The single desk import system for Australian citrus entering the US market will be replaced by a Horticulture Australia (HAL) Citrus to USA committee as of 1 February 2013.
The decision to deregulate exports follows the approval of a phase-out process for Australia’s export efficiency powers (EEP) by Federal Agriculture Minister Joe Ludwig, according to a statement from industry body Citrus Australia.
EEP will remain in place for two years solely for citrus to China and US, underpinned by HAL industry committees reviewing market conditions and setting minimum prices.
Citrus Australia chief executive officer Judith Damiani said the decision follows more than 20 years of trade with the US using a single importer – DNE World Fruit Sales – and two years of rigorous industry debate and independent reviews.
“This is a good outcome for the Australian citrus industry after what has been a very challenging consultation period for Citrus Australia, on top of changing market conditions and upheaval of state citrus regulations in South Australia and New South Wales,” Damiani explained.
“Industry support for restrictive importer arrangements in the US has dwindled particularly during the last half of 2012, reflecting industry maturity/capability, and increasing costs, competition and a continuing high dollar in the US market.”
Damiani added that a phased approach would help industry adjust and protect grower returns.
“This transition arrangement will allow industry and government sufficient time to review export performance in both a mature (US) and emerging (China) market, and finally decide the future of export regulations.”
Damiani paid tribute to Florida-based DNE World Fruit Sales, which has acted as Australia’s long-term citrus importer and marketer in the US.
“On behalf of the Australian industry we would like to honour the exceptional service of Greg Nelson and the DNE team,” she noted.
The partnership helped turn the US into one of Australia’s most important export markets, according to Damiani.
“We are sure that service will continue for many of our exporters and growers and we look forward to DNE’s continued efforts in promoting Aussie citrus around the world.”
