After a highly successful campaign in 2013, Australia’s citrus industry is looking forward to ramping up trade with China, backed by a new grant for market development.
A delegation of around 20 Australian citrus growers returned from a trade mission to China this week “very enthused” about future opportunities, according to Andrew Harty, market development manager of Citrus Australia, who accompanied them with Citrus Australia’s chairperson Tania Chapman, CEO Judith Damiani and market access manager David Daniels.
“We had a really successful trip,” said Harty. “We went through Beijing, Dalian, Shanghai and Guangzhou visiting key distributors, wholesale markets and retail outlets. We also attended the China World Fruit and Vegetable Fair in Beijing and we discussed the basis of a Memorandum of Understanding (MoU) with the China Agricultural Wholesale Markets Association.
“Our grower-packers did some serious business on the visit – some were already doing business in China while for others it was new territory, but everyone was very enthused.
Harty sees “excellent prospects” for Australian citrus in China. “We just need some discipline to capitalise on the opportunities, particularly in terms of complying with the quarantine protocols.
“We must also ensure we don’t relax on food safety, one of our key attributes in that market, or compromise on the quality and taste of our fruit, which is another reason why it’s so sought after.”
Australia’s direct exports of citrus to China, which were only a trickle as recently as 2010, have taken off this year, reaching more than 9,000 tonnes of oranges and around 4,500 tonnes of mandarins. And the industry is hopeful of increasing these numbers substantially in the future.
One of the limitations on supply to date has been the relatively small number of growers registered to export to China under the quarantine protocol. For oranges in particular, one major company– Mildura Fruit Company –has blazed the trail. Now Citrus Australia is working to ensure the entire industry is geared up for the opportunity, according to Harty.
“We’ll be increasing the number of orchard blocks registered to ship to China this year and Citrus Australia is assisting with training people on the ground in every growing region to ensure protocol compliance,” said Harty. “The volume of trade should increase by at least 50 per cent next season and it could grow a lot more.”
The 27 November-6 December trade mission formed part of a new multi-pronged, A$100,000 programme to boost Australia’s citrus trade with China.
The programme is being funded by a A$50,000 grant from the Australian government’s inaugural Asian Century Business Engagement plan, which has been matched by grower levy funds via Horticulture Australia.
David Thomas, BRIC expert and CEO of Think Global Consulting, was brought in under the programme to help facilitate the trade mission and deliver training to the industry.
That training comprises workshops in February, which look at doing business in China, including how to engage more effectively and build relationships for the long-term.
Thomas is also assisting Citrus Australia to set up an internship programme, which will place Chinese students studying in Australia into Australian export businesses to help develop their trade and relationships in China.
“We expect to have between six and 12 students involved, placing them across our all our major export companies,” said Harty. “The internship is very much focused at a trade level. It’s about building business relationships and helping overcome language and cultural barriers.”
