Fruit exports tasting sweet for NZ economy

Zespri chief executive Lain Jager is seeing strong growth in kiwifruit volumes.

Fruit exports reached an all-time annual high of $2 billion in the year ended June 2015, says Statistics New Zealand.

Major Bay of Plenty horticultural mainstay kiwifruit accounted for 59 per cent of the total value of fruit exports, followed by apples at 28 per cent, and avocados - another strong Bay export - at 5.7 per cent.

"Kiwifruit volumes are going strongly as the industry recovers from Psa," said Lain Jager, chief executive of kiwifruit export marketing company Zespri.

"Most of the volume growth is in our premium Zespri SunGold [G3] variety, which boosts our industry's earnings as growers benefit from a more profitable product mix."

Andrew Darling, chairman of the avocado exporters' council, AVEC, said after some tough years the industry was maturing and working closer together. "We are recognising collectively the potential value of our industry and working on a common industry strategy to achieve greater growth," he says. "The Australian market remains crucial to New Zealand and planning our supply into Australia is a critical requirement which affects us all."

Statistics NZ said the total value of all fruit exported was up by 20 per cent, a $330 million increase, for the June 2015 year compared with the previous 12 month period. Both high prices and a nine per cent increase in export volume accounted for the increase.

"Record monthly fruit exports in April, May, and June 2015 led to an all-time high for the year ended June," said international statistics manager Jason Attewell.

Fruit exports in May 2015 had the highest-ever value for a month (at $445 million). June and April exports were the second- and third-highest, respectively.

Kiwifruit and apples led the monthly increases, with exports in May 2015 being the highest value recorded for both kiwifruit ($280 million) and apples ($157 million).

The increases occurred despite a 5.3 per cent fall in the canopy area of kiwifruit and a 4.8 per cent fall in the area planted in apples, between 2012 and 2014.

The European Union remains the biggest export destination, accounting for 27 per cent of fruit exports.

Japan at 14 per cent and China at 13 per cent were other top destinations in the June.