W5 Macadamia Update: Historically Low Price in Australia, Surging Exports in Zambia, and New Export Opportunities in Vietnam

Macadamia Prices in Australia Hit a 10-Year Low Due to Increased Supply and Strong Competition

According to the 2023 Australian Macadamia Nut Association's (MNA) Annual Report, the price of macadamias in Australia hit a 10-year low due to increased global supply and intensified price competition in the export market. Farm-gate sales reached USD 67.6 million in 2023, a considerable decrease from USD 217.1 million in 2020. The cultivation area was 40 thousand hectares (ha), with approximately 800 growers, and the shell nut production in the 2022/23 season was 48.4 thousand metric tons (mt). As per the report, 75% of the Australian macadamia was used for exports in 2023, generating an export value of USD 300 million.

Additionally, Australia maintained its leadership in exporting to China, accounting for 65% of total imports. Although China has become the world's second-largest producer of macadamia nuts after South Africa, its imports are still growing rapidly. In particular, the 2023 imports increased by 40% year-on-year (YoY).

Zambia's Macadamia Exports Surged to 2,000 MT in 2023

In 2023, Zambia's macadamia exports surged to 2 thousand mt. In contrast, domestic consumption is comparatively low, as most production is for exports. The country's macadamia production is expected to grow rapidly over the next five years, reaching 6 thousand to 7 thousand mt by 2028 and 10 thousand mt by 2030. However, due to the underdeveloped supply chain, most macadamia exports are redirected through South Africa, which could be a missed opportunity for direct exports to consumer countries.

Vietnamese Macadamia Nuts Successfully Entered the South Korean Market in Jan-24

On Jan-24, macadamia nuts grown in Đắk Lắk, Vietnam, were officially exported to South Korea. This is a significant achievement and it sparked optimism for the future of this promising product. Vietnam's macadamia cultivation is primarily concentrated in the Central Highlands region, including Đắk Lắk, and Đắk Nông. The industry is gradually expanding into nearby provinces due to increasing demand for local consumption from global partners. This trend highlights the favorable prospects for the Macadamia nut industry in Vietnam.