Oregon produces 99% of the hazelnuts grown in the U.S. and ranks in the top five producers of hazelnuts globally. According to the Oregon Hazelnut Industry Office, the hazelnut became Oregon’s official State Nut in 1989, and about 1,000 Oregon farm families grow hazelnuts on 93,000 acres. The farmgate value (value at the point of sale for the farmer) of Oregon’s hazelnut harvest has averaged over $120 million annually in recent years.
The Hazelnut Growers of Oregon currently process around 75% of Oregon’s hazelnuts. Governor Tina Kotek approved a forgivable loan of $675,000 from Business Oregon’s Strategic Reserve Fund (SRF) to upgrade their equipment and facility to ensure that Oregon’s hazelnut industry continues to grow and thrive. The award also included funding to bring on the Oregon Manufacturing Extension Partnership (OMEP) to assist with designing the facility improvements.
As a result of these equipment and facility upgrades, Italy-based company Ferrero has decided to purchase more Oregon hazelnuts. Hazelnuts are an essential ingredient in Ferrero’s popular brands Nutella and Ferrero Rocher, and there has been a steep increase in Ferrero’s North American sales, jumping from $600 million to $3 billion in the past six years.
Historically, Ferrero has purchased small quantities of Oregon hazelnuts, but over the past three years, Ferrero’s purchases of Oregon hazelnuts have doubled. Oregon hazelnuts have now completely satisfied all the company’s North American demand for 2025. Due to this SRF investment, for the first time ever, some iconic gold foil-wrapped Ferrero Rocher truffles contain an Oregon hazelnut at the center!
Ferrero is also increasing its investment in research studies at Oregon State University (OSU). Ferrero has invested about $1.5 million over the past five years into OSU research to reduce chemical usage and battle pests and diseases. Ferrero has recently added to their investments with a generous $180,000 grant to support multiple ongoing projects, including biological control of invasive species, diseases, and fungi, as well as integrated weed management within orchards. The ultimate goal of these OSU studies is to reduce the use of herbicides.
In March 2025, Ferrero’s top executives met with Governor Tina Kotek (third from left in photo), Business Oregon Director Sophorn Cheang (second from right in photo), and other government officials to tour the upgraded Hazelnut Growers of Oregon facility in Donald, Oregon. Ferrero Senior Vice President of Institutional Affairs and Corporate Communications, Gerald R. Kunde II (Chip), spoke to the Capital Press about Oregon’s hazelnut industry, noting that Oregon produces high-quality, premium hazelnuts and that, “The level of professionality is very high.”
Photo Credit: The Office of Governor Tina Kotek.
