a dry and cool place. Macadamia nuts can even be refrigerated or frozen. Freezing can keep them healthy for up to 6 months. When storing the macadamia kernels it is emphasised that you keep them in airtight containers. You can of course, store unshelled macadamia nuts using the same considerations. As in, get them dried before storing them. This is often not encouraged though.

Farm Workers

When doing macadamia nuts business, you will need full time workers and also to hire part time farm workers as and when necessary. The duties which they will do include planting; herbiciding and pesticiding, irrigation, fertilizer application, tree training & pruning, harvesting, dehusking & drying, grading and packing and general orchard maintenance. The part time farm workers can be paid according to the number of days worked.  You also require supervisors, farm manager, finance & accounting staff, and logistics staff depending on the scale of your macadamia nuts business. The wages and salaries of your workers should be included in your macadamia nuts business plan.

Capital for Macadamia Nuts Business

The amount of capital required for macadamia nuts business depends on the scale of the project. This is a long term venture, as the macadamia trees will start bearing fruits after at least 4 years. So you should have sufficient capital to sustain your business for the first years when you won’t be having any revenue. You can get a loan from the bank, or funding from investors, to use as capital to start your macadamia nuts orchard business. If you plan to raise capital from investors and a loan from the bank, you need a good macadamia nuts business plan. If you don’t have access to investors and bank loan, you can use your personal savings and start small, and grow your business overtime. Even if you are not planning to get a loan, you should still get a macadamia nuts farming business plan to guide you in starting and operating the business. It is essential for you to have a macadamia orchard business plan before you venture into growing macadamia nuts, so that you know all the costs involved and you make an informed decision.

Marketing Strategies

When it comes to macadamia nuts farming it is wise to work with agricultural marketing organizations. These will help you secure clients before the macadamia nuts mature. The easiest way to market macadamia nuts is by engaging manufacturers or processors. Essentially you want clients that purchase in bulk. Having a website and social media accounts for your macadamia nuts farming business is important. It also helps to be properly registered as a business and branded.

Get involved in farming events or activities especially where you can find export linkages. Register with applicable macadamia farming organizations or platforms. Some of the key markets for macadamia nuts are Europe, Asia, and the USA. You can approach embassies to enquire about market prospects and putting your macadamia nuts farming business out there.

The demands for macadamia nuts is huge and ever increasing. Macadamia nuts have a wide variety of uses. Macadamia k ernels are commonly sold as snack nuts and chocolate-covered candy.  Macadamia nuts are also used as ingredients by ice cream manufacturers and the baking industry. The shells and husk of macadamia nuts also have several uses including in plastic manufacturing, cosmestic industy, animal feed, and as mulch. There is a large export market for macadamia nuts. The largest export destinations for macadamia nuts include United States, Germany, Japan, Hong Kong, Vietnam and China.

Keys To Profitability

Identify and secure market linkages.

For instance, China and Canada are some the key markets for macadamia nuts. As a macadamia nuts farmer you need to identify markets. You more importantly need to establish market linkages for your macadamia nuts. Otherwise you might struggle to sell your macadamia nuts once you have harvested. Macadamia nuts usually have specialized markets so you cannot just find them everywhere. Do your homework, find them, and establish a connection. If you work with experts and support organizations from the start, this will be easier to do.

Cut Out The Middle Men

Macadamia nuts farmers can be duped by middle men. In fact, the middle men arrangements reduce the revenue macadamia nuts farmers get. The reason why they look or work with middle men is difficulties in accessing good markets. As such middle men can come in due to their connections to macadamia nuts markets. They will then buy the macadamia nuts for far less than the actual market value. Then they will in turn resell the macadamia nuts for higher prices at formal markets. That is why it is important that the macadamia nuts farmers cut out middle men.

Pre-Written Macadamia Nuts Farming Business Plan (PDF, Word And Excel): Comprehensive Version, Short Funding/Bank Loan Version and Automated Financial Statements

For an in-depth analysis of the macadamia nuts farming business, we encourage you to purchase our well-researched and comprehensive macadamia nuts business plan. We introduced the business plans after discovering that many were venturing into the macadamia nuts production business without enough knowledge and understanding of how to run the macadamia trees orchard business, how to grow the macadamia trees, lack of understanding of the financial side of the business, lack of understanding of : the industry, the risks involved , costs and profitability of the business; which often leads to disastrous losses.

