Avocados set to Go Global with new PGP
1st April 2014
The Avocado Industry Council announced today it will partner with the Ministry for Primary Industries in a new Primary Growth Partnership (PGP) programme called Go Global— a five year programme to increase the productivity and capability within the avocado industry to deliver significant additional returns for New Zealand.
Jen Scoular, Chief Executive Officer of Avocado Industry Council, says it is a landmark development for the avocado industry that will increase sales to more than a quarter of a billion dollars by 2023.
“This PGP programme will create significant value across the industry, helping position New Zealand’s avocado industry to capitalise on the growing demand domestically and in Asia, for premium, safe, and healthy produce. Part of this will involve developing a New Zealand avocado story to highlight the health and versatility of our avocados,” says Scoular.
The Go Global programme’s vision is to equip the industry with the tools to triple productivity to 12 tonnes per hectare and quadruple industry returns to $280 million by 2023.
New Zealand aims to become the avocado supplier of choice in Asian markets, by gaining an early foothold, and a “first mover” advantage in those markets.
“A consistent supply of premium avocados and a unified marketing strategy which creates a point of difference for New Zealand avocados will drive this growth,” she says.
The programme will address the industry’s biggest challenge of low and irregular bearing. Collaborative research, with strong cross industry participation will deliver best practice across the value chain which is transferred through a network of innovation leaders, rural professionals and growers. The programme aims to achieve widespread adoption of best practice driven by examples of success.
Ashby Whitehead, Chair of Avocado Industry Council says the New Zealand avocado industry will be transformed to an efficient, well-informed, and highly capable industry, supplying premium health food to a number of high-value markets domestically and internationally.
“The programme includes co-investment from growers, packers, processors and exporters, it is a real cross-industry collaboration,” says Whitehead.
The programme will have a strong focus on knowledge sharing across the avocado industry, which will also be able to be utilised by the recently successful “Avocados for Export” programme, funded by the Ministry for Business, Innovation and Employment, and led by Plant & Food Research.
Strengthening information flow, performance and efficiency will be achieved through the development of an information portal, increasing supply chain efficiency and benchmarking performance.
Justine Gilliland, Director PGP, MPI, says a total investment of $8.56 million has been secured for the programme, with MPI committing $4.28 million over five years, and the balance coming from industry partners as a mixture of cash and in-kind contributions.
“We’re excited by this new programme. It’s the first horticulture programme involving fresh fruit in the PGP, showing the diversity of the industries involved in the PGP,” says Gilliland.
“We are thrilled to be part of the PGP—the industry is motivated and ready to capitalise on the real opportunities that exist for our industry. This PGP programme will see the emergence of a globally competitive, high value, sustainable horticulture industry delivering real returns to New Zealand,” says Scoular.
MPI and Avocado Industry Council will now negotiate and agree a contract so Go Global can formally commence.
About NZ Avocado Growers’ Association Inc. & Avocado Industry Council Limited
The New Zealand avocado industry is the third largest fresh fruit export from New Zealand. The 2014-15 season will see the industry produce a near record of five million trays.
NZ Avocado Growers' Association Inc. (NZAGA) and Avocado Industry Council Ltd (AIC) work with the New Zealand industry to set export standards, facilitate market access, promote New Zealand avocados and provide technical information to all New Zealand growers of which there are over 1600 based mainly in the Bay of Plenty and Northland. For more information visit www.nzavocado.co.nz/industry
About the Primary Growth Partnership (PGP)
The PGP aims to boost the productivity and profitability of our primary sector through investment between government and industry. It provides an essential springboard to enable New Zealand to stay at the forefront of primary sector innovation.
MPI and industry have now collectively committed around $708 million in 18 announced (15 contracted and three pending).
PGP programmes are generally long-run programmes of five to seven years’ duration and are subject to oversight and monitoring by an independent panel (the Investment Advisory Panel) and MPI. Monitoring requirements include programme steering groups, quarterly progress reporting, annual plans, audits, and progress reviews, along with evaluation of the overall programme. Funding is only released to programmes on receipt of invoices for work completed in accordance with programme plans.
MPI is now seeking applications for new Primary Growth Partnership programmes. The closing date for proposals is 12pm on Wednesday 25 June. See the PGP webpage on MPI’s website for further information and guidance www.mpi.govt.nz
For further comment, contact:
CEO, Avocado Industry Council
021 741 014
Senior Communications Advisor
029 894 0328 (MPI media phone)
For media assistance, contact:
Communications Manager, Avocado Industry Council
+64 7 571 6147
+64 21 275 3331
Village Public Relations | Marketing
+64 7 572 1608
+64 27 553 3929