Ginseng an option for forest growers
FOREST GROWERS MAY BE ABLE TO earn income from their blocks while they wait for the trees to mature by growing Ginseng under the canopy.
Ginseng originated in Asia where it is grown for use in traditional medicines and now plays a major role in herbal health care. Both the root and leaves can be used.
Trial plantings have been conducted in New Zealand and now South Waikato ginseng producer, Maraeroa C Incorporation, is ready to approach potential investors to increase its production and exports with the help of funding of up to $40,000 from the Ministry for Primary Industries (MPI).
The Maraeroa C Incorporation has around 20 hectares of high value wild simulated Asian panax ginseng growing on the forest floor of its 5,550-hectare pine plantation at Pureora. It is looking for further investment to double the size of its ginseng plantation and build a purpose-designed processing factory.
Maraeroa began growing Ginseng as a trial in 2006 and harvested its first commercial crop in 2016, which is packaged and sold under the New Zealand Mountain Ginseng brand. The growing conditions in the forest appear to be beneficial for cultivating Ginseng and there is a potential to derive up to $400,000 per hectare.
The Incorporation is looking for potential investors with existing distribution channels to China. It currently works with a small number of Chinese distributors and retailers who sell the products around New Zealand and in Hong Kong.
Maraeroa’s Chief Executive, Glen Katu, says increased exports would require additional local staff to be hired for ginseng production, processing and distribution.
“We’ll need to hire more qualified and skilled local staff to handle larger product volumes and manage exports and distribution,” he says.
“There’s also an opportunity for further investment in research and development to expand into new ginseng product lines and build greater awareness in China about the quality of New Zealand ginseng products.
“There could be some huge long-term benefits for other forestry operators by growing ginseng. Recent studies have shown that the central North Island forests are an ideal place to grow good quality ginseng and there is demand for wild simulated ginseng in China.”
NZL