The StartupBiz Global macadamia nuts business plan will make it easier for you to launch and run your macadamia farming business successfully, fully knowing what you are going into, and what’s needed to succeed in the business. It will be easier to plan and budget as you will be aware of all the costs involved in setting up and running the macadamia nuts business.

Uses of the Macadamia Nuts Business Plan (PDF, Word And Excel)

The macadamia nuts farming business plan can be used for many purposes including:

• Raising capital from investors/friends/relatives
• Applying for a bank loan
• Start-up guide to launch your macadamia farming business
• As a macadamia nuts farming business proposal
• Assessing profitability of the macadamia nuts farming business
• Finding a business partner
• Assessing the initial start-up costs so that you know how much to save
• Manual for current business owners to help in business and strategy formulation

Contents of the Macadamia Business Plan (PDF, Word And Excel)

The macadamia business plan include, but not limited to:

• Marketing Strategy
• 15 Years Financial Statements [income statements, cash flow statements, balance sheets, monthly cash flow projections (3 years monthly cash flow projections, the remaining 12 years annually), break even analysis, payback period analysis, start-up costs, financial graphs, revenue and expenses, Bank Loan Amortization]
• Risk Analysis
• Industry Analysis
• Market Analysis
• SWOT & PEST Analysis
• Operational Requirements (Including technical aspects of how to grow the macadamia trees etc)
• Operational Strategy
• Why some people in macadamia farming business fail, so that you can avoid their mistakes
• Ways to raise capital to start your macadamia farming business

The Pre-written macadamia nuts business plan package consists of 4 files

• Macadamia Nuts Farming Business Plan – PDF file (Comprehensive Version – 99 Pages)
• Macadamia Nuts Farming Business Plan – Editable Word File (Comprehensive Version – 99 Pages)
• Macadamia Nuts Farming Business Plan Funding/Bank Loan Version- Editable Word File (Short version for applying for a loan/funding – 50 pages)
• Macadamia Nuts Farming Business Plan Automated Financial Statements – (Editable Excel File)

The business plan can be used in any country and can be easily edited. The financial statements are automated. This implies that you can change eg the number of hectares, selling price of  the macadamia nuts etc, and all the other financial statements will automatically adjust to reflect the change.

Click below to download the Contents Page of the Macadamia Nuts Farming Business Plan (PDF)

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Many thanks for your incredibly efficient service and thorough business plan. I am very impressed with the business plan. Before I bought the business plan, I tried to do my own business plan – it was such a nightmare and it turned out badly, also not to mention the stress it caused me. I wish I knew about your website earlier!

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Testimonial 6

I purchased a business plan from you, and I’m glad to inform you that I was able to get my loan, and I’m starting my poultry farming business on the 1 st of July. This was made possible because of your business plan. Thank you very much, you made my dream come true.

Testimonial 1

StartupBiz Global provided a very professional and comprehensive business plan which I used for my business. The business plan was easy to edit, and I was able to get the funding which I wanted. I highly recommend their business plans.

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I was able to understand the business side of farming because of your business plan. You did extensive research; the business plan was well prepared and fully detailed.  It made everything clear, and I have somewhere to start now. I am confident that I am going to succeed in my business because of the guidance from your business plan.

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Get the Macadamia Nuts Farming Business Plan (PDF, Word And Excel) - $50

Click Buy Now  below to purchase using Paypal, Credit Card, or Debit Card. After you have purchased, you will immediately see the download link for the business plan package on the screen. You will also immediately get an email with the business plan download link. The Pre-written business plan package (PDF, Word, and Excel) costs $50 only!

If you want to purchase multiple business plans at once then click here: Business Plans Store.

The business plan package is a zipped compressed file containing the PDF, Word and Excel documents. To open the package after downloading it, just right click, and select Extract All. If you have any problems in downloading and opening the files, email us on [email protected] and we will assist you.

We wish you the best in your macadamia nuts farming business! Check out our collection of business plans  , and more business ideas .

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ADNOC, Aramco considering bids for Shell’s South African assets – report

Shell announced a plan to divest its majority shareholding from a local South African downstream unit after a comprehensive review of its businesses

Abu Dhabi National Oil (ADNOC) and  Saudi  Aramco are among companies weighing bids for Shell’s downstream assets in South Africa, Bloomberg News reported on Friday, citing people familiar with the matter.

