South Africa is looking to expand its macadamia exports by opening new markets, addressing tariff barriers and improving logistics, as the country seeks to strengthen its position in the global nut trade.
Deputy Minister of Trade, Industry and Competition John Steenhuisen said government and industry need to work together to identify new sources of demand while strengthening existing international trade relationships.
Speaking at a Macadamias South Africa (SAMAC) MacDay on the Road event in Umhlanga, KwaZulu-Natal, Steenhuisen said South African agricultural exporters could no longer rely solely on established markets.
“We need to deepen existing trade relationships while identifying new markets and opportunities for South African goods and services,” he said.
Trade data cited by the International Trade Centre and SAMAC indicates that South Africa accounts for about 38% of global macadamia export value, while approximately 98% of the country’s domestic macadamia production is exported.
South Africa’s export markets vary by product. Nuts in shell are shipped predominantly to China and other East Asian markets, while macadamia kernels are mainly exported to North America and Europe.
Despite strong international demand, tariffs and pricing pressures can affect the competitiveness of South African producers. India was highlighted as one market where tariff barriers remain an issue for exporters.
Steenhuisen said South Africa was seeking fairer trading conditions rather than preferential treatment for its agricultural products.
The government plans to use existing trade relationships to pursue improved tariff conditions, although no specific agreement or implementation timetable was announced. Expanding market access will also require exporters to meet sanitary and phytosanitary requirements in destination markets.
Logistics is another area requiring attention. For an export-dependent industry, efficient ports are critical to maintaining reliable supply chains and ensuring that products reach international buyers competitively.
Steenhuisen said the public-private partnership at the Port of Durban could provide an opportunity to improve port performance and strengthen the movement of agricultural exports.
Beyond market access and logistics, the government and industry are also focusing on product quality, value addition and sustainability. Maintaining consistent quality and food safety standards will be important to protecting South Africa’s reputation among international buyers.
Steenhuisen also encouraged greater domestic processing and manufacturing so that South Africa can capture more value from its macadamia crop. Potential opportunities include products such as macadamia oil and other processed goods.
For an industry where most production is destined for international markets, expanding the range of destinations while developing higher-value products could help reduce reliance on a limited number of export markets.
The government has indicated that its role will be to create conditions that allow existing growers and new entrants to expand production, improve competitiveness and participate more effectively in global macadamia markets.