Hazelnuts are recognized for their impressive health benefits, attributed to their iron content, dietary fiber, and heart-healthy monounsaturated fats. Like other tree nuts, they are calorie-dense, containing 178 calories per ounce, as noted by Livestrong.com. In addition, this same serving offers 4 grams of protein, 5 grams of carbohydrates, and 2.7 grams of dietary fiber. The primary consumers of hazelnuts are women aged 18 to 44 who have higher incomes, college degrees, and children at home. This group tends to handle more family shopping and spends more per shopping trip. Furthermore, these consumers are more focused on the outer aisles of stores, which suggests strategies for retailers on how to effectively display hazelnut products for maximum visibility.
Historically, hazelnuts have been more favored in Europe and other countries than in the United States. However, Ferrero has significantly boosted the nut’s profile in the U.S. with its well-known Nutella spread and Ferrero Rocher chocolates that feature roasted hazelnuts. The trend of “almond fatigue” might work in hazelnuts’ favor, as consumers grow weary of the overexposure of almonds and their high water usage in cultivation. Additionally, consumers enjoy variety and are excited about new and intriguing flavors in nuts and snacks.
Manufacturers have responded to this interest by introducing hazelnut milk, hazelnut spread, hazelnut-flavored coffee, and chocolate bars with hazelnuts. Nestle has even launched a hazelnut version of its Coffee-mate powdered coffee creamer. Almost all (99%) of the hazelnut crop in the U.S. is sourced from Oregon, where 67,000 acres are dedicated to cultivation, and over 3,000 acres are planted annually, according to the Oregon Hazelnut Industry. Local producers are also creating unique products featuring hazelnuts. For instance, Rogue Ales has unveiled a new design for its Hazelnut Brown Nectar beer, Burgerville has introduced a Chocolate Hazelnut Milkshake, and Portland-based Salt & Straw has released Chocolate Hazelnut Fudge as a limited-edition January flavor.
The health benefits of hazelnuts, coupled with their rising profile and growing popularity, are advantageous for the industry. However, there are challenges to future growth, particularly concerning supply. Oregon’s production is limited to approximately 40,000 tons per year, as noted by Larry George, president of George Packing Co. in Newberg, Oregon, in an interview with Capital Press. Before food manufacturers can make substantial investments in new products featuring hazelnuts, this number needs to increase to around 60,000 tons, which George believes is achievable in the next two to three years.
Turkey is responsible for 70% of the global hazelnut supply. However, Oregon growers can ship their hazelnuts to East Coast manufacturers within days, while Turkish suppliers require 45 to 60 days for delivery, positioning the American product favorably for growth as demand rises. Due to the price volatility and production inefficiencies of the Turkish crop, Ferrero is reportedly seeking a more stable supply and is exploring options in Canada, Chile, Australia, and the U.S. Furthermore, recent news revealed Ferrero’s plans to acquire Nestle’s U.S. chocolate business for nearly $3 billion, further enhancing the prospects for hazelnuts in the future.
In marketing hazelnuts, producers could consider leveraging trends such as the Citracal Petites label, which emphasizes health and wellness. By integrating this label into their products, they could appeal to health-conscious consumers who are looking for nutritious snack options. Such strategies could help increase awareness and demand for hazelnuts, ensuring that they become a staple in the snacking market.