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6.7      Summerfruit (cherries, apricots, peaches, nectarines, plums)

6.7.1 Industry profile

Summerfruit is the term used in New Zealand to collectively describe cherries, apricots, peaches, nectarines and plums.

Funded by grower levies under the Commodity Levies Act, Summerfruit New Zealand is also the recognised product group for summerfruit under the New Zealand Horticulture Export Authority Act. Summerfruit has been subject to export licensing since November 1987. As the industry representative body, Summerfruit New Zealand represents grower interests, managing a research programme, providing strategic direction, growing relationships between growers, marketers, retailers and exporters, and promotional activities.

Summerfruit New Zealand has a strong focus on export, with a market access portfolio overseen by a Summerfruit New Zealand director and implemented by a contracted market access manager. Several official assurance programmes (especially negotiated export programmes or negotiated export protocols) have been developed, and the industry operates one industry management programme and a residue assurance programme to minimise risks of non-compliance in export markets.

The main priorities fall into three categories:

 

Focus

Current activity

New markets

Opening up markets that we don’t currently have access to

  • ApplicationforapricotstoChina and Taiwan.
  • Application for Summerfruit access toViet Nam and Philippines.

Maintaining access to existing markets

Fighting to maintain or regain access to a market where the import or phytosanitary conditions have changed, affecting the ability to export

  • Restoring access for peaches, nectarinesandplumstoThailand
  • Improving border clearance processes in Australia

Improving access to existing markets

Challenging unjustified aspects of importing countries

  • Reductionofthefrequencyofinspection visits by Japan

 

The industry comprises around 230 growers with a total of 2,350 hectares of orchards. The main growing areas are Central Otago where two-thirds of the planted area is established, and Hawke’s Bay which accounts for most of the remaining one-third. Summerfruit production is expanding, with large plantings of cherries now starting to drive up export volumes, while there are increased plantings of apricots in Central Otago and Hawke’s Bay as new New Zealand-bred varieties are released.

Figures from the last season show that cherries are still by far the most important summerfruit crop by value (Table 6.7.1). Central Otago produces most of the cherries grown in New Zealand, of which the majority is exported. Small volumes of pre-Christmas cherries are exported from Marlborough. Apricot exports are also very important to Central Otago.

Production in Hawke’s Bay focuses on the local market, with very little summerfruit being exported. Traditionally not considered a cherry producing area, Hawke’s Bay has seen a rapid expansion of pre-Christmas cherry production. Cherry varieties grown in Hawke’s Bay are more suited to the warmer climate and fewer winter chill days, and do not attract the premium returns achieved for Central Otago-grown cherries. While this fruit is consumed within New Zealand, there is potential for early season exports to develop. This will provide early access to key Asian markets.

Table 6.7.1: Value of domestic and export summerfruit sales 2023-2024 season

 

Cherries

Apricots

Nectarines

Peaches

Plums

Total

New Zealand market 1

28,872,152

9,779,321

17,732,434

14,581,798

9,394,322

80,360,027

Export

92,608,996

1,679,528

14,418

614,480

17,870

94,935,292

Total value New Zealand market and export 2

$121,481,148

$11,458,849

$17,746,852

$15,196,278

$9,412,192

$175,295,319

% Value NZ market

24%

85%

100%

96%

100%

46%

% Value export

76%

15%

0%

4%

0%

54%

1 Source: Summerfruit New Zealand, 2 Does not include processed summerfruit

 

6.7.2 Exports

Total summerfruit exports were worth $95 million in 2024, increasing by 20% compared to 2022. This increase was mainly due to a 19% increase in the value of cherries which are the most valuable summerfruit export, representing 98% of total export value.

Cherries. Total cherry exports increased by 19% in value and 19% in volume. This can be attributed to increases of 21% and 29% for exports to Taiwan and China, respectively. Taiwan remains the largest market for New Zealand cherries, representing 48% of export value of $44.8 million. China is the second most valuable market, making up 21% of exports valued at $19.6 million. Exports to other key markets have experienced decline including Viet Nam – down 8% to $9.6 million, Thailand – down 8% to $3.8 million, and USA – down 57% to $1.03 million.

Collectively the top three markets, Taiwan, China and Viet Nam, account for 80% by value of all cherry exports. The average value for cherries in 2024 was $20,880/tonne, and is relatively unchanged from 2022.

