Helping develop, grow markets
While NZ Avocado is not directly involved in selling fruit, it does have a significant role in supporting exporters to develop and grow markets.
She says the mood of growers varies from region to region. In the Bay of Plenty where Flegg lives, she says growers understand that horticulture is a fickle business and that you have to wear the good with the bad.
She notes that a lot of the new industry entrants will be feeling some financial insecurity.
"Our family have been through boom and bust periods. In terms of avocados, the industry went through a period of about six of seven years when prices were high and returns to growers were exceptional," Flegg told Hort News.
"Some were receiving up to $40 a tray and some saw that as the new norm - which it wasn't. When a grower comes to us and says I am looking at buying an avocado orchard, what should I budget on? We say conservatively $12 dollars a tray."
Flegg says new entrants to the industry must do due diligence and if they can't do that they shouldn't buy. She believes anyone coming into the avocado sector should at least have some primary industry experience. She adds that there is plenty of information available to help people make decisions.
"Do the due diligence, and talk to people, but don't necessarily take the advice of a real estate agent," she says.
Flegg believes the industry is now in the midst of creating a new normal and we all have to go along for the ride.
