Marlborough Express

Data fails to reflect reality on the farms

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to cover all growing costs.

Smith was paid for the quality of his cherries, and cherries for local markets returned as little as $2 per kilogram.

He kept track of supermarke­t prices and said those cherries that were not good enough for export markets often sold for as much as $28 per kilogram in supermarke­ts.

In Australia, many pack houses provided growers with their sale values and gave them summaries of where cherries were sold to and what price they received.

Horticultu­re New Zealand chief executive Nadine Tunley said these contradict­ions worried the industry. The Government aimed to double the value of horticultu­re from $6b to $12b by 2030, and improve grower profits, with reports of more than $100m of investment­s in horticultu­re, Tunley said.

However, government policy was contradict­ory, with investment on one side and policies that made it hard for growers to survive on the other.

The Ministry for Primary Industries confirmed that informatio­n from its outlook was sourced from Stats NZ. The export price for cherries was calculated from the export revenue for cherries, divided by the quantity exported in kilograms. It did not have informatio­n on the prices growers received for their cherries.

Alasdair Allen, Stats NZ manager for internatio­nal trade, said statistics were generated from export entries filled out by exporters and brokers. Discrepanc­ies could be from gaps in the value chain between growers and exporters.

It was common for exporters to issue amended entries after the first entry. Exporters had three months to amend any data provided to Stats NZ, Allen said.

Westpac senior agricultur­e economist Nathan Penny said there simply was not a lot of data available for some commoditie­s. However, statistics indicated a general direction that the market was heading in.

For commoditie­s like kiwifruit or milk that had data on farm gate prices, a more in depth view of what market prices meant for farmers or growers was possible, Penny said.

Stuff contacted JP Exports, a cherry pack house, numerous times but received no response.

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