Harvesting international relationships for horticulture's success

Two Hort Innovation trade flagship investments that foster the growth of the horticulture industry’s export prospects and expand the presence of Australian growers’ produce in international markets are the five-year program Multi-industry export program (vegetables, onions and melons) (MT21009) and the three-year project Avocado market access and trade development program (AV20004).

Developing export markets, maintaining viable export pathways, building industry capability and achieving sustained export growth has been the focus of the innovative multi-industry export program that works with vegetable, onion and melon growers across the country.

The second project has fostered collaboration between Australian avocado growers, industry, and export markets to develop new markets for the strong domestic supply of Australian avocados. This has been developed through education initiatives that have equipped industry with the knowledge of how to export goods effectively, build relationships with stakeholders domestically and internationally, and offering support services for the development of export-oriented businesses.

To further understand the significance of these projects, we spoke to Hort Innovation’s International Trade Manager – Export Capability, Mimi Doan.

Q: Why is it crucial that these industries have programs that improve their ability to export?

A: Our levy-funded export and trade development programs offer growers at different stages of their exporting journey a range of tailored and comprehensive support, which empowers them with the knowledge, resources and connections required to overcome barriers and seize opportunities in export markets.

Export growth enables our growers to tap into larger customer bases, leading to increased revenue potential. Furthermore, a thriving export-oriented horticulture industry contributes significantly to the Australian economy, creates job opportunities, and enhances the country’s global branding for its horticultural produce. Overall, these programs play a vital role in ensuring the industry’s  sustainability and resilience.

Q: What impact have these programs had so far and what future impact are they anticipated to have on the respective industries?

A: These programs are comprehensive and broad in scope, covering various aspects including export capability building, market development, quality, and market access support to name a few.

The cross-industry collaboration of the Multi-industry export program (MT21009) represents a strategic opportunity for the vegetable, melon, and onion industries. Through shared resources and knowledge, growers can tackle export challenges and opportunities more effectively. By leveraging the technical capability of an experienced service provider, such as AUSVEG, the program promotes cross-sector knowledge sharing, innovation, and export growth.

These programs have and will continue to deliver impact for our industries. For example, one area the Avocado market access and trade development program (AV20004) project covers is providing technical input and market access support to the avocado industry. During this project, the industry gained market access to two new markets, India, and Thailand. These two markets present strong opportunities for the industry to expand its presence and boost avocado exports. With the support of the trade development program, the avocado industry is poised to capitalise on these new market openings, driving revenue growth and strengthening its position in the global market. The role of this project in supporting market access, but also market development and export capability, demonstrates the valuable role that trade development projects play in facilitating market expansion and creating new opportunities for our industries.

Q: What is something exciting on the horizon for both projects?

A: One exciting event on the horizon for is participation in Asia Fruit Logistica, one of the largest and most prestigious fruit and vegetable trade fairs in Asia. This event offers an excellent platform for the industries to showcase its produce, network with potential buyers and distributors from across the Asian region and explore new market opportunities.

In an interview with delivery partner AUSVEG, a major producer and supplier to the domestic market of potatoes, onions, and carrots, based in South Australia, said the program helped the company present itself in a favourable light to potential business partners.

“By attending trade shows, we were able to establish those contacts and establish relationships to give us a foothold in export markets.”

“I encourage you to look at the opportunities that export markets can give you, including diversifying your customer base, but it also means you can be more competitive in an international market given Australia’s reputation for quality produce,” the spokesperson said.

Hort Innovation spoke to Avocados Australia Export Manager and Project Lead Flora Zhang to further understand the impact of Avocado market access and trade development program (AV20004), which is set to finish by the end of 2023.

Q: What has the program achieved for the export of Australian avocados so far?

A: One of the pillars is capability and capacity building. We made it a priority to visit each of the six growing regions, where we engaged directly with the growers. During these interactions, we discussed export opportunities to help the growers realise untapped potential and the importance of increasing their exports. Additionally, we focused on internal capability building, supporting the growers in understanding the protocol requirements for trading with different countries, ensuring their products meet all necessary requirements.

Our external engagement with overseas stakeholders has been expanded in many ways. We organised a series of events in key export markets and created platforms enabling growers and exporters to connect with importers and retailers. This has strengthened relationships and communication channels. We actively sought the stakeholders’ feedback and recommendations to identify opportunities and challenges.

We also collaborated with Trade and Investment Queensland and organised our very first avocado inbound mission. There are more inbound missions in planning.

Q: Why is this program important and how will it benefit Australian avocado growers?

A: This program holds tremendous significance for Australian avocado growers, as it directly aligns with both our industry strategy and export strategy. Over the next three years, our avocado production is projected to increase by at least 60 per cent. To accommodate this substantial growth, utilising export opportunities is essential.

Three years ago, the industry exported three per cent of the total production. In the past calendar year, our export volume surged to 10 per cent, growing more than 300 per cent in just two and a half years. This substantial increase in export demonstrates the importance of the program in driving our ambitious targets and expanding our presence in international markets.

The core purpose of this project is to establish a robust platform that empowers avocado growers with export knowledge and technical support. By equipping our growers with the necessary tools and knowledge, we enable them to explore new markets and capitalise on international market opportunities.

By fostering connections with international stakeholders, we create long-term relationships and open doors to further growth and collaboration.