A small town in South Africa’s Northern Cape is drawing fresh attention from investors as a growing pistachio industry brings new life to a region long known for farming and mining.

Set along the Orange River, Prieska is benefiting from rising global demand for pistachios, a premium crop that growers say is well suited to the harsh conditions of the Karoo.

What was once a quiet agricultural community is increasingly being viewed as a promising destination for long-term agricultural investment.

The town’s resurgence follows decades of economic ups and downs.

Mining once played a major role in the local economy, particularly through the nearby Copperton copper and zinc operation. When those activities slowed, farming remained the backbone of the area.

Now, a combination of favorable climate conditions and strong international demand is creating fresh opportunities for growers and investors alike.

Climate gives Prieska an edge

For years, farmers have known that Prieska’s climate is different. Hot summers, cold winters and access to irrigation water from the Orange River provide conditions that closely resemble major pistachio-producing regions in California and the Middle East.

David Müller, CEO of Karoo Pistachios, said those natural advantages are helping local producers build a competitive industry.

Pistachio trees require a rare mix of heat, winter cold and controlled irrigation, conditions that are difficult to find in many parts of the world.

The sector has not developed without setbacks. An Industrial Development Corporation-backed pistachio project launched in the 1990s failed to deliver the expected returns and was eventually abandoned.

Years of trial and error pay off

Rather than walk away, a group of local farmers continued working on the crop. Their efforts eventually led to the creation of the Desert Emerald pistachio brand.

One of the biggest challenges was mastering pollination. Because male and female flowers grow on separate trees, growers must carefully manage planting layouts and flowering cycles to ensure successful yields.

“It took years of trial and error to understand the pollination process and build a commercially viable operation,” Müller said.

A R2 billion($123 million) to R4 billion($246 million) opportunity

Pistachio farming requires patience and substantial upfront capital. Growers estimate establishment costs range from R300,000($18,459) to R800,000($49,224) per hectare, with meaningful returns often beginning after five to eight years.

Yet the rewards can be significant. Rising global consumption, supply shortages in key producing regions and lower production costs in South Africa have strengthened the investment case.

Müller estimates the broader pistachio opportunity in and around Prieska could be worth between $123 million and $246 million. For a town shaped by generations of farmers, the crop is becoming an important source of jobs, investment and renewed optimism about the future.