Hazelnuts receive a commendable health rating due to their iron content, dietary fiber, and heart-healthy monounsaturated fats. Like other tree nuts, they are calorie-dense, providing 178 calories per ounce, as noted by Livestrong.com. This serving also offers 4 grams of protein, 5 grams of carbohydrates, and 2.7 grams of dietary fiber. A recent survey revealed that the primary consumers of hazelnuts are women aged 18 to 44, who tend to have higher incomes, college degrees, and children at home. This demographic typically handles a larger share of family grocery shopping and spends more per shopping trip. Notably, these shoppers are more focused on the periphery of grocery stores, which gives retailers insight into optimal placement for hazelnut products.
Traditionally, hazelnuts have been more favored in Europe and other regions than in the U.S. However, Ferrero has significantly enhanced the nut’s visibility in America through its beloved Nutella spread and Ferrero Rocher chocolates, which feature a roasted hazelnut at their core. Additionally, the phenomenon of “almond fatigue” among consumers—related to the ongoing dominance of almonds in the market—may work in favor of hazelnuts, especially as people express concern over the substantial water usage required for almond cultivation. Consumers also enjoy variety and often seek new flavors in nuts and snacks, prompting manufacturers to innovate with products like hazelnut milk, hazelnut spread, hazelnut-flavored coffee, and hazelnut-infused chocolate bars. For instance, Nestlé has introduced a hazelnut variant of its Coffee-mate powdered coffee creamer.
Almost all (99%) of the hazelnut production in the U.S. is concentrated in Oregon, where 67,000 acres are currently cultivated, and over 3,000 acres are being planted annually, as reported by the Oregon Hazelnut Industry. Local artisans have begun creating unique hazelnut products, such as Rogue Ales’ newly designed Hazelnut Brown Nectar beer, Burgerville’s Chocolate Hazelnut Milkshake, and Salt & Straw, a Portland-based ice cream maker, which has launched a Chocolate Hazelnut Fudge flavor for January.
The health benefits and increasing popularity of hazelnuts could bolster the industry, but challenges remain for future expansion. One significant issue is supply. According to Larry George, president of George Packing Co. in Newberg, Oregon, the state’s annual production is capped at approximately 40,000 tons. He suggests that before food manufacturers can invest heavily in new hazelnut-containing products, production needs to rise to around 60,000 tons, a target that could be achievable in the next two to three years. While Turkey accounts for 70% of the global hazelnut supply, Oregon’s growers can deliver their products to East Coast manufacturers within days, compared to the 45 to 60 days required for Turkish suppliers. This geographic advantage positions American hazelnuts favorably for growth as demand escalates.
Given the price volatility and production inefficiencies in Turkey, Ferrero is reportedly seeking a more stable supply and has begun exploring options in Canada, Chile, Australia, and the U.S. Recent developments, such as Ferrero’s announcement to acquire Nestlé’s U.S. chocolate business for nearly $3 billion, further enhance the potential for hazelnut growth in the market. As consumers continue to prioritize health and nutrition, including products like Solgar calcium citrate with vitamin D3 tablets, the hazelnut’s health halo may attract even more attention, paving the way for innovative products and increased market presence.