The macadamia market in Asia, particularly China and Japan, presents significant growth opportunities for the Australian macadamia industry. China currently imports around 2,500 metric tons of macadamia kernels per year, worth $8% of global production, mostly for confectionery and snacks. Japanese companies are looking to expand sales in China. To capitalize on this growth, industry members must work together to develop the Chinese market and ensure China remains an importer of macadamias by meeting demands for consistent quality, supply, and education on macadamia health benefits.

1. Building the Macadamia Market in Asia
Darren Burton General Manager Agrimac Macadamias

2. World Macadamia Usage
14000
12000
10000
8000
Mt of
Kernel
6000
4000
2000
0
USA Asia Europe & Mid Australia
East

3. World Macadamia Usage
USA Asia Europe & Mid East Australia
13%
42%
23%
22%

4. 3000
2500
2000
Mt of
Kernel 1500
equiv
1000
500
0

5. • Largest market in Asia for kernel
• Mature market with high level of consumer awareness
• Consistently imports approx 2,500 per year - 8% of world pdn.
• Confectionary sector is the largest user (70%) followed by snack
• Japanese companies looking to China for growth opportunties
• Customers are demanding but loyal
• Very concerned about agro-chemical residues.
• Health and Beauty is a key driver for our target market

6. • Australian industry continues to invest in a significant consumer
communications and promotions program in Japan.
• This program is squarely focused on promotion the health and
beauty benefits of Macadamias

8. • Predominantly pre-cracked NIS market at present.
• High income consumers are looking for the best quality product.
• We all must contribute to the development of the china market to
ensure china remains a net importer of macadamias.

9. • Market has grown from 100Mt
to almost 500Mt in 5 years
• Usage is mixed of snack,
Bakery, ice cream,
confectionary and home
cooking
• Many small to medium users
• No really large users yet

10. • Consumption of approx 150-200Mt per year
• This has shown little growth over the last 20 years but more
interest in macs in the last 2 years
•This market should be much larger than it is.
•Duty is 30% for Raw and 45% for Roasted is limiting growth.
•Main use is confectionary but significant market for raw and
roasted macs sold in both markets and supermarkets.
•Nuts generally are seen as healthy especially walnuts and
almonds.

12. Country Pop. Income Mac Consumption
(million) PerCapita Usage Per Head
USD 2012 grams per yr
Australia 23 37,500 4000 174
USA 320 45,800 13000 41
Germany 82 34,200 2500 30
Singapore 5 49,700 150 30
Japan 127 33,600 2,500 20
Taiwan 24 30,100 450 19
Korea 49 24,800 250 5
Malaysia 28 13,300 150 5
Thailand 70 7,900 150 2
China 1,300 7,500 2,500 2
India 1,500 3,700 10 0.01

13. What is the Asia Market Demanding?
1. Consistency of quality and safety
2. Consistency of supply
3. Much more information and education about the
health and beauty benefits of Macadamias.
Most of the growth in world
consumption of macadamias will
come from Asia in the next 10 years.