The ManicaPost
Samuel Kadungure
Senior Reporter
HARVESTING of macadamia nuts has started with farmers rooting for a pre-season break-even price of US$3/kg to avert a repeat of last season where they were got low prices for their produce.
In 2022, the nuts were capped at as little as US$0,80 per kg.
The poor prices almost forced them out of business.
The nuts harvesting window stretches from January to June and many farmers are hoping for the best prices after struggling to take good care of their orchards following a poor return on their investments last season.
The growers want urgent measures to be taken to fine-tune price distortions which has seen three traditional buyers (names withheld) monopolising the local market and allegedly conniving to reduce the prices in order to get super profits when exporting the crop.
Macadamia nuts are mainly grown in Chipinge and are mainly exported to Asian countries where demand is high.
The nuts, although tricky to grow, have become a new lifeline for more than 400 farmers in Chipinge.
This season, the farmers have about 10 000 hectares under macadamia, with the tree having the capacity to produce 30 000 tonnes of nuts.
In 2010, a kilogramme of macadamia cost 30 cents before it rose to 90 cents in 2011.
In 2012, it jumped to US$1,50, and then US$2 in 2013.
The price then went down to US$1,80 in 2015 due to poor quality, but rose to US$2,20 in 2016, and then to US$3,20 in 2017, US$3,50 in 2018 and US$3,80 in 2019.
Things took a nasty downturn in 2020, 2021 and 2022 due to the Covid-19 induced lockdowns which gave buyers an opportunity to collude to control the price of the nuts.
As a result, the price went on a free-fall.
Macadamia Producers Association of Zimbabwe (MPAZ) secretary general, Mr James Maisiri said harvesting started in January and farmers are stockpiling the nuts pending an agreement on the minimum price.
He said they are engaging three other buyers from South Africa and Belgium, with the buyers making an undertaking to buy the nuts at a price ranging between US$4 and US$6 per kg.
Mr Maisiri said they were forced to scout for new buyers after realising that the growers were getting a raw deal after all the hard work.
He said growers will this season protest by withholding their crop if the price dispute remains unresolved.
“We started harvesting January, but our major concern is the price. The nuts quality is good, but we cannot have a repeat of what happened last season because that will destroy the growers and push us out of business.
“This is our livelihood and we should get a meaningful return on our investment to sustain the business. We are rooting for the 2019 price benchmark of at least US$3 per kg to cover the production costs. We expect the traditional buyers to understand our plight, otherwise we will withhold our nuts in protest,” he said.
Mr Maisiri added: “We have been scouting for new buyers and we had a tentative agreement with two buyers from South Africa and one from Belgium. We are reaching out to Government to facilitate their coming on board because they had offered between US$4 and US$6 for the first grade nuts. You cannot compare that offer with what was offered last year, which was exploitative.
“The farmers are still angry and reluctant to go back to deal with the same buyers,” he said.
Mr Maisiri said the cost of inputs per hectare is very high, adding that prices should be raised to sustain production.
A farmer needs at least US$5 000 to grow a hectare of macadamia and should get about US$12 000 after selling the nuts to remain viable.
Mr Maisiri also appealed for Government support in establishing a macadamia processing factory in Chipinge so that farmers cease selling their produce in their raw form.
“We do not have a processing factory, otherwise we should not be selling the nuts in their raw form. The buyers are taking the nuts as raw material, yet if we had a factory we could be selling them finished products would fetch better prices both locally and regionally,” said Mr Maisiri.
Only Tanganda and Ariston are processing the nuts.
Mr Maisiri said farmers and the police have scaled up security around macadamia orchards since the nuts are on demand.
