Monday, 16 May 2016 13:51

Onion returns up 50%

Written by 

Onions New Zealand Inc says with 75% of this season's crop shipped, the industry is pleased with the direction it's heading in.

"Returns are expected to be up 50% on last year," chief executive Michael Ahern says.

"This means an increase from $81 million to $125 million FoB. This forecasted result will re-assert onions position as the third largest fresh horticulture export item after kiwifruit and pipfruit."

For many years the onion industry has been New Zealand's largest fresh vegetable export earner but has held a lower profile compared to its high-flying fresh fruit export cousins.

"With these types of returns the onion industry is lifting its profile when it comes to capturing government agency attention and assisting policy decisions."

"NZ started exporting onions over 50 years ago and now has 45 markets worldwide. Approximately 85% of total production is exported and all of the major industry operators are 100% NZ owned. In the horticultural sector very few can match these statistics," Ahern says.

NZ is the number one supplier from the Southern Hemisphere to continental Europe. This region accounts for 48% of total NZ exports and sold through major retail chains. In recent years the industry has balanced this trade with Asia. In 2008 Asian markets accounted for 12% of total exports. In 2016 it's forecasted to reach 41%.

"The onion industry developed a strategic plan in 2013 which focussed on four key pillars of Productivity, Export Market Development, Quality Onions and Innovation," Ahern says.

"It's very pleasing to see strong signs that our strategic planning is starting to pay off. We are also a readily scalable industry provided we have appropriate access to markets."

More like this

Hawke's Bay to the world

Rockit chief executive Mark O'Donnell says consumer awareness for the brand continues to improve each year.

Featured

Still a slow boat to China!

Hopes of NZ sheepmeat prices picking up anytime soon in the country's key export market of China looks highly unlikely.

National

Meat wellness, well done

Newly published research shows overseas consumers have a strong interest in improving their wellbeing through eating red meat, highlighting opportunities…

Small, nimble and local

Stay local. That's the message Canterbury rural trader Ruralco received from its 3000 shareholders.

Mayor's road rage

Lack of progress in repairing the stretch of State Highway 2 between Wairoa and Napier is angering Wairoa Mayor Craig…

Machinery & Products

PM opens new Power Farming facility

Morrinsville based Power Farming Group has launched a flagship New Zealand facility in partnership with global construction manufacturer JCB Construction.

AGTEK and ARGO part ways

After 12 years of representing the Landini and McCormick brands in New Zealand, Bay of Plenty-based AGTEK and the brands’…

100 years of Farmall Tractors

Returning after an enforced break, the Wheat and Wheels Rally will take place on the Lauriston -Barhill Road, North-East of…

» Latest Print Issues Online

The Hound

No Sat paper!

OPINION: This old mutt understands that NZ Post will soon no longer be delivering to rural addresses on Saturdays.

Good job!

OPINION: Your old mate notes that research on the make-up of the new parliament shows it is now far more…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter