New Zealand- Fresh Deciduous Fruit Semi-annual

An Expert's View about Agriculture and Animal Husbandry in New Zealand

Posted on: 5 Jun 2013

A biennial bearing “on” year has boosted Apple production to 519,000 MT, an 8% jump year on year. As a result apple exports are forecast to jump up 10% year on year to 306,000 MT.

THIS REPORT CONTAINS ASSESSMENTS OF COMMODITY AND TRADE ISSUES MADE BY USDA STAFF AND NOT NECESSARILY STATEMENTS OF OFFICIAL U.S. GOVERNMENT POLICY Required Report - public distribution Date: 5/28/2013 GAIN Report Number: NZ1308 New Zealand Fresh Deciduous Fruit Semi-annual New Zealand Apple and Pear Sector Report May 2013 Approved By: Hugh Maginnis Prepared By: David Lee-Jones Report Highlights: A biennial bearing “on” year has boosted Apple production to 519,000 MT, an 8% jump year on year. As a result apple exports are forecast to jump up 10% year on year to 306,000 MT. Industry participants say the export markets look promising this year and apple growers are cautiously optimistic that per carton returns will be higher than 2012’s average of NZ$22.71 per carton Free-Alongside-Ship return. Executive Summary The total planted area of apples and pears seems to have found a reasonably stable level at around 8,800 hectares (ha). The apple area comprises 95% of the total planted area. Indications are that in the medium term the planted area is likely to either remain stable or start to trend upward. Total apple production has been revised to 519,000 Metric Tons (MT) for MY2012 following Pipfruit New Zealand Incorporated’s (PNZI) updated crop forecast in February 2013. This is an 8% revision on initial forecasts and is the result of a biennial bearing “on” year and generally good orcharding conditions over most of the growing season. In general, now that the harvest is nearly over, the quality out-turn is being described as good especially the early harvest varieties such as Royal Gala although fruit size is on the low side. Pear production for MY2012 is now estimated at 13,050 MT which is a downward revision of 8%. Grower returns in MY2011 were approximately 10% better than had been forecast, at an average of NZ$22.71/Tray Carton Equivalent (TCE). The industry is quietly confident that MY2011 apple returns could be exceeded in MY2012 given that the European markets are short of apples and generally the Asian markets continue to be promising. Domestic consumption has been revised upward to 67,500 MT, which at just under a 10% upward change, is put down to higher per capita consumption because of plentiful, relatively cheap apples in the supermarkets and perhaps some extra volume going directly to stock food. The volume going to processing has also been revised upward, by 15%. At 146,250 MT, this volume is basically in line with the increased production tonnages. Apple exports are now forecast to be 306,000 MT which is a 4.5% upward revision and 10% up on a year on year basis, because of the increases in apple production. The overall trend of the last decade is clear: a major swing to trade with Asia and the Middle East. The process of change has not stopped and is set to continue into the future until the volumes going to Europe reach a level where returns will compete with those from Asian destinations. Market access, SPS issues, and high tariff barriers still conspire to slow down the rate at which the sector can take advantage of the undoubted opportunities for profitable trade in the wider Asia area. PNZI has publically stated it is putting about 75% of its effort and funding ultimately into market access. Note: The Marketing Year 2012 is from Jan1, 2013 to Dec31, 2013 and will be referred to as either 2012/2013 or MY2012 in the text. Similarly MY 2010 is shown as 2010/2011. CY2012 refers to the calendar year which for New Zealand is the same as the Marketing year Note2: A TCE stands for Tray Carton Equivalent and is 18.0 kilograms of fruit Planted Area Going into the 2013 harvest (MY2012) the national planted area has lifted marginally on initial estimates. The apple area is put at 8,372ha and the pear area at 448ha following Pipfruit New Zealand Incorporated’s (PNZI), the representative body which is industry funded, latest grower survey. Table of Deciduous Fruit Plantings in New Zealand