With a significant amount of new production capacity to come into production in the coming years, gaining market access to new export markets – particularly in Asia – is crucial to ensuring Australian producers receive prices commensurate with the relatively high cost of production compared with competing exporters.
The export case for Australian berries relies on Australia’s solid image for clean, green and safe produce as well as developing reliable storage and export procedures to ensure reliability of quality and avoid spoilage.
While export markets are a clear opportunity to develop new high demand, high return markets, an opportunity also exists locally to take advantage of growing domestic consumer concern over the safety and reliability of frozen berry imports. While frozen berries are a lower price point, many domestic consumers may be willing to pay a higher price for non-imported product.
While the future of the berry industry is clearly bright - with significant investment, better shelf presence in local supermarkets and a more highly diversified production base which sees fewer production gaps – there still remains a number of challenges to the industry. Most notably, the lack of available labour remains the standout challenge for both the industry and government. However, producers continue to face a broader challenge to align the relatively high cost of production and increasing supply with maintaining year-round high value demand.
Madeleine Swan is Director of Food, Beverage & Agribusiness Insights at ANZ
You can read the full April 2022 Agri InFocus report here