Kenyan macadamia processors reject claims of government policy causing price drop 

KENYA – The Macadamia Nut Processors Association of Kenya (MACNUT) and local macadamia farmers have dismissed claims that government policies have led to a drop in macadamia prices from Kes 150 (US$1.16) to Kes 90 (US$0.70) per kilogram. 

MACNUT chairperson Jane Maigua stated that the government’s policy is designed to benefit farmers and the industry by ensuring no farmer receives less than Kes 100 (US$0.77) per kilogram. She attributed the price drop narrative to brokers holding large stocks of raw macadamia intended for export. 

Speaking on March 5 in Diani, Kwale, after a three-day workshop reviewing the directive by Agriculture Cabinet Secretary (CS) Mutahi Kagwe, Maigua called on farmers to support the government’s initiative to prohibit the sale of unprocessed macadamia.  

She emphasized that the ban on raw exports would help create local jobs and boost the sector’s economic value. 

MACNUT urged farmers to be cautious of unscrupulous traders attempting to manipulate the market by spreading misinformation.  

Farmers were also advised against selling immature macadamia, which could compromise Kenya’s reputation in international markets and lead to potential bans, particularly in the European Union. 

The 2025 macadamia harvesting season officially began on March 1, 2025.  

CS Kagwe reaffirmed that the government would maintain its ban on exporting raw and in-shell macadamia nuts.  

He emphasized that this policy aligns with the Agricultural Food Authority (AFA) Act, the Oil Crops (Nuts and Crops) Regulations of 2020, and other national and international commitments. 

Kagwe stressed that strengthening Kenya’s macadamia industry would require a collective effort rather than lobbying for raw nut exports.  

He encouraged all macadamia farmers to register under the Kenya Integrated Agricultural Management System (KIAMIS), enabling better coordination between the government, private sector, and development partners. 

To support the industry, AFA will collaborate with county governments to facilitate the formation of farmer groups and offer services such as e-Extension programs, subsidized fertilizers, and real-time market information. These efforts aim to enhance organization and productivity within the sector. 

James Muturi, Chair of the Agriculture CECM Caucus representing all 47 counties, called for strict enforcement of the ban on raw macadamia exports, particularly to the Chinese market.  

He stated that preventing unprocessed exports would encourage higher local production, as domestic processing capacity exceeds current output levels. 

In the first half of 2024, kernel exports were valued at KES 3.3 billion (US$25.6M), reflecting a sharp decline. The estimated total revenue loss from raw nut exports exceeds KES 6.5 billion (US$50M). 

Muturi highlighted that promoting local processing would strengthen Kenya’s economy through value addition, ensuring greater returns for farmers and positioning the country as a key player in the global macadamia industry. 

 

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