by Variety ( in Hectares) Market Year MY200 MY200 MY200 MY200 MY200 MY200 MY201 MY201 MY201 4 5 6 7 8 9 0 1 2 for FAS Calendar Yr of H 2005 2006 2007 2008 2009 2010 2011 2012 2013 arvest Braeburn 3,159 2,464 2,484 2246 2034 1,869 1740 1589 1504 Royal Gala & 3,393 2,872 2,893 2669 2538 2,417 2423 2369 2386 sports Cox 401 354 314 295 281 248 236 203 178 Fuji 1,018 875 836 829 899 931 970 934 906 Granny Smith 374 322 294 286 282 267 256 256 246 Cripps Pink/Pink 349 287 248 285 353 397 434 446 459 Lady Jazz 289 440 576 768 917 977 983 943 905 Pacific Beauty 351 250 177 162 149 135 127 120 113 Pacific Queen 351 306 223 212 220 263 291 351 456 Pacific Rose 819 642 529 454 424 416 399 396 390 Other 257 184 192 333 388 712 611 717 829 Varieties/Unidentifi ed Total Apple Area 10,76 8,996 8,766 8,539 8,485 8,632 8,470 8,324 8,372 1 Total Pear Area 936 722 735 412 412 431 473 441 448 Total 11,69 9,718 9,501 8,951 8,897 9,063 8,943 8,765 8,820 7 Braeburn as % of Ap 29.4% 27.4% 28.3% 26.3% 24.0% 21.7% 20.5% 19.1% 18.0% ple Area Royal Gala as a % 31.5% 31.9% 33.0% 31.3% 29.9% 28.0% 28.6% 28.5% 28.5% of Apple Area Source: PNZI The steady decline in Braeburn area is still evident. This has been accompanied by a trend into cultivars which are more appealing to Asian palates. What is interesting is that Jazz, initially heralded as a potential savior for the sector, has suffered from poor returns and can be seen as basically an updated Braeburn: a tart tasting apple that is difficult to sell in Asia. However there was a rush to replace Braeburn in the mid 2000’s with Jazz and now it comprises 11% of the planted are. Combined with Braeburn a total of 29-30% of the planted area is still in European focused cultivars, not very different from the mid 2000’s. The initial cost to replant with Jazz and the subsequent decline in returns has depleted many smaller growers’ financial reserves which now has the effect of slowing down the capacity of the sector to respond quickly to the opportunities for supply in Asia and the Middle East. The larger integrated growing, packing, and shipping companies are not really interested in Jazz because, being a club variety, they must relinquish the post-harvest control of the fruit to ENZA who holds the worldwide rights. ENZA is the largest New Zealand integrated apple company. Some Jazz blocks have already been removed and the trend away from tart tasting European focused varieties is likely to continue and perhaps even gather pace over coming years. Growers have diversified into Royal Gala sports (such as Galaxy); more Pacific Queen; and new cultivars such as Envy, Ambrosia, Rockit, HoneyCrisp, Smitten, SweeTango, Kanzi, and Koru. The standard Fuji variety, which has in the past comprised over 11% of the planted area, has been surpassed by better color sports putting New Zealand’s offering at a disadvantage in the market place. The difficulty to achieve consistently high color, and then consequent lower returns, is likely to mean a continuing reduction in standard Fuji plantings which will be replaced with either higher color Fuji sports or one of the other cultivars listed above. The organic apple area is now put at 571ha with only 7 ha under conversion. This is an 8% reduction from 2012 and 34% down from the peak in 2011. Production Apple Production Apples, 2010 2011 2012 Fresh 2 0 1 0 /2011 2011/2012 2012/2013 New Zealand M a r k e t Y e a r B e g i n : J a n 2 0 11 Market Year Begin: Jan 2012 Market Year Begin: Jan 2013 (HA USDA Old )/(MT O New USDA Old U fficia Post Po Officia Po New SDA Old st Po O New fficia Post st st Post ) l l l Area Planted 8 ,500 8,470 8,470 8,300 8,324 8,324 8,300 8,320 8,372 Area 8,850 8,316 8,316 8,200 8,200 8,200 8,300 8,225 8,275 Harvested Bearing Trees 0 0 0 0 0 Non-Bearing 0 0 0 0 0 Trees Total Trees 0 0 0 0 0 0 0 0 0 Commercial 464,70 467,06 468,46 447,60 447,60 465,00 467,00 467,00 503,00 Production 0 0 8 0 0 0 0 0 0 Non-Comm. 15,000 15,000 15,000 12,500 12,500 15,000 14,000 14,000 16,000 Production Production 4 79,70 482,06 483,46 460,10 460,10 480,00 481,00 481,00 519,00 0 0 8 0 0 0 0 0 0 Imports 1,000 1,257 984 1,000 740 1,129 500 750 750 Total Supply 4 8 0,70 483,31 484,45 461,10 460,84 481,12 481,50 481,75 519,75 0 7 2 0 0 9 0 0 0 Fresh Dom. 56,200 60,000 