South Africa’s Sasol is also considering an offer for the business, which could be valued at more than $800m, the Bloomberg report said.

“We have been approached by several highly credible parties which cannot be disclosed at this stage,”  a Shell spokesperson told Reuters.

Shell’s exit from South Africa

Earlier this month, Shell announced a plan to divest its majority shareholding from a local  South  Africa n downstream unit after a comprehensive review of its businesses across all regions.

“As a result of this review,  Shell  has decided to reshape the downstream portfolio and intends to divest our shareholding in SDSA … this decision was not taken lightly,” a  Shell  statement said. It did not specify when the decision took effect.

Shell  Downstream SA (SDSA) was formed after  Shell  South  Africa  and black empowerment company, Thebe Investment Corporation, agreed a decade ago to merge  Shell  South  Africa  Marketing and  Shell  South  Refining businesses. Thebe held a 28 per cent equity stake.

Shell , which has been present in  South  Africa  for more than century, is still exploring the country’s offshore, incurring opposition from environmental campaigners who have launched court action.

During the divestment process,  Shell  said it would work to preserve SDSA’s operating capabilities and maintain its brand presence.

One of SDSA’s main assets and  South  Africa ‘s largest refinery, Sapref, in the east coast port city of Durban has not been operating since 2022 when  Shell  and its refinery joint venture partner, BP, decided on a spending freeze and halt to the refinery’s operations.

Flooding along the coast that killed nearly 400 people that same year severely damaged the plant, which at that stage provided around 35 per cent of  South  Africa ‘s refining capacity.

South  Africa ‘s Central Energy Fund said two years ago it was interested in Sapref, which has a nameplate capacity of 180,000 barrels per day, as it seeks to overcome energy security concerns.

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Mayo Macs is a South African macadamia processing and marketing company wholly owned by its grower shareholders.

More than 300 macadamia growers across South Africa entrust their nuts to Mayo Macs, which owns and operates two state-of-the-art macadamia processing facilities near Nelspruit in Mpumalanga and at Paddock on the South Coast of KZN. The processing facilities are supplemented by delivery/receiving depots at Empangeni in Northern KZN and George in the Southern Cape to accommodate growers from across the country.

01. Sustainability

Sustainability is key to Mayo Macs stakeholders. Especially when considering the time and expense that are required for trees to come into full production, as well as the cost of building the business.

Mayo Macs is known for offering all its stakeholders superior value year after year. Mayo Macs Marketers look to maximize Dollar price over the long term, by building sustainable relationships with our customers. 

03. Own the supply chain

Mayo Macs stakeholders have the opportunity to buy into the supply chain network. Full value is extracted for the Mayo Macs stakeholders. Our members are not farm gate price takers.

Proven Success

The numbers don’t lie.

More than 300-Macadamia growers across South Africa deliver their nuts to Mayo Macs. For this reason, we have invested in two state-of-the-art Macadamia processing facilities that are more than capable of handling the forecasted increase tonnages.

In order to accommodate growers from across the country, the processing facilities will be supplemented by strategically placed delivery/receiving depots.

These facilities adhere to international food safety standards which allow our international marketing partners to distribute locally produced and processed Macadamias to various countries around the world.

Strategic Partners

SAMAC is an association of macadamia industry role-players that aims to do things that individuals are unable to do on their own.

https://www.samac.org.za/

The foundation of the International Nut and Dried Fruit Council mission is t o stimulate and facilitate sustainable growth in the global Nut and Dried Fruit Industry.

https://www.nutfruit.org/consumers

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I.C.C. Prosecutor Requests Warrants for Israeli and Hamas Leaders

The move sets up a possible showdown between the international court and israel with its biggest ally, the united states..

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This week, Karim Khan, the top prosecutor of the International Criminal Court, requested arrest warrants for Israel’s prime minister, Benjamin Netanyahu, and the country’s defense minister, Yoav Gallant.

Patrick Kingsley, the Times’s bureau chief in Jerusalem, explains why this may set up a possible showdown between the court and Israel with its biggest ally, the United States.

On today’s episode

Patrick Kingsley , the Jerusalem bureau chief for The New York Times.

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Why did a prosecutor go public with the arrest warrant requests ?

The warrant request appeared to shore up domestic support for Mr. Netanyahu.

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