South Africa, the world’s leading producer of macadamia nuts, is actively seeking alternative export markets after the United States imposed a steep 31% tariff on imports.
The new trade barrier has cast a shadow over what was once one of the country’s fastest-growing agri-exports, prompting farmers to pivot towards emerging markets such as India, the United Arab Emirates, and Southeast Asia.
Macadamia farming in South Africa supports over 35,000 agri-related jobs, particularly in provinces like Mpumalanga, Limpopo, and KwaZulu-Natal. The sector’s rapid expansion over the past decade—driven by strong global demand and high margins—now faces headwinds due to this sudden shift in U.S. trade policy.
Industry bodies, including the Southern African Macadamia Growers’ Association (SAMAC), have expressed concern that the tariff could significantly disrupt export volumes and price stability. The U.S. has traditionally been one of South Africa’s largest buyers of shelled macadamias, and any reduction in that demand risks creating a surplus that could drive down local prices.
To mitigate the impact, exporters are accelerating trade talks with India and China, whose growing middle classes offer significant untapped demand for health-conscious snack alternatives. However, building brand awareness and negotiating favourable trade terms will take time and coordinated public-private effort.
As the industry adapts, stakeholders are calling on the South African government to prioritise bilateral trade negotiations and promote the sector as a strategic export asset. Without swift action, a once-thriving success story could become a casualty of global trade tensions.
Source: Further Africa