60,000 57,860 61,400 63,000 49,200 61,500 67,500 Consumption Exports 299,50 298,31 299,45 286,80 283,00 284,45 305,00 293,00 306,00 0 7 2 0 0 1 0 0 0 For Processing 1 2 5,00 125,00 125,00 116,44 116,44 133,67 127,30 127,25 146,25 0 0 0 0 0 8 0 0 0 Withdrawal 0 0 0 0 0 0 From Market Total 480,70 483,31 484,45 461,10 460,84 481,12 481,50 481,75 519,75 Distribution 0 7 2 0 0 9 0 0 0 TS=TD 0 0 0 0 0 0 Note: Data included in this report is not official USDA data. Official data can be found at http://www.fas.usda.gov/psd MY 2012 (2013 harvest) Total apple production is now put at 519,000 Metric Tons (MT) following PNZI’s updated crop forecast, an 8% increase on initial forecasts. The main reason behind the boost in production comes from nearly all the orchard trees having synchronized their biennial bearing tendencies into the same year following widespread frosts in 2007. The 2013 harvest is a biennial bearing “on” year. In addition generally the weather has been beneficial for crop development despite hail and frost events early in the growing season in Hawkes Bay and hail and wind damage in Nelson. The North Island wide drought, lasting from December 2012 to April 2013, has affected a small number of growers in the Hawkes Bay who lost access to irrigation during the last three months leading up to harvest. The earlier harvest cultivars such as the Royal Gala types have been reported as having great quality this year with the color, brix, and dry matter content all described as being good. The Royal Gala crop fruit sizes are reportedly on the small side of average but suitable for the Asian markets. Large size counts will be in high demand for the North American markets. The later harvest varieties such as Braeburn and Jazz are packing out with a more variable quality out-turn and drought stressed fruit is more noticeable. The Fuji crop is rated as having a lot of fruit with substandard color which will reduce export pack- outs and increase the tonnage going to processing. In Hawkes Bay, which has 61% of the planted area, the harvest had all but wrapped up by mid May with only the blocks where all the fruit are destined for processing left to pick. Growers in the Nelson region with a greater proportion of the later harvest varieties will complete the harvest by mid May with wet conditions underfoot. European Canker proliferation has not been in evidence during summer but with the wet conditions and the onset of winter orchardists will need to be pro-active to stop the spread of the disease. Two international studies on pesticide residues on apples have found NZ fruit compare very favorably with fruit from other origins. The US EPA released a study in August 2012 which found Chilean apples had 4.8 residues per sample which included organophosphates and had a dietary risk index of 0.42; the US apples had 5.4 residues per sample and a dietary risk index of 0.28; while the NZ apples had 3.2 residues per sample and a dietary risk index of 0.02. A further study in the UK found NZ apples had lower residues than apples from UK, France, South Africa, and Chile (which had up to 5 residues per sample). This would vindicate the sectors’ concerted work to reduce chemical residues with the “Apple Futures Programme” which 66% of the planted area is grown under. The Apple Futures Programmes’ goal is to produce fruit with nil detectable residues. Now only 1% of the planted area in NZ isn’t grown under some sort of residue minimization program. Dry matter content (DMC) which is an integral part of the growing and payments for kiwifruit is fast becoming important for apples as well. There is DMC testing going on and orchard field trials to work out how to influence DMC. DMC is important for taste, and one UK apple buyer is stipulating minimum DMC percentages. MY2011 (2012 Harvest) The 2012 harvest volume has been revised up to 480,000 MT based on new data from PNZI. This equates to a 4% increase. Pear Production Pears, 2010 2011 2012 Fresh 2010/2011 2011/2012 2012/2013 New Zealand M a r k e t Y e a r B e g i n : J a n 2 0 11 Market Year Begin: Jan 2012 Market Year Begin: Jan 2013 Official Post New Official Post New Official Post New Data Estimate Post Data Estimate Post Data Estimate Post (Ha/MT) Data Data Data Area Planted 470 