Weather adversities have significantly impacted New Zealand's avocado industry this season, with NZ Avocados projecting a downturn in export volumes by over a million trays, estimating about 4.4 million trays in total, of which 1.4 million are destined for overseas markets. Despite the current challenges, prospects for the upcoming season appear more promising. "We are at the tail end of a challenging season," stated Brad Siebert, NZ Avocados chief executive, citing reduced grower export pack-outs, escalating operational costs, and intensified competition in crucial markets as key factors diminishing export returns. "NZ has had multiple seasons of terrible weather... leading to lower overall returns," Siebert stated.
He highlighted the importance of assessing grower profitability over mere returns, pointing out the adverse effects of past weather events and unreliable shipping schedules on export volumes. Siebert emphasized the rising costs of fuel, fertiliser, labour, and supply chain, underscoring the need for efficiency improvements and demand amplification. Looking ahead, Siebert is optimistic about the 2024-25 season, banking on increased fruit volumes and favorable weather conditions.
On the export front, New Zealand avocados have reached over 30 countries, including South Korea, Hong Kong, Taiwan, Thailand, China, Japan, India, Singapore, Pacific Islands, UAE, and Malaysia, with Australia being a priority market despite its current oversupply challenges. Notably, this season marked New Zealand's inaugural avocado exports to Canada and a return to the US market. However, the local market has emerged as the primary market this season. "We do not import any avocados into the country... We therefore need to increase consumption in New Zealand," Siebert stated, underlining the sector's focus on bolstering domestic demand for avocados.
Source: ruralnewsgroup.co.nz