Jojoba

yWorld.Domain.Item.Text

Synopsis – Australian Industry


Year

Gross value of Prod’n
$ ‘000

Exports 
$ ‘000

Imports
$ ‘000

Estimated number of producers

2005-2006

1,148

0

247

30

 

Jojoba (Simmondsia chinensis) is an evergreen perennial bush that is native to the hot arid areas of northern Mexico and south western United States.  The jojoba plant grows to 3–4 metres, reaches maximum yield around 15 years after planting and can live for 200 years.  The oil produced from jojoba seed consists almost entirely of liquid wax esters that are suited to use in cosmetics, waxes and high pressure lubricants.  Currently, about 80 per cent of jojoba oil production is used in cosmetics.

There are around 30 growers of jojoba in Australia in 2007, with estimated plantings of 500 hectares. There are now jojoba plantations in New South Wales (Yenda, Hillston, Kyong, Forbes, Condobolin, Canowindra, Bourke, Narrabri and Tamworth), Victoria (Kerang), Western Australia (Kalannie, Wagin, Geraldton and York) and South Australia (Swan Reach).

Background

Commercial production of jojoba commenced in 1976.  Argentina and the United States are the main producers with the only other producers being Australia, Chile, Egypt, Israel, Mexico and Peru.  World production is expected to increase by 10 per cent a year over the next five years due to increased plantings and maturing plantations.

Statistics on trade in jojoba oil at a world level have not been available since 2002 but some idea of world trade and prices can be gained from US and EU import data. These data suggest that world exports have increased sharply in recent years, particularly from Argentina, but that prices in constant (2008) US dollar terms are declining.  ABARE estimates that world exports of jojoba oil from the major producing countries in 2006 was 1770 tonnes, with Argentina supplying 43 per cent, Israel 29 per cent, Peru 15 per cent and the United States 9 per cent. US exports of jojoba oil have declined from a peak of 391 tonnes in 1999, to only 167 tonnes in 2006.

Despite growing domestic production, Australian imports of jojoba oil have increased sharply in recent years, indicating growing domestic demand.  In the past, the Australian industry has exported bulk oil to Iran, Republic of Korea, Italy, New Zealand and Malaysia.  However, no Australian export data for jojoba oil has been available from ABS since 2001.

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