Belgium-based sugar producer Finasucre has expanded its presence in Australia, acquiring a large portfolio of macadamia orchards in Queensland for almost $60 million.
According to the Australian Financial Review, Ironbark Farming Company – the local operations for US-based Hancock Agricultural Group – sold the 1018-hectare Winfield Road macadamia aggregation to Finasucre’s TQ Holdings for $59.2 million.
Around 644 hectares of mature macadamia orchards and 1838 megalitres of secure water licenses are included in the deal, which is spread across 10 properties and 18 titles.
Finasucre’s Australian presence, which includes its ownership of Bundaberg Sugar, is now expected to have an agricultural holding of almost 20,000 hectares.
Australian Macadamia Society CEO Jolyon Burnett told Food & Drink Business the macadamia industry is enjoying “probably” its strongest growth in its history, with investment in new plantings both by existing growers and new investors.
“There has now been seven years of year on year price increase coupled with production growth or an average of 5-7 per cent a year,” said Burnett.
“This is obviously driving a new interest in macadamias as a sound long term agricultural investment in Australia.”
“Across all growing regions we expect to see around 3,000 ha planted a year over the next five years.”
Macadamias have strong environmental credentials with relatively low and sustainable water use and strong integrated pest and disease management practices, said Burnett, as the industry also has “high product value per megalitre used, very high levels of mechanisation (low labour costs) and a strong value adding sector”.
Burnett said: “Nuts are also right on trend in terms of dietary habits being consistent with trends such as paleo, vegan, vegetarian, gluten free, and so on.
“There is also very strong new product development around the nut category and while this has been slower for macadamias than, say, for almonds, new productive capacity will help stimulate this.”
Finasucre has factories in Australia, Belgium, the Netherlands, Democratic Republic of Congo, China and the United States.
