Apples and pears hit $1b milestone
New Zealand’s apple and pear industry has surpassed $1 billion in orchard gate returns (OGR) for the first time.
New Zealand's largest vertically-integrated grower, packer and exporter of 25% of this country's apples has taken a bold step to scientifically guarantee the integrity of its produce.
Mr. Apple has signed a three year contract with Dunedin-based Oritain to combat what has become a proliferation of food fraud in the export industry, and safeguard the security of its supply-chain.
Mr. Apple chief executive Andrew van Workum says that having his apples 100% traceable from orchard to store is a lynchpin of the Mr. Apple brand, and adds critical value to the relationship it has with growers, suppliers and consumers.
"We have a strong focus on the wider Asian region as a growth area, and felt we needed to remove any uncertainty about provenance of our product, or food safety concerns," he says.
"We've chosen to partner with Oritain because we are willing to invest in scientific innovation that ensures supply-chain transparency, verifies product origin and ultimately builds trust in our premium brand."
"Our customers around the world want absolute confidence in the source of their product. By adopting the Oritain system we can demonstrate that Mr. Apple is the right partner to meet the needs of their business."
Oritain CEO Grant Cochrane says that food fraud costs the global food industry around NZD$71 billion a year, and that's making consumers more wary.
"We are finding that consumers today are driving the need for product authentication. People are demanding more transparency about what's in their food and where it comes from," he says.
Cochrane says that smart companies like Mr. Apple understand that future growth depends on integrity in their supply chains, and trust in their brands. "These market-leaders proactively choose to become the companies their customers want, and they do it before their competitors do. That's how they differentiate themselves from the pack," he says.
Van Workum says that the Oritain 'fingerprint' and 'trust-mark' system scientifically substantiates Mr. Apple's claims that its products are safe, have been grown and packaged to acceptable standards, are of premium quality and come from their stated origin.
"We are backing our promise and guaranteeing the quality and safety of our premium product, while at the same time deterring any potential counterfeit, substitution or mislabelling in foreign markets. It's a win-win," he says.
Fonterra says the US continues to be an important market for New Zealand dairy and the co-op.
Trade and Agriculture Minister Todd McClay says New Zealand's trade interests are best served in a world where trade flows freely.
New Zealand's red meat sector says it is disappointed by the United States' decision to impose tariffs on New Zealand exports.
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