![Managing macadamia production when margins are low](https://cdn.magzter.com/1373618752/1719313862/articles/-4k5rPEEw1719512547607/MANAGING-MACADAMIA-PRODUCTION-WHEN-MARGINS-ARE-LOW.jpg)
Global macadamia prices experienced three consecutive years of decreases post-COVID-19 as consumers had little excess to spend on this luxury nut. Orchard expansions, done en masse worldwide when prices started climbing in the mid-2010s, are adding an additional 10% per annum to global stocks, creating further pressure on the market.
However, demand is recovering and, according to Roelof van Rooyen, director of Global Macadamias, farmers should start feeling some relief this year. "The in-shell market saw much movement at the start of the year, as the Asian appetite was whet by low prices. With these stocks mostly sold for the season, the attention has now turned towards kernel, bringing good demand for this important aspect of the supply."
But Van Rooyen cautions that prices are unlikely to reach the highs seen in 2018, although farmers can look forward to greater stability, as this market matures amid volume increases and expanding inclusion in product ranges.
Right now, however, farmers have little cash to bank on as the last three years took their toll. Juan Winter, managing director of agriservices company Source BI, notes that farmers have faced big losses since skyrocketing input costs compounded the effect of the low prices. And it does not appear as if this part of the equation will rectify itself anytime soon.
"Production costs for 2024 should be similar to the past two years, averaging around R69 000/ha. As things stand, it should be another four years of struggle before things start looking better," says Winter.
He bases his prediction on the fact that the vast majority of trees in South Africa have yet to reach full production (year seven), meaning that income, if any, is still low.
The Source BI benchmarking tool shows that the biggest pool of trees in South Africa, at 23%, is around five to six years old. Some 18% of trees are around eight years old, while 13% are only four years old.
Denne historien er fra July 05, 2024-utgaven av Farmer's Weekly.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
Allerede abonnent ? Logg på
Denne historien er fra July 05, 2024-utgaven av Farmer's Weekly.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
Allerede abonnent? Logg på
![New Spier wine collection highlights the strength of diversity](https://reseuro.magzter.com/100x125/articles/3894/1783980/_1NkGq7sx1722592356874/NEW-SPIER-WINE-COLLECTION-HIGHLIGHTS-THE-STRENGTH-OF-DIVERSITY.jpg)
New Spier wine collection highlights the strength of diversity
The recent launch of the Spier Wine Farm Farmer Angus collection also featured insightful talks on the benefits of regenerative farming and community resilience, writes Glenneis Kriel.
![Agriculture's massive rail burden](https://reseuro.magzter.com/100x125/articles/3894/1783980/70WJzZlWV1722592170239/AGRICULTURES-MASSIVE-RAIL-BURDEN.jpg)
Agriculture's massive rail burden
New ways of reducing tariffs on farm livestock and products were under consideration.
![French elegance and Hollywood glamour in the heart of Cape Town](https://reseuro.magzter.com/100x125/articles/3894/1783980/J_4g9Qmpl1722591831004/FRENCH-ELEGANCE-AND-HOLLYWOOD-GLAMOUR-IN-THE-HEART-OF-CAPE-TOWN.jpg)
French elegance and Hollywood glamour in the heart of Cape Town
Brian Berkman stayed at The Marly Boutique Hotel and Spa, where you can forget about seasonal ups and downs, because the Camps Bay strip cooks all year round.
![Losing a horse: reflecting on a personal experience](https://reseuro.magzter.com/100x125/articles/3894/1783980/hIobbn0s11722591720007/LOSING-A-HORSE-REFLECTING-ON-A-PERSONAL-EXPERIENCE.jpg)
Losing a horse: reflecting on a personal experience
There is a special bond between a rider and their horse, and when that bond is broken, it is difficult to cope with the loss, writes Dr Mac.
![SUV shoot-out: the verdict](https://reseuro.magzter.com/100x125/articles/3894/1783980/SpWhwNn9-1722591631114/SUV-SHOOTOUT-THE-VERDICT.jpg)
SUV shoot-out: the verdict
Six of the most rugged and capable ladder-frame SUVs set out on a thrilling expedition across the Cape and through the challenging terrain of the Karoo. Car Magazine provides its assessment of each vehicle.
![Underground problems.in a field of beans](https://reseuro.magzter.com/100x125/articles/3894/1783980/HyYKhJrBa1722591490078/UNDERGROUND-PROBLEMSIN-A-FIELD-OF-BEANS.jpg)
Underground problems.in a field of beans
Bill Kerr says the benefits of growing crops in healthy, organic soil was never adequately taught to him during his agricultural education.
![Fire-smart farming: how to tame the flames and be prepared](https://reseuro.magzter.com/100x125/articles/3894/1783980/JA5F2Msns1722591317680/FIRESMART-FARMING-HOW-TO-TAME-THE-FLAMES-AND-BE-PREPARED.jpg)
Fire-smart farming: how to tame the flames and be prepared
As we head for what is predicted to be another hot and dry summer, farmers must remain vigilant about the risk of fires, writes Brendon Adams, after-sales product and technical support at Husqvarna South Africa.
![Free-roaming cheetahs: researchers and conservationists join forces with farmers](https://reseuro.magzter.com/100x125/articles/3894/1783980/Zo01VfZG81722590850261/FREEROAMING-CHEETAHS-RESEARCHERS-AND-CONSERVATIONISTS-JOIN-FORCES-WITH-FARMERS.jpg)
Free-roaming cheetahs: researchers and conservationists join forces with farmers
Cyril Stannard, project manager and field officer at the Cheetah Outreach Trust, spoke to Roelof Bezuidenhout about the progress of the Free-roaming Cheetah Census, which covers the entire area where this iconic cat occurs in South Africa and neighbouring countries.
![Kenya's Boran breeders' society joins SA Stud Book](https://reseuro.magzter.com/100x125/articles/3894/1783980/M0eV0_-vL1722590690695/KENYAS-BORAN-BREEDERS-SOCIETY-JOINS-SA-STUD-BOOK.jpg)
Kenya's Boran breeders' society joins SA Stud Book
The Boran Cattle Breeders' Society of South Africa has welcomed Kenya's Boran Cattle Breeders' Society (BCBS) to join SA Stud Book, the South African animal registering organisation.
![UK farmers don't fear lab-grown meat](https://reseuro.magzter.com/100x125/articles/3894/1783980/rRpgid9p61722590605111/UK-FARMERS-DONT-FEAR-LABGROWN-MEAT.jpg)
UK farmers don't fear lab-grown meat
A new report from the Royal Agricultural University (RAU) in Gloucestershire, England, suggests that lab-raised meat may not be as threatening to traditional farming as previously thought.