Marlborough Express

Avocado exports take a knock

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Chaos in the shipping industry has contribute­d to avocado exports plunging in the past year – although the tough times for growers mean a silver lining for local avocado lovers.

Export revenue for the avocado industry was down 61% year-on-year, according to the latest Ministry for Primary Industries (MPI) outlook.

Besides what New Zealand Avocado chief executive Jen

Scoular described as chaotic delays in shipping, a glut of the fruit in Australia also contribute­d. Prices there hit a 15-year low of $1 for a single fruit, making exporting from New Zealand uneconomic.

Normally our biggest avocado market, exports across the Tasman fell 76% year on year and about 10% of the intended export crop ended up being sold domestical­ly.

Scoular said booked consignmen­ts missed delivery dates because of delays or changes to schedules, or ships simply skipped ports they had been expected to stop at.

One consequenc­e was that the usual practice of staggering deliveries so avocados arrived at different times was up-ended.

Deliveries arrived in export markets all at once, leading to an over-supply into supermarke­ts and resulting wastage. As well, fruit that was nearing its sell-by date became unsellable.

Prices for those who did export to Australia were 60% lower than normal.

The depressed price opened up Asian markets, however, and some 1.5 million trays of avocados were sold there, almost three times the volume of a year earlier, MPI said.

Scoular said the domestic market had a 10% lift in supply but again at prices below normal.

Local sales prices were consistent throughout the entire year and provided some security for growers, Scoular said.

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