473 473 440 441 441 440 440 448 Area 470 473 473 440 441 441 440 440 448 Harvested Bearing 0 0 0 Trees Non-Bearing 0 0 0 Trees Total Trees 0 0 0 0 0 0 0 0 0 Commercial 14,100 14,099 14,611 12,300 12,300 11,554 14,000 14,000 12,850 Production Non-Comm. 200 200 200 200 200 200 200 200 200 Production Production 1 4 ,300 14,299 14,811 12,500 12,500 11,754 14,200 14,200 13,050 Imports 3,100 3,601 3,081 3,200 3,200 3,729 3,500 3,300 3,300 Total Supply 1 7 , 400 17,900 17,892 15,700 15,700 15,483 17,700 17,500 16,350 Fresh Dom. 9,900 10,400 10,400 10,200 10,200 10,000 10,500 10,300 10,000 Consumption Exports 4,400 4,387 4,379 3,000 3,000 2,983 4,200 4,200 3,350 For 3,100 3,113 3,113 2,500 2,500 2,500 3,000 3,000 3,000 Processing Withdrawal 0 0 0 0 0 From Market Total 17,400 17,900 17,892 15,700 15,700 15,483 17,700 17,500 16,350 Distribution TS=TD 0 0 0 0 0 0 MY2012 (2013 harvest) The good weather for crop growth extended to pears and production should be up year on year at 13,050 MT. However the latest crop estimate doesn’t fulfill the potential forecast last October with this revision 8% less than initial forecasts. Grower Returns The actual result for MY2011, the 2011/2012 growing season, at $22.71/Tray Carton Equivalent (TCE) is $2/TCE better than sector forecasts in August 2012. This is a 10% increase. For MY2012 the industry is quietly confident that MY2011 apple returns could be exceeded based on good quality fruit from NZ going into UK and EU markets that are short of apples and generally Asian markets continuing to be promising. Shipping rates which threatened to be increased significantly have remained stable. Apple Prices in NZ$ per Tray Carton Equivalent(18kg) on a Free Alongside Ship Basis Marketing 2004 2005 2006 2007 2008 2009 2010 2011 Year (FAS/PSD) Harvest Year Variety/Growi 2005 2006 2007 2008 2009 2010 2011 2012 ng Method Braeburn- 9.81 19.42 16.29 25.09 16.13 18.25 18.04 20.10 Integrated Fruit Program Royal Gala- IFP 13.87 19.26 19.13 22.16 21.11 22.90 20.37 21.10 Jazz- IFP 31.81 34.24 29.57 30.98 19.46 21.59 18.97 22.33 Granny Smith - 11.46 19.85 16.48 21.64 19.20 21.68 19.48 19.46 IFP Cripps Pink/Pink 22.72 26.56 25.8 32.12 26.71 21.60 22.79 23.75 Lady- IFP Fuji- IFP 18.13 27.06 24.01 26.10 25.53 25.71 20.95 25.52 Pacific Beauty 17.80 17.02 21.95 23.05 32.47 27.59 23.85 24.56 Pacific Queen 17.36 22.26 23.63 26.20 35.19 33.47 29.59 29.64 Pacific Rose 16.51 19.42 20.9 25.37 27.29 30.72 28.01 30.07 Organically grown 48.17 30.75 35.14 17.43 25.69 23.13 Braeburn All Organic 32.45 36.03 21.15 27.35 24.21 Apples Average All IFP 12.88 20.02 19.06 24.44 20.52 22.22 20.47 22.71 Apples Breakeven 23.00 20.35 22.57 20.01 19.90 Costs(estimated) Total Export Production(MT 315,19 264,81 292,09 261,15 303,03 258,98 298,31 284,45 ) 1 8 6 4 0 2 7 1 Source: PipfruitNZ, MPI, Post. Note: Breakeven costs include all orchard operating costs and overheads but do not include wages of management, interest, tax or capital expenditure Consumption Total Domestic consumption for MY2012 (2012/13 production season) is put at 67,500 MT which is just under 10% more than had been previously envisioned, and a 7% year on year increase. Human consumption per capita is expected to increase a little because there are plentiful supplies of reasonably priced fruit in the supermarkets. There have been anecdotal reports of fruit being diverted to stock food because of the drought in the North Island; however it is thought that the quantities will not be large. Consumption for MY2011 is now reported at 63,000 MT based on new industry data, which is 2.6% ahead of the previous estimate, and up 5% year on year which suggests per capita consumption is increasing. Processing Significantly more apples are now forecast to be processed in MY2012. At 146,250 MT this is a revision of just on 15% and 9.5% up year on year. At just over 28% of the total crop this is only a slightly higher proportion of the crop than in MY2011 (27.8%) so the increase is basically the result of increased total production rather than a definite swing to processing. The processors were active early in the growing season offering contract prices for whole blocks which now compare very favorably to the lower spot prices available for non export fruit at present. The