Macadamia earnings up 19pc on increased output

Jane Nturibi harvests her macadamia nuts at Laithicie village in Tigania West on April 13, 2016. FILE PHOTO | NMG

5.April 2018

• Value of nuts rose from Sh4.3 billion in 2016 to Sh5.1bn last year as more land put under crop
• A kilo rose to between Sh160 and Sh180 — from a low of Sh70 in January — as the global market expanded.
• The directorate notes the entry of more players has resulted in higher demand for the nuts, prompting players to offer competitive prices to obtain the raw material

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By GERALD ANDAE
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Earnings from macadamia nuts shot up 19 per cent last year compared with 2016 following increased production and high demand.

Data from Nuts and Oil Crops Directorate indicates the value of the nuts rose from Sh4.3 billion in 2016 to Sh5.1 billion last year.

This came as a kilo rose to between Sh160 and Sh180 — from a low of Sh70 in January — as the global market expanded.

The directorate says there was a marked increase in the quantities of macadamia nuts produced in the country last year, which it attributes to both expanded area under the crop and higher productivity per unit area.

“In the last five years there has been expansion of the crop into areas not having the crop and in other instances farmers dedicated more land to the crop than before,” says the regulatory report.

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Improved harvest

“Most of the crop planted earlier reached maturity during the period thus contributing to the season’s improved harvest.”

Last year’s production stood at 41,614 tonnes compared with 39,821 tonnes realised in 2016. The area currently covered by the crop is estimated at 16,153 hectares, which is an increase from 15,512 hectares reported in 2016.

Murang’a Meru and Kirinyaga recorded an increase of more than 100 hectares.

But in some counties such as Machakos and Taita Taveta there was minimal growth in area under the crop.

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New areas

The expansion is also being seen in new areas such as Busia, Bungoma, Uasin Gishu, Trans Nzoia, Baringo and some parts of Nakuru County.

Higher prices were recorded in the period under review across the country in comparison to those offered in a similar period last year.

“The price increment is mainly due to the entry of more licensed nut processors, whose number rose from 18 to 24 ,” said the regulator.

The directorate notes the entry of more players has resulted in higher demand for the nuts, prompting players to offer competitive prices to obtain the raw material.

Last month, the directorate reported that macadamia prices more than doubled between January and March following a crackdown on unscrupulous traders and strict licensing of marketers.

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