Australian ginger producer Buderim Ginger is holding merger talks with Australian Macadamia processor and marketer, Agrimac International Enterprises.

Buderim said the options under consideration ranged from a sales and distribution alliance through to an acquisition of assets by Buderim.

The company added that while no formal agreement had yet been finalised, both parties expected a deal to be finalised by the end of the year. Buderim expects to publish further details of any agreement during the coming weeks.

"Agrimac is the third largest processor of Australian Macadamias with processing operations based in Alstonville and with significant domestic and international sales and distribution," said Buderim chairman John Ruscoe.

Ruscoe said that both companies were "excited about the potential synergies between the two businesses".

Ruscoe also confirmed that Buderim's current operational performance remained in line with previously announced guidance.