What’s the future for NSW macadamia farming?

With input costs rising, staff resources scarce and macadamia prices falling, I ask the difficult question: is it viable to farm macadamias in the northern rivers any more?

[@craigunsworth6895]

Your orchard is looking amazing. Hopefully the drop off in demand is temporary but supply is certainly on the way up here in SA. Please keep up the content, it’s always well received.

[@nutkinfarm]

Thanks Craig. The demand side is also hampered by shipping constraints, so it’s not all consumer driven. Which SA region is growing macadamia?

[@craigunsworth6895]

@@nutkinfarm The Northern and Eastern Provinces (Limpopo, Mpumalanga and KwaZulu Natal ) are where most Macs are grown. I know plantings in Mozambique and Zambia will pretty much start contributing in the next few years too. If Macs currently only enjoy around 1% of the global tree nut market, you would think there is still lots of room to grow.

[@nutkinfarm]

@@craigunsworth6895 good to know. Yes there’s lots of room to grow, but supply and demand have often bounced around and the price has historically been unstable. Then from 2015 onwards the price rose steadily, prompting new plantings that will result in a huge supply spike in coming years. We need to drive demand up to match.

[@laonongtrendinhdk]

macadamia đẹp quá, bãi cỏ xanh rất đẹp, người trồng mắc ca từ việt nam xin chào

[@halifakx]

Beautiful farm. Im sure things will be ok! Australian people in farming are practical, smart and hardworking. You cant beat that!

[@nutkinfarm]

Thanks Eugenio. I’m confident we’ll work it out too.

[@amity4513]

Hlo sir What's climate condition for medmiya nuts like temperature, soil etc

[@nutkinfarm]

Hi Amit. Have a look at my video on this subject. kzbin.info/www/bejne/g4HQdqaLYqaCoKcsi=E_8t2lWbqU-JHgjc

[@kdegraa]

The farm looks like a million dollars, the trees look so full of life. I’m not really sure how the price of maca nuts will go. I tend to agree with the AMS’s belief increased supply will increase the value of maca nuts. At first I did not understand how this could be but then I considered their argument increased supply will make maca nuts a viable ingredient for big food companies products. It would be great if there was a maca version of the Picnic Bar. The big worry I have is debt. There is a huge amount of it both private and public. It’s a burden that will be a drag on us for a long time . Personally I think I’ll just forget for now any idea of borrowing money to buy a bigger place. I’ll be less stressed if I don’t have a big payment to make every month and not enough money to pay it.

[@nutkinfarm]

I agree Karl. Coupled with that is a desire I have for the farm to pay its way and then choose to put those earnings back into improving it. Very different to the “money pit” feeling!

[@cathford363]

ps-why quote the AMS? they are hardly representative of the financial side of the industry; instead of theorising - why don't you stand for some processor boards or people who know what they are talking about rather than random quotes. Hopefully you are aware that there are two individuals who control the Australian market? Why not mention the actual cost of production for small farms compared to the larger ones; the cost of production over the profits???? Just don't like these random comments that can effect people who are potential growers- want to have a coffee when you are in Rosebank?

[@laonongtrendinhdk]

mình cung đang trồng ma ca . bạn trồng nhiều ma ca không?

[@GR19611]

A good thing you have a great career to fall back on and the potential lifestyle benefits are very positive for mental health providing you have little Debt . I think the ones that put in the extra effort for sales will weather the storm best , until things improve . Farm looks wonderful . I agree that Mac crumbs are underrated and my favourite cookies are Macadamia and white chocolate . cheers 😉

[@nutkinfarm]

Thanks Golden. Guess what, that’s my favourite cookie too! Irresistible.

[@pauldelmenico983]

Hi Daniel Things change quickly I remember watching a video Garth did about the state of the industry a few years ago when the demand for nuts was strong and the price was very healthy. I have noticed the few farms for sale have been on the market for quite a long period of time though I think the owners have never been realistic regarding price. Great video thanks Paul

[@kdegraa]

Yes maca farms seem to be harder to sell now. Maybe a part of it is people no longer live in a prison system where movements were restricted. This made urban living pretty dull. So rural living looked more enjoyable. This along with the hundreds of billions of dollars of money created and flowing into peoples accounts so they could stay at home lead to higher prices for rural property in general. Now the money needs to be paid back and people are free.

[@nutkinfarm]

Hi Paul. I agree. I wish I knew what Garth was thinking about things now - it’s turned out differently to how he predicted - like the whole world really! I’ll go into more depth about the macadamia farm property market in about October - my annual update. There’ll be lots to talk about!

[@juanfernando000]

Un cultivo muy bonito y muy productivo..suba el vídeo cuando empiece la cosecha de las nueces.

[@nutkinfarm]

I’m sorry Juan. Almost the only Spanish I know is “no hablo Espagnol”. I’d answer you if I could!

[@cathford363]

Hello, you didn't confuse me we also had 12,500 coffee trees and processed your farms coffee for years; to quote only one member of the coffee industry- not good at all

[@Kirsten39710]

I’m looking forward to my PhD lacebug data coming out! Definitely need more numbers on the economics of predators. Great vid, moving away from high input costs that may not be necessary makes sense even when prices are good 😊

[@nutkinfarm]

Inputs are a numbers game, essentially. When prices are high, an extra 1% more kernel recovery or a 1% lower reject make extra inputs viable. AMS benchmarks studies prove the relationship between inputs and outputs - but if you’re being asked to supply pearls and being paid for rocks… Your PhD sounds fascinating!! If you’re in the Northern Rivers I’d love to interview you for the show.

[@trentneumann5788]

It should pickup in couple of years once the economy settles down. Plus as you mentioned South Africa trees are starting to get to the age where they're going to falling in crop because it is all planted at 8x3/4. Just be thankful it shouldn't reach the low of $1.20 when I started. Thanks Trent

[@nutkinfarm]

One of these days I'm so going to interview you, Trent! You're sitting on a wealth of knowledge. The $1.20 days must have been a horror time, although the modern equivalent of that might be close to $3 in 2023 money. Cross fingers eh?

[@cathford363]

OMG! Are we 'the next coffee" well the way you explain it-yes; the reality is quite different

[@nutkinfarm]

The way I explained it was that we WOULDN'T end up that way, Cath, provided we responded flexibly to the challenges facing us. The coffee was a historical comparison that I used for the purpose of differentiation. My apologies if I confused you.