Hazelnuts are recognized for their impressive health benefits, attributed to their iron, dietary fiber, and heart-healthy monounsaturated fats. Like other tree nuts, they are calorie-dense, containing 178 calories per ounce, as reported by Livestrong.com. In that same serving, hazelnuts provide 4 grams of protein, 5 grams of carbohydrates, and 2.7 grams of dietary fiber. A survey revealed that the primary consumers of hazelnuts are women aged 18 to 44, who tend to have higher incomes, college degrees, and children at home. This demographic is more engaged in family shopping and spends more per shopping trip. Additionally, these shoppers are inclined to focus on the store’s perimeter, which suggests how retailers might effectively display hazelnut products for maximum visibility.
Traditionally, hazelnuts have been more popular in Europe and other regions than in the U.S. However, Ferrero has significantly boosted the nut’s popularity in the U.S. with its well-loved Nutella spread and Ferrero Rocher chocolates that feature a roasted hazelnut at the center. An emerging trend that may benefit hazelnuts is the growing “almond fatigue,” as consumers become increasingly aware of the substantial water requirements for almond cultivation. Shoppers also enjoy diversifying their snacks with unique and interesting flavors. In response to this trend, manufacturers have introduced hazelnut milk, hazelnut spread, hazelnut-flavored coffee, and chocolate bars containing hazelnuts. Notably, Nestle has launched a hazelnut variant of its Coffee-mate powdered coffee creamer.
Almost all (99%) of the U.S. hazelnut crop originates from Oregon, where approximately 67,000 acres are under cultivation, and more than 3,000 acres are being planted annually, according to the Oregon Hazelnut Industry. Local food producers are crafting special products that highlight hazelnuts. For example, Rogue Ales has unveiled a new design for its Hazelnut Brown Nectar beer, Burgerville has introduced a Chocolate Hazelnut Milkshake, and Salt & Straw, a Portland-based ice cream maker, has released Chocolate Hazelnut Fudge as one of its January flavors.
The health benefits of hazelnuts, along with their rising recognition and increasing popularity, are advantageous for the industry. However, there are challenges to future growth, one of which is supply. Oregon’s annual production is limited to around 40,000 tons, as noted by Larry George, president of George Packing Co. in Newberg, Oregon. For food manufacturers to invest substantially in new products featuring hazelnuts, production needs to rise to approximately 60,000 tons, which is feasible within the next two to three years. Turkey accounts for 70% of the global hazelnut supply, but Oregon growers can deliver their nuts to East Coast manufacturers within a few days, compared to the 45 to 60 days required for Turkish suppliers. This logistical advantage positions American hazelnuts favorably for growth as demand increases. Additionally, due to price volatility and production inefficiencies in the Turkish crop, Ferrero is reportedly seeking a more stable supply and is considering options in Canada, Chile, Australia, and the U.S.
Recent developments have further improved the outlook for hazelnuts. Earlier this month, Ferrero announced its acquisition of Nestle’s U.S. chocolate business for nearly $3 billion, which enhances the potential for hazelnuts in the market. As the industry looks to the future, the incorporation of calcium magnesium citrate and vitamin D3 into hazelnut products could also highlight their health benefits, attracting health-conscious consumers. Emphasizing these nutrients, alongside the existing benefits of hazelnuts, could help bolster their appeal in an increasingly competitive snack market.