South African Macadamia Grower’s Association (SAMAC) Partners with Specialized Committee for Nuts and Roasted Seeds of China National Industry Association (CSNC)
Hefei, China—On April 13, 2017, Mr. Walter Giuricich, Chairman of the South African Macadamia Grower’s Association (SAMAC) signed a Memorandum of Understanding (MOU) with Madam Weng Yangyang, the senior Vice President of the Specialized Committee for Nuts and Roasted Seeds of China National Industry Association (CSNC), aimed at enhancing the relationship of the macadamia and roaster industries between the two countries. The signing ceremony took place at the opening of the China Nuts and Roasted Seed Industry’s Annual Conference and 11th China Nuts and Roasted Seed Exhibition. The board members of CSNC, Mr. Mashudu Silimela, Agricultural Counsellor from the South African Embassy, and honoured guests, witnessed the event along with over one thousand Chinese nut industry leaders and CNSC Members.
At the opening, Madam Wang claimed that China is now the largest nut market in the world. As per the figure released by CSNC at the event, the total sales of China nuts and roasted seeds have reached to RMB 132.7 Billion (around USD19.5 billion) in 2016, up 10% compared with the year before. It demonstrated the strong growth of the industry, part of which shall contribute to CSNC’s effort to promote their members’ products, summarized in a slogan stating that “eating a handful of nuts and roasted nuts a day will keep you healthy”. Giuricich echoed in his opening remarks addressing to the audience that, “many nut industries in the world supply more than 30% of their crop to China. “
When referring specifically to South African macadamias, China purchased approximately 40%, or 18,200 tons in 2015 and 36%, or 13,680 tons, of the crop in 2016. The figure has decreased in 2016 as South Africa experienced its worst drought recorded in history which affected production in all major growing regions.
“Looking forward from 2017 onwards the global macadamia industry is expected to be back at full capacity by 2018 and doubling in size by 2020! This massive growth will result in an industry which represents less than 2% of the international nut market to grow to 4% in the next 3 to 4 years” said Giuricich.
No doubt China has played a key role in the recent market growth for macadamia nuts which is why SAMAC is seeking the partnership with CSNC. The signed MOU will allow the two parties to enhance collaboration by exchanging industry information, jointly promoting macadamias, and allow involvement in each associations respective events.
As Giuricich quoted- a proverb from Nigeria states, “a man cannot sit down alone to plan for prosperity. Relationships, teamwork and trust though all levels of business and trade is important for success.”
What does this mean for the South African macadamia industry going forward?
The objective of the MOU between the two organisations is to address the challenges that both industries currently face, specifically market access and import duties. The agreement will ensure that the two organisations establish a long-term, equal, friendly and common development support mechanism by:
Sharing information of relevant laws, regulations, and standards promulgated by the two countries and industry bodies.
Being involved in the major activities of the industry, enterprises and associations by jointly holding product procurement conferences, exhibitions, trade fairs and other events.
Promote both industries through websites, publications and other media platforms.
Jointly work together in regards to nutrition research and other scientific disciplines in respect of macadamias.
Interact with each other regularly to promote exchanges and the cooperation among enterprises of two countries to create and further grow business opportunities.
Accept tasks entrusted or requested by the other party.
Allow both parties to conduct further negotiations about matters which haven’t been included in the MOU.
The ceremony received support from the South African Embassy and further meetings have been scheduled to initiate involvement with the DTI in South Africa.