Australian Industry
Commercial pistachio growing commenced in Australia in the early 1980’s following a successful breeding program by CSIRO, Merbein. The new variety Sirora was released in 1982.
There is a single, national organisation – Pistachio Growers’ Association (PGA) that supports the industry. There are no formal state or regional groups although the Western Australian growers tend to operate a discussion group for geographic reasons.
Growers of pistachios support the PGA by way of a voluntary contribution. This funds activities including e-newsletters that keep growers informed of developments with the research projects and other industry news, factsheets and technical notes, and the Pistachio Information and Technology (PIT) Groups that meet 3 to 4 times a year to discuss production, pests and diseases, harvest management and many other topics.
The Strategic Plan for the Pistachio Industry, developed by PGA, highlights the following objectives through to 2026:
- Maximise sustainable yields of high-quality pistachio nuts from Australian orchards through improved production tools.
- Maximise consumer perceptions of Australian pistachio nuts by constantly improving appearance and taste in the orchard as well as by promoting health benefits in the marketplace.
- Maximise returns to Australian pistachio growers by constantly improving efficiencies in the distribution channel from the orchard to the consumer.
The Australian Pistachio Industry Today
By 2023 there were about 40 growers with 1500 hectares in production, and another 20 growers with 1500 hectares of juvenile plantings. An interesting figure when compared to 2015 when there were about 20 pistachio growers with a total area of 750 hectares.
Generally, those orchards that have survived the pistachio learning curve and long juvenile phase are producing well. The climate and soils have proven satisfactory for pistachio production.
There are now about 10 orchards over 50ha, most are about 10-15 hectares – the size required to make a living solely from pistachios. Around 20 mixed fruit growers each produce less than 5 tonnes of pistachios (dry) per annum from 1 to 5 hectares. There are very few small “hobby” farmers.
There are also a small number of growers in central NSW, southern Victoria, and Western Australia, but only in very small quantities.
Attracted by potential returns and the opportunity to diversify into a burgeoning irrigated horticulture crop, corporate farms are watching the industry carefully.
In 2022 ASX-listed investment company Duxton Farms acquired the 1185ha Piambie Farms, south of Boundary Bend, in Victoria. They planted 130ha of pistachios in 2023 and the company plans to plant another 700ha in coming years.
The 2024 crop has been estimated at about 4600 tonnes. Estimates, based on total plantings of 3000 hectares in 2023 – half of them yet to bear fruit – and nursery sales of a further 500 hectares are for Australian pistachio production to reach 9000 tonnes by 2028 and more than 14,000 tonnes in 2032.
Australian yields per hectare have improved 30% in the last 8 years. Australian orchards now achieve an average of about 3,000kg/ha, over the on/off cycle, peaking at over 5,300kg/ha in the on-crop.
Further improvement is possible – the best Californian orchards produce over 6,000kg/ha in the on-crop. Good Californian orchards average 3,500kg/ha.
Most pistachio production world-wide is directed at the consumer snack food market rather than the ingredient market. The snack food market for pistachios effectively also buys the shells at the same price! About 85% of the Australian crop is sold into the snack market.
There is a small ingredient market that is supplied by the kernels obtained by shelling the non-split and reject in-shells. The Australian Sirora variety has relatively few non-splits compared to most other commercial varieties (<10% compared with ~15-20% in Iran and California). Worldwide, the kernel market is expanding even faster than in-shell consumption.
There is also a market for fresh pistachios fruit (in hull). Currently sales are estimated at less than 50 tonnes from 10 to 15 small growers selling independently of each other though the fresh fruit & vegetable markets.
Australian consumption figures from 2014/15 was about 3,400 tonnes per annum, with domestic demand for 2024 estimated at 5,000 tonnes. There is scope for continued growth. The nut heart health message is steadily becoming better known.
Australian demand is still largely satisfied by imports. Though, once production exceeds Australian consumption, growers will have to look for more export markets.