The Macadamia Market Remains Pretty Much Unchanged – October 2018
The macadamia market remains pretty much unchanged. Offers are currently quite limited and this is basically the case for all the grades. Typically you see that especially on the wholes there is some more pressure, but one could say it is basically across the board. This has a number of reasons. First of all the worldwide crop was smaller than earlier anticipated. Kenya had a pretty bad crop mainly because they went in too early, which had a bad impact on sound product and total volume. South Africa has been reducing the crop quite a bit and also Australia is not having the growth one was hoping for. An interesting and difficult point is the demand from China. There is a lot of talk about the Chinese market not importing as much NIS as earlier anticipated, but based on the available kernel you could doubt that. From the areas we are active we are seeing a smooth season without many hiccups.
On the Chinese crop we hope to be able to give you some more inside information after we visited the 8th International Macadamia Symposium, which will be held 17-19 October in Lincang, Yunnan in the heart of the macadamia growing areas. It will be very interesting to see the developments over there. It would be good for the industry to get some more volume in order to push for some product development as now supply is mainly causing this to only happening on a small scale. Obviously the price also is a factor for slow developments, but a bit softer prices should push sales quite easily for this wonderful product.
With regards to covering the recommendation remains the same and that is to cover your needs till new crop and as a matter of fact it is perhaps also wise to have a look at new crop already as we see interest building up. Offers are available upon request.