processors were successful in securing some volume with the early season contract offer, which certainly has some appeal for Braeburn growers who can achieve very high yields and minimize input costs. It is thought an increased proportion of the Fuji crop, compared to last year, will end up going to processing. The MY2011 processing total has also been revised upward to 133,678 MT based on new industry data. Trade Apple Exports Exports at 306,000 MT have been revised upward by 4.5% and will be 10% up on a year on year basis. This is a result of the significant production revision which will flow through into increased consumption, processing, and exports. Exports for MY2011 at an actual of 284,451 MT are only 1,451 MT greater than Posts earlier estimate or a negligible 0.5% increase. New Zealand Fresh Apple Export Statistics Annual Series: 2002 2012 2011 - 2012 % to Quantity(metric tons) Shar 2012 e of % Partner 200 200 200 200 200 200 201 201 201 Tota chan Country 4 5 6 7 8 9 0 1 2 l ge 7845 6606 5918 6307 4352 5028 3629 4617 4402 15.5 - United Kingdom 3 1 1 3 6 6 7 1 4 % 4.7% 5637 3245 3763 4760 3296 4567 4210 3321 3381 11.9 United States 6 5 9 7 1 4 9 0 1 % 1.8% - 1632 1608 1122 1134 9913 1164 9461 1043 7520 26.4 27.9 Total EU excl UK 19 86 40 94 4 52 9 57 6 % % 1294 1485 2194 47.7 Thailand 1082 840 2219 3181 7476 9023 1 0 0 7.7% % 1204 1812 50.5 India 2477 2522 3861 3675 4966 5331 6066 1 2 6.4% % - 1349 1100 1623 1400 13.7 Hong Kong 6807 4769 5583 6342 8160 3 1 5 7 4.9% % United Arab 1316 62.5 Emirates 2033 2577 2727 4591 6166 8962 7148 8103 9 4.6% % - 1927 2576 1520 1828 2059 1645 1563 1815 1221 32.7 Taiwan 9 2 4 3 9 0 4 2 7 4.3% % 17.1 Singapore 5230 3721 4595 4824 5736 5894 4517 6310 7387 2.6% % Malaysia 6034 3625 4514 5473 6873 6957 3506 6530 7169 2.5% 9.8% Rest of the 1733 1539 1767 2187 2522 2433 2584 3349 3739 13.1 11.6 World 6 1 7 0 9 0 5 6 7 % % Total for All 3583 3186 2654 2924 2608 3028 2596 2994 2844 100. - Destinations 27 08 36 13 30 54 83 52 51 0% 5.0% Source: GTA The overall trend of the last decade is clear: a major swing to trade with Asia and the Middle East. The process of change has not stopped and is set to continue into the future until the volumes going to Europe reach a level where returns will compete with those from Asian destinations. However it is not just the FOB value per TCE which will be the final determinant because the main cultivar shipped to Europe, Braeburn, is one of the highest yielding and one of the most cost- efficient to grow. With costs lower, a lower FOB return per TCE can still be profitable and the higher yields can improve profitability per hectare which is what matters in the end for orchardists. However even these advantages have not been enough to save Braeburn from the chainsaw. Source: GTA The swing to Asia and the Middle East is typified in the trade trends for Royal Gala. New Zealand Apple Exports for Royal Gala & Gala Sports by Destination Region as a Proportion of Total shipped Year Exported 2002 2007 2012 Total Metric Tons Shipped 99875 103869 93561 Asia 13.1% 12.7% 38.9% China & Hong Kong 4.7% 4.1% 6.1% Middle East 2.8% 4.6% 12.2% All other countries 0.7% 2.2% 4.3% Pacific Region 0.8% 2.7% 3.1% Total EU excl UK 31.8% 41.2% 19.6% United Kingdom 25.3% 15.2% 7.7% North America 20.8% 17.4% 8.2% Source: GTA Apple Imports Imports for MY2012 are expected to be around the lower end of the range of historical levels at 750 MT because of the plentiful supplies of domestic fruit. New Zealand Import Statistics for Fresh Apples Annual Series: 2006 - 2012 Quantity Partner Country 2006 2007 2008 2009 2010 2011 2012 World 1046 1424 1645 1253 1151 984 1129 United States 1024 1424 1645 1108 1119 967 1124 Australia 1 0 0 0 0 0 5 Canada 20 0 0 0 0 0 0 China 0 0 0 0 11 0 0 India 1 0 0 0 0 0 0 New Zealand 0 0 0 145 21 17 0 Source: GTA Pear Exports and Imports Pear Exports are expected to be in the region of 3,350 MT in MY2012 which is 20% less than original forecasts but still 12% higher on a year on year basis. If export prices are relatively better than the local market and pack-outs are better than expected the volume exported could well be in excess of the revised forecast of 3,350 MT. Pear imports in MY2012 are expected to be less than the volume in MY2011 but still