Friday, 08 November 2019 11:55

Hort export figures challenged

Written by  Pam Tipa
HortNZ chief executive Mike Chapman says he doesn’t know where MPI got its 3.8% figure. HortNZ chief executive Mike Chapman says he doesn’t know where MPI got its 3.8% figure.

Horticulture's export revenue growth is likely to be about 10% in the current financial year – not the 3.8% forecast by the Ministry for Primary Industries.

Horticulture NZ (HortNZ) chief executive Mike Chapman says he doesn’t know where MPI got its figure in the Situation and Outlook report for Primary Industries.

Growth for horticulture was 13.7% in the year ended June 2019 in the September updated report. But it is forecast to be down to 3.8% in the current year.

HortNZ has asked how MPI arrived at that forecast because the report doesn’t say.

 “That’s their estimate. It sounds strange when you go from 13.7% to 3.8%. 

“That is quite a significant drop especially when we have more volume particularly of kiwifruit and berries going into the ground. That will drive more sales and of course we are at the premium end of the market.

“So more sales will make quite a difference.”

In Chapman’s view growth will remain about 10% dependent on the trade situation.

“If you track back 20 years we have actually tripled our value in that time which shows how far we’ve come and progressed over that time,” he said.

“That growth doesn’t really show much sign of slowing down except we’ve now got issues with freshwater proposals and climate change. These are challenging and difficult.”

He says the sector is working with growers and the Government to try to find the best path forward so we can sustain growth.

“There are some headwinds and we have to work out with growers and all the representative groups how we go forward.”

Chapman says domestic supply is challenging on price and the return to the growers and has been for some time.

“It is about urban and rural New Zealand getting together and working together to ensure we have vegetable supply for the future.”

More like this

2024 red meat exports end on a high

New Zealand's red meat exports for 2024 finished on a positive note, with total export value increasing 17% over last December to reach $1.04 billion, according to the Meat Industry Association (MIA).

$8b export milestone

Horticulture Minister Nicola Grigg says she takes her hat off to all NZ growers for the hard yards they have put in over the last few years which have resulted in horticulture exports expected to reach the milestone of $8 billion this year.

China still a good option

The ongoing rise of the Chinese middle class will drag up demand for New Zealand products there in the future.

Featured

People expos set to return

Building on the success of last year's events, the opportunity to attend People Expos is back for 2025, offering farmers  the chance to be inspired and gain more tips and insights for their toolkits to support their people on farm.

SustaiN lands NZ registration

Ballance Agri-Nutrients fertiliser SustaiN – which contains a urease inhibitor that reduces the amount of ammonia released to the air – has now been registered by the Ministry of Primary Industries (MPI). It is the first fertiliser in New Zealand to achieve this status.

National

Chilled cow cuts enter China

Alliance Group has secured greater access for chilled beef exports into China following approval of its Levin and Mataura plants…

New CEO for Safer Farms

Safer Farms, the industry-led organisation dedicated to fostering a safer farming culture, has appointed Brett Barnham as its new chief…

Machinery & Products

AGCO and SDF join hands

Tractor and machinery manufacturer AGCO has signed a supply agreement with the European-based SDF Group, best known for its SAME,…

» Latest Print Issues Online

The Hound

Sacrificed?

OPINION: Henry Dimbleby, author of the UK's Food Strategy, recently told the BBC: "Meat production is about 85% of our…

Entitled much?

OPINION: For the last few weeks, we've witnessed a parade of complaints about New Zealand's school lunch program: 'It's arriving…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter