With export volumes recovering following years of weather-affected crops, New Zealand avocado industry looks to diversify its markets and market country-of-origin as differentiator
After two consecutive years blighted by summer cyclones, the New Zealand avocado industry is set to welcome improved export volumes this season.
“With strict export quality standards, fruit quality was impacted [over the last two years],” says chief executive of industry body, New Zealand Avocados, Brad Siebert. “Yet it is expected to improve for the season ahead to allow a greater share available for export.”
Siebert tells Asiafruit early crop estimates look to have reverted to more normal volumes which will support exports of around 2m trays across Asia and North America with Australia and Pacific Islands taking a smaller share.
Last season, Cyclone Gabrielle slashed production to just over 1.3m Class 1 export trays across the entire industry – a ten-year record low. The vast majority of the crop was downgraded to Class 2 and 3, as well as processing grade which meant fruit had to stay onshore where prices lowered.
Historically, a high proportion of New Zealand’s avocado exports have been sent to Australia, but this has reduced in recent years with the growth of Australia’s domestic production. Australia has also since become a competitor in markets further afield after gaining access to both India and Thailand.
Some growers fear the long-term reliance on Australia meant New Zealand didn’t invest in other markets early enough. For others, the transition provides an opportunity to double down on the unique properties of the New Zealand offering – namely taste and eating quality.
“While it’s a definitely more competitive and congested marketplace relative to other origins we believe there are good windows for New Zealand avocados, especially in the context of higher pricing in North America for Mexican fruit and at the conclusion of Peruvian supply,” says Ben Lay, sales manager for NZ Avocado Collective, a vertically integrated grower-marketer bringing together three of New Zealand’s biggest avocado growers.
“Demand ebbs and flows between seasons, but it’s interesting to observe more recently some customers are placing more emphasis on taste and eating quality, which we think bodes well for New Zealand-origin fruit.”
Siebert agrees and says quality is a high priority for the industry alongside sustainable growing methods.
“A focus on provenance along with substantiated sustainability credentials continues to differentiate the New Zealand supply,” Siebert explains. “Globally there are increasing concerns around product sourcing, food safety and environmental sustainability with consumers wanting to know that what they purchase aligns with their values.”
Read an extended version of this story in the upcoming July/August edition of Asiafruit Magazine. You can subscribe to Asiafruit Magazine HERE.
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