in the usual range of 3,000 to 3,700 MT. New Zealand Import Statistics For Fresh Pears Annual Series: 2007 - 2012 Quantity (MT) Partner Country 2007 2008 2009 2010 2011 2012 World 2919 3739 3158 3710 3081 3729 United States 1192 1132 1199 1786 1263 1710 Australia 823 1753 1468 1352 1361 1551 China 742 705 292 452 365 403 Korea South 161 150 177 117 91 65 New Zealand 0 0 0 4 0 0 South Africa 0 0 22 0 0 0 Source: GTA Market Access, SPS Issues, and Trade PNZI is putting about 75% of its effort and funding ultimately into market access. It hopes that there can be much better alignment between the apple industry, the Ministry of Foreign Affairs and Trade; Trade and Enterprise NZ; and MPI. It is working toward this to achieve much better export performance. India An FTA with India is being pursued by NZ but is still rated at being 2 years away. Apple exports showed a dramatic increase in MY2011 despite the high tariff barrier (50%). However large quantities of lower quality, cheap Iranian apples in the market earlier in CY2013 are holding up resumption of New Zealand trade. In terms of market access the potential for the unenforced regulation for methyl bromide treatment to be enforced over all apple imports is a real threat which if it happened would halt exports from NZ. The Ministry for Primary Industries (MPI) has made scientific representations to the GOI but has not had a reply yet. Taiwan Exports from NZ have to comply with MPI’s “codling moth sensitive market program” which does create extra pressure on growers in order to comply but also achieve low chemical residues for grades of fruit within a block which may be better exported to Europe. Reportedly Taiwan relaxed its apple tariff from November to Feb 2013. As a result large quantities of U.S. fruit arrived in the market. This combined with the poorer colored Fuji fruit produced this year in NZ has meant the Taiwanese market is very difficult this season for NZ Exporters. U.S. Big US domestic crops and better storage technology, the high currency exchange rate faced by Kiwi exporters, and a lower proportion of large fruit sizes is all contributing to the exporters losing a bit of focus on the US. It is thought the quantity shipped to the US will be no greater than MY2011. China The Chinese market, which is considered to be one of great potential, is still being found difficult to crack by Kiwi exporters. In MY2011 (CY2012) only 1,513 MT of apples was shipped to China which is no higher than levels reached 5 to 7 years ago. In terms of market access growers and pack- houses must comply with the “codling moth sensitive markets program” and a range of other conditions to prevent any pests or disease symptoms from the extensive quarantine pest list, being found. The sector is not convinced MPI has the right strategy with regard access negotiations and feels the access conditions are far more onerous than the science justifies. Australia Only tiny quantities of apples have crossed the Tasman since the protocols for export from NZ were agreed to following the WTO decision in 2010. The protocols, which are basically a standard set of conditions, were put in place by August 2011. But in MY2011 (CY2012) only 78 MT were shipped. The industry complains that the standards as interpreted by MPI are far too severe which is making it too difficult to profitably ship to Australia. MPI would respond by saying that pack-houses and exporters need to re-calibrate their levels of thoroughness in respect quality assurance. PNZI says the protocol is just too tough and will need re-negotiating before trade will become meaningful. Japan Japan is an attractive market, not only are their big numbers of affluent consumers, the shipping time is only 2 weeks and regular. Market access requirements have not changed but MPI negotiated new ways for the sector to fulfill the access conditions back in 2010. Five years ago there was no trade, but in MY2011 2,023 MT was shipped. It is expected the volume will grow in MY2012. South Korea South Korea is seen as a market for the future, and MPI has an ongoing work program with regard SPS issues in order to gain access for apples. Commodities: Apples, Fresh Pears, Fresh
Posted: 05 June 2013

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