Opportunities and challenges relating to the export of fruit and vegetable products from Queensland to Asian Countries

Opportunities and challenges relating to the export of fruit and vegetable products from Queensland to Asian Countries

Most fruits and vegetables produced in Queensland supply the domestic market. The export volume is less than 4%. Asia is our major export destination and is potentially the key demand region for Queensland fruit and vegetable products. To increase export to Asia, a sound export strategy needs to be developed based on the strengths and weaknesses in the production chain in Queensland and opportunities and threats in the marketplace in Asia. This report examines the potential to increase exports of Queensland mangoes, fresh cut vegetables, frozen vegetables, and value added products to Asian countries. It does this by analysing the challenges, opportunities, weaknesses and strengths facing each of the four product categories in regard to Asian markets. The report also examines the opportunities for using e-commerce to market these products.

Many countries in Asia are importing Queensland mangoes but not all of them have the potential to increase import volume. Based on market analyses, the report concludes that China and Korea are the only two countries suitable for expansion. It is recommended that the Queensland mango industry should focus on these two markets. Furthermore, the Queensland government needs to encourage investment in postharvest-related infrastructure and R&D for mango quality improvement and, at the same time, encourage mango farmers to work together to produce consistent quality and extend the supply window.

Fresh cut vegetables is a relatively new industry in Queensland. Unlike other vegetables which can be freighted by sea using comprehensive technologies in which Queensland lags behind its competitors, fresh cut vegetables has a very short shelf life and are required to be sent by air by all export countries. The same freight mode means that Queensland has an advantage over its competitors in Asia in supplying premium quality products. The Government needs to develop relevant polices to support firms already exporting to Asia. These polices should focus on helping firms develop economies of scale and consistent supply in terms of quality and quantity.

Frozen vegetables are not generally the focus in Queensland even though Queensland is capable of broadacre vegetable production and has the potential to produce some selected vegetable crops at low cost. Queensland must develop the necessary economies of scale in production and processing plants must be highly automated to minimize labour costs so that Queensland can compete in Asian markets.

Developing value-added products can overcome sanitary and phytosanitary restrictions imposed by many Asian countries on imports of fresh produce from Queensland. Queensland's food and agribusiness sectors are world-renowned for producing high-quality, safe, clean and green food at competitive prices. This report has found that Queensland can produce premium value-added products for top end markets in Asia. The keys to success are product differentiation and a reliable supply of premium quality goods. The prerequisites are detailed market research combined with new product development.

Marketing and selling using E-commerce has potential in the Asia. suggests-commerce is more suitable for packaged products which require less restricted cold chain systems for maintaining quality. Queensland firms could use this online e-commerce technology to offer value-added products to Asian consumers who are looking for products that are unavailable in physical stores.

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