Kenyan macadamia farmers are staring at mounting losses, with over 30,000 metric tons of raw nuts reportedly remaining unsold in stores and on farms. The three-month government-authorised export window, which allowed the export of 14,000 metric tons, closed on October 10 without delivering the anticipated market relief. Only 700 metric tons were shipped before the window closed, leaving farmers and processors counting losses.
The Kenya Macadamia Growers Association Vice Chairman, Mureithi Gichabi, has urged the government to extend the export period to allow dealers to fulfil their contractual obligations. He faulted the regulator, the Agriculture and Food Authority (AFA), for failing to facilitate the process despite exporters incurring costs to assemble and present the nuts for inspection as required by regulations. Gichabi cited inconsistent policies and regulatory uncertainty as undermining the multi-billion-shilling industry.
The AFA allowed exports between July and October but subsequently blocked the shipment of the unexported allocation. AFA Acting Director-General Calistus Kundu reported that 14 companies shipped 700 metric tons through the Port of Mombasa by the October 10 deadline. Macadamia value chain expert Peter Mwangi warned that the current crisis mirrors a similar situation three years ago, when excess produce forced farmers to hawk their nuts.
Stakeholders are calling for urgent policy reforms, arguing that without reliable markets and predictable regulations, farmers and investors will continue bearing the cost of a struggling macadamia industry. Nut Traders Association of Kenya Vice Chairman Njiru Kathangu stated that the industry needed predictable policies, including regular lifting of the ban on exporting raw nuts to China, to give farmers alternative markets.
A farmer in Murang’a, Jane Wambui, said the market glut had weakened farmers' bargaining power, resulting in some of the lowest farm-gate prices experienced in recent years. Large-estate representative Jacinta Mwai in Nakuru reported that more than 5,000 metric tons of nuts were awaiting shipment, urging AFA to extend the export window. Mwai warned that continued policy uncertainty was damaging investor confidence and Kenya's reputation in international markets.
Moses Karasha, a Taita Taveta stakeholder, called for amendments to the Agriculture and Food Authority Act to remove legal restrictions on exporting raw nuts, arguing that local processors could not absorb the country's annual production of about 75,000 metric tons. Other stakeholders proposed establishing a government-backed fund, similar to the Coffee Cherry Advance Revolving Fund, to support processors and ensure farmers receive timely payments.
The macadamia industry is reeling from the effects of the closed export window, with some processing factories facing possible closure. Farmers in Murang’a, Nyeri, Embu, Meru, Kirinyaga, Uasin Gishu, and Baringo are among those affected by the market uncertainty. Industry stakeholders are now pushing for policy reforms to ensure a stable market and fair prices for farmers.
Key points
- The closure of the export window has left over 30,000 metric tons of unsold macadamia nuts in Kenya.
- The Kenya Macadamia Growers Association is urging the government to extend the export period to allow dealers to fulfil contractual obligations.
- Stakeholders are calling for predictable policies and regulations to support the struggling macadamia industry.
