As climate change and biodiversity loss reshapes the way we approach food production and resilient ecosystems, regenerative agriculture is emerging as a promising step forward. Farmers around the world are focusing more and more on restoring soil health, reducing chemical use, and harnessing natural processes.
One stand-out example is WelMac, a macadamia farming operation in South Africa that has embraced regenerative agriculture practices. Through a €2.75 million loan from the Dutch Good Growth Fund (DGGF), facilitated by Invest International, WelMac has been able to adopt various sustainable farming practices and invest in a solar park. In this interview, WelMac’s CEO Nicolas Grooss shares insights into their journey and the challenges of transitioning to regenerative farming.
Q: Can you explain how WelMac approaches regenerative agriculture?
Nicolas Grooss: A couple of years ago, we made a shift toward more regenerative farming. Our focus is on the soil and reducing the use of chemicals—both fertilizers and sprays for pest control. One of the most notable things we do is cover cropping. Across our 250 hectares of orchards, we let indigenous grasses grow, and right before harvest, we cut them and compost them under the rows of trees. This practice restores soil health, increases the population of pollinators, keeps the temperature under the trees down, and retains moisture. The benefits are amazing.
Another major practice is composting. Almost everything that comes out of the orchard goes back into it—except for the kernel of the nut. Macadamias come in a husk, then a shell, and finally the kernel. We de-husk on the farm, and the husks are composted and returned to the trees. The shells are trickier because we currently sell our nuts in the shells, so they’re processed elsewhere. The shells are processed elsewhere. They are used for fuel in factories’ heating systems. In the future, we plan to process the nuts ourselves and turn the shells into biochar, which is a fantastic fertilizer.
We’ve also significantly reduced our use of chemicals, including fertilizers and pesticides. As for herbicides, we don’t use them at all; instead, we mow the weeds and compost them. It’s precious organic matter that feeds back into the soil.
On top of that, we prune our trees and leave the branches and leaves to decompose under the trees or put them through a woodchipper and spray the chips under the trees to create mulch. This mulch helps with moisture retention, which is essential in South Africa’s hot, dry climate. When the mulch decomposes, it provides nutrients to the trees.
Another key aspect of our approach is introducing a beneficial fungus called the mycelium. This fungus creates a network that helps connect trees and improves nutrient absorption and the transfer of water, nitrogen and carbon. We’ve introduced this fungus through our fertigation system, which irrigates and fertilizes the trees, to boost the population of this helpful fungus.
It’s not about going to zero chemicals overnight, but finding a balance between sustainability and commercial viability.
Q: Were there any challenges in implementing these changes?
Nicolas Grooss: Definitely. Our farm manager was hesitant at first. He was concerned that reducing chemical use would affect crop quality and yield, which is a common fear among large-scale farmers. But after seeing the benefits—better soil health, fewer chemicals, and strong harvests—he became a huge advocate. Now, he calls himself a ‘regen addict’ and he knows more about regenerative agriculture than I do! Getting him onboard is one of my proudest achievements as CEO.
Q: What about the challenges related to regenerative farming itself?
Nicolas Grooss: There were definitely hurdles. Shortly after we started our regenerative journey, we faced a serious fungus outbreak that affected crops across the country. It wiped out about 40% of our harvest that year. Out of fear of not having a crop for the coming year, we temporarily went back to the use of contact and systemic poisons to fight the fungus. I felt terrible about it, but I was so scared of not having a good crop the next season. The systemic poison led to a larger crop but we found that these poisons were actually stressing the trees, which lead to worse quality nuts. You see, when the trees are stressed, they protect their nuts by creating thick shells which leads to smaller nuts. That’s when we committed fully to building resilience in our trees through soil health and natural methods. It’s a longer-term strategy, but it’s paying off. Now, our trees are healthier, stronger and more resistant to diseases and pests.
Q: What advice would you give to other farmers considering a shift to regenerative agriculture?
Nicolas Grooss: My advice is to start small and take incremental steps. Don’t try to change everything at once. We began with cover cropping and saw the benefits firsthand, which encouraged us to adopt more regenerative practices. This approach lets you manage the transition more easily and helps prove to yourself—and others—that it works. It’s not about going to zero chemicals overnight, but finding a balance between sustainability and commercial viability.
Farmers often don’t know anything beyond “spray and pray”, because that’s what their dad and granddad did. They’ve lost touch with how nature actually works.
Q: What motivated you to make these changes in the first place?
Nicolas Grooss: I became CEO in 2020 after my father retired and I knew that was the moment to put my foot down. I saw the state of large-scale commercial farming and it’s quite dire. Commercial agriculture is depleting the planet unnecessarily. Farmers often don’t know anything beyond “spray and pray”, because that’s what their dad and granddad did. They’ve lost touch with how nature actually works.
So, I wanted to produce food in balance with nature and without relying on harmful chemicals. It just didn’t sit right with me to be spraying chemicals on crops when there are other options. I believe regenerative agriculture is the way forward, not just for us but for farming as a whole.
From Resistance to Transition
WelMac’s journey is a testament to the potential of regenerative agriculture, even for large-scale operations. Despite initial skepticism, the farm has shown that it’s possible to grow high-quality macadamia nuts while implementing regenerative agriculture practices. Today, WelMac’s approach is not only recognized by local farmers but is also inspiring the wider macadamia farming community to explore regenerative farming practices.
At Invest International, we believe regenerative agriculture is one of the key approaches that can help address some of the pressing challenges facing the agricultural sector today. We aim to support and encourage farmers, business owners, and investors to explore the potential of regenerative agriculture. Together, we strive to create resilient, eco-friendly food systems that benefit both the planet and future generations. If you’re looking to take the next step in your regenerative agriculture journey, find out how we can support you with our finance solutions.
