New Zealand kiwifruit growers may receive 20 per cent lower returns per tray this year compared to 2003-04 following a bumper harvest.
Zespri International ceo Tim Goodacre issued the warning this week and said the average orchard gate return could also decline by about five per cent. Last year, the orchard gate return was up 14.3 per cent on 2002-03.
Goodacre was reported in the NZ press telling shareholders: "We are in the middle of a tough season…I believe e are as well prepared as any business can be and we’ve had a good start, though there’s no doubt it’s going to be a long selling season."
The Zespri crop was forecast to reach 75 million trays, some 10m more than last season, but once harvesting was completed the total rose a further 5m trays to top 80m. So far 35 per cent of the Zespri Green crop has been sold compared to 40 per cent this time last year. But the number of trays sold is actually higher.
The Asian markets have been performing well for Zespri with strong pricing maintained for Gold but lower price markets are having to take higher volumes which is exerting downward pressure on returns to growers.
"At this stage of the season we are pretty much on track with our sales forecast but there is a long way to go," Goodacre was reported. "The emphasis will continue to be on keeping the fruit moving at the highest returns available."
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