Gov't Bans Macadamia Harvesting to Block Poor Exports

The Ministry of Agriculture will curb the harvesting of Macadamia starting next month, all the way to March next year to prevent the export of immature, poor quality nuts.

•Dealers have been notified to submit their current stock of the produce to the Agriculture and Food Authority (AFA) for inspection and quality verification by November 15.
•According to a statement by the Agriculture Cabinet Secretary Andrew Karanja, a minimum farm gate price of KSh 100 per kilogram will be assured.
•The quality assessment will be undertaken to determine which macadamia nuts will be processed for exports as the gov’t phases out raw exports.

“A ban on macadamia harvesting will take effect from 2nd November 2024 until 1st March 2025 to curb the export of immature nuts. Dealers must submit their current stock for inspection, verification and clearance by 15th November 2024,” Karanja said.

Kenya exports 95% of its macadamia produce. By 2019, processed nuts sold for KSh 180 per kilogram. Later in 2023, the prices had fallen to KSh 30 and KSh 40 per kilogram.

The Agriculture Ministry lifted the ban on raw macadamia exports in November last year to boost the volume of the nuts’ exports. One year later, the gov’t has rescinded its move to save Kenya’s produce reputation in international markets.

“Exporting processed macadamia nuts (kernels) is more beneficial to Kenya than exporting raw in-shell (raw),” the CS added.

The government’s policies on raw Macadamia exports have raised farmers’ concerns over the past few months. They have complained that many processors purchase their nuts at very low prices thus diminishing revenues without offsetting costs.

In September this year, the Senate Agricultural Committee led by Kirinyaga Senator James Murango urged the ministry to extend the window for raw macadamia exports by six months. The committee relayed complaints from the farmers that thousands of kilograms of their produce would remain unsold if the ban took effect.

Macadamia from Kenya is mostly exported to the US, Germany, Japan, China, and Canada. Demand for the nuts has declined considerably due to diminishing quality and new entrants into the product’s global market including Mozambique, Swaziland, and Malawi.