Macadamia Services Management to launch in Mbombela in early 2024

The South African macadamia industry stands at a crossroad, navigating a transformative journey spurred by the ripple effects of the Covid-19 pandemic and the subsequent global economic shifts since 2022.

Amid these challenges, our nation’s macadamia farmers find themselves at a precarious juncture, grappling with diminished returns, escalating input costs and a shifting market landscape, particularly in our key market, China.

Recognising the urgency and gravity of the situation, Macadamia Services Management (MSM) emerges as a beacon of hope for the industry. Founded by the industry stalwart and managing director, Cobus Kok, MSM is set to revolutionise the macadamia sector with innovative marketing strategies and comprehensive support services tailored to empower both farmers and processors.

Drawing on his extensive background as a macadamia farmer and processor, Kok has identified two pivotal challenges that demand immediate attention – the need to process a larger percentage of harvested macadamias, and to diversify product offerings across premium international markets.

Scheduled for the launch on February 15 next year at Church Unlimited’s auditorium in Mbombela, MSM unveils a bespoke cutting-edge online trading platform.

This platform serves as a nexus for verified sellers and buyers, ensuring supply reliability while fostering a fair legal environment that protects sellers’ interests.

Kok and his team will celebrate a significant achievement as the event signifies more than just a timely intervention. According to him, it represents a paradigm shift. “Contrary to the prevailing narrative of consolidation and dwindling participation, we advocate for the increased collaboration among producers and processors,” he said.
“Our goal is to collectively supply a greater volume of quality macadamia products to an array of markets.”

Kok also emphasised the importance of adopting a forward-thinking approach. “We believe that by addressing these fundamental issues, we can transform the recent period of turmoil into an opportunity for positive change,” he said.
“Our online trading platform, as successfully implemented by others in various agricultural sectors, promises reduced marketing and sales costs, transparent transactions with full disclosure of price, volumes and trends. Moreover, it advocates for lower retail prices and higher farm-gate prices by – typical to platform economies – narrowing the farmgate-to-retail-price-spreads ”

Beyond the trading platform, MSM commits to providing specialised support services to processors and their farmer suppliers, facilitating adherence to stringent food safety, quality and sustainability standards demanded by the market.

Processors engaging with the platform will gain access to a spectrum of additional services, including legal counsel, engineering expertise, logistics support, specialised cultivation services and marketing extension services.

“This is a call to hope – recognition that our farmers, the backbone of this industry and its global marketing prowess, require a solution now,” Kok said.

“Our vision is a future propelled by quality, investment and innovation, steering away from the perils of poor production rewards and distribution consolidation similar to the cashew industry case.”

As the launch date approaches, Kok is extending an invitation to farmers and processors with whom they already engaged, urging them to attend the event and deliberate the transformative potential that MSM holds for their futures.