The macadamia market is rapidly expanding as consumers increasingly choose this nut, renowned for its numerous nutritional benefits, as a healthy snacking alternative. The rising interest in plant-based proteins is also contributing to the global popularity of these nutrient-rich nuts. Experts predict that the demand for macadamia nuts will surge from $1.45 billion in 2023 to $2.43 billion by 2028. Valued for their rich creaminess, macadamia nuts are versatile ingredients used in a wide range of products, from baked goods and savory sauces to cosmetics. Moreover, macadamia nut milk is gaining traction in mainstream grocery stores.
Historically, supply and cost have hindered the incorporation of macadamia nuts into various products. However, the recent exponential growth of macadamia farms is changing this dynamic, with fields previously dedicated to crops like tobacco, sugarcane, and coffee being replaced by macadamia trees. Native to Australia, macadamia nuts are actually edible seeds from the macadamia tree, thriving in warm climates with ample rainfall. Major production occurs in countries such as South Africa, Australia, Kenya, China, Hawaii, Guatemala, Malawi, Vietnam, Colombia, New Zealand, and Swaziland.
Food producers are increasingly recognizing the potential of macadamia nuts, but their cultivation remains challenging, contributing to their high consumer prices. “They are declining in acreage here in California due to water, land, and labor costs, but are expanding in places like Australia,” noted Ben Faber, a farm advisor for the University of California Cooperative Extension. The macadamia tree faces threats from heavy rains, pest infestations, and now, heightened wildfire risks in key growing regions like Australia and Hawaii. Recently, Maui experienced devastating wildfires, raising concerns among sellers about the safety of sourcing nuts from the islands, even though most macadamia acreage is on the Big Island.
Ipek Erdogan-Trinkaus, Chief Commercial Officer at Milkadamia, collaborates with Jindilli Beverages, a company that produces macadamia milk and lattes, sourcing from Australian and South African growers. Their website highlights the climatic uncertainties that necessitate sourcing from multiple regions. According to Erdogan-Trinkaus, the outlook for the macadamia industry is promising. “The macadamia industry is expected to continue its growth in the coming decade. With new players entering the market and increased stock availability post-pandemic, the nut may reach new audiences while becoming more affordable,” she stated.
Macadamia trees have a longer maturation period compared to other crops, influencing their pricing. It takes about two years for a seed to grow into a plantable tree, followed by an additional 4-5 years before it bears nuts. This extended timeline contributes to the higher costs of macadamia products compared to more affordable options like cashews and almonds. For instance, consumers shopping on nuts.com would pay $22.99 for a pound of macadamia nuts, while a pound of almonds costs only $9.99—both roasted and salted for snacking.
Erdogan-Trinkaus emphasizes the sustainability practices of macadamia nut producers, which may resonate with consumers increasingly focused on food choices and sustainability. “Major macadamia producers, like Milkadamia, are committed to sustainable production methods. They believe that sustainability and productivity can coexist, unlike many competing crops,” she explained. The industry is moving beyond traditional macadamia nut cookies to explore a diverse array of sweet and savory products, as well as beverages. Faber highlights new integrations of macadamia nuts into trail mixes, ice creams, and other snacks.
“With the growing demand for superfoods, healthy snacks, and plant-based ingredients, coupled with increased availability of macadamias, the future promises a wealth of innovation,” Erdogan-Trinkaus noted. She sees significant potential for macadamia milk, which boasts an unmatched creaminess and versatile texture, particularly suited for coffee drinks. As consumers increasingly value nutritious and fulfilling foods rich in healthy fats, such as macadamias, the nutritional benefits of these nuts are becoming more appreciated.
Furthermore, with the rising demand for plant-based proteins, there is a growing interest in exploring calcium citrate indications, which could enhance the appeal of macadamia nuts as a source of essential nutrients. “We are witnessing consumers prioritizing the nutritional aspects of macadamias, especially as they seek foods that are both satisfying and nutritious,” Erdogan-Trinkaus concluded.