Table 6.7.2: Cherry (0809.29.00.00) export markets 2023-2024 (year ending June, tonnes, $NZ FOB)

Market

2022

2023

2024

Volume

Value

Volume

Value

Volume

Value

Taiwan

1,612

36,963,774

1,879

40,106,810

2,029

44,761,430

China

685

15,218,150

837

16,995,821

867

19,662,328

Viet Nam

559

10,528,979

600

11,033,460

541

9,640,129

Hong Kong

51

1,180,843

114

2,628,755

215

4,989,474

Thailand

236

3,944,893

264

4,403,424

211

3,775,867

Malaysia

104

2,193,320

90

1,708,080

114

2,123,113

Singapore

85

1,462,498

77

1,536,344

110

2,011,754

Philippines

74

1,374,249

76

1,170,641

88

1,541,488

Japan

100

1,458,165

112

1,869,561

81

1,351,252

United States of America

174

2,362,626

151

1,625,162

75

1,027,354

Canada

8

149,522

9

132,059

35

392,759

United Arab Emirates

4

97,306

18

332,262

20

384,090

Cambodia

16

293,401

18

316,028

19

318,987

Indonesia

1

26,665

6

138,818

12

280,424

Pacific Islands

1

16,344

2

66,035

8

180,958

South Korea

28

510,131

2

33,837

5

63,366

New Caledonia

2

46,323

2

46,920

2

51,978

French Polynesia

1

11,598

1

15,811

1

19,526

Maldives

0

0

1

12,672

1

15,823

Fiji

0

1,165

0

5,197

1

10,873

Saudi Arabia

0

0

3

44,208

0

0

Kuwait

0

0

1

25,684

0

0

Australia

0

0

4

20,334

0

0

Oman

0

0

1

11,985

0

0

India

1

14,282

0

0

0

0

Total

3,742

$77,854,234

4,270

$84,279,908

4,435

$92,602,973

% change (yr/yr)

27%

40%

14%

8%

4%

10%

 

Apricots. Apricot exports increased by 47% to $1.6 million in 2024. Much of this increase is a result of a $0.4 million increase in exports to the USA. Australia is the primary market for New Zealand grown apricots. Export value to Australia dropped by 90% between 2022 and 2023 but recovered in 2024 to be relatively unchanged over this period, while export value to the USA increased two to three-fold each year resulting in an overall seven-fold increase over this period.

The value of apricots exported to other markets has fluctuated over this reporting period. The average value for apricots in 2024 was $7,494/tonne, a 45% increase from $5,179/tonne in 2022.

Table 6.7.3: Apricot (0809.10.00.00) export markets 2023-2024 (year ending June, tonnes, $NZ FOB)

Market

2022

2023

2024

Volume

Value

Volume

Value

Volume

Value

Australia

179

896,022

14

89,525

132

885,985

United States of America

19

64,605

32

209,063

49

463,006

United Arab Emirates

12

111,415

0

0

25

189,579

Canada

0

0

1

11,025

5

56,252

Oman

0

0

0

0

4

17,836

Viet Nam

2

13,867

0

0

1

4,587

Pacific Islands

0

1,475

0

1,002

0

2,684

Kuwait

1

12,057

1

4,530

0

2,253

French Polynesia

1

7,800

0

0

0

1,891

Qatar

0

0

0

0

0

1,672

Fiji

0

295

2

4,732

0

479

Hong Kong

0

0

0

0

0

19

New Caledonia

0

866

0

0

0

0

Total

214

$1,108,402

49

$319,877

217

$1,626,243

% change (yr/yr)

36%

20%

-77%

-71%

343%

408%

 

Peaches, nectarines, and plums. In comparison to cherries and to a lesser extent apricots; peaches, nectarines and plums are minor export crops with the domestic market representing over 90% of fruit sales. Peach exports were stable at around $0.6 million from 2016 to 2018, dropping to $0.33 million in 2020, with further decline to $0.28 million in 2022. However, there has been a two-fold increase in 2024 attributed to exports to the USA and other smaller markets. The value of exports of nectarines increased 90%, while exports of plums decreased 12% over this period. Peaches, nectarines and plums each have one or two major markets: USA and Singapore for peaches, Pacific Island countries for nectarines; and the USA for plums.

Table 6.7.4: Peach (0809.30.00.09) export markets 2023-2024 (year ending June, tonnes, $NZ FOB)

Market

2022

2023

2024

Volume

Value

Volume

Value

Volume

Value

United States of America

2

6,545

4

21,804

26

238,930

Singapore

25

188,918

12

89,657

27

219,950

Taiwan

0

0

0

0

5

59,577

Malaysia

0

0

0

0

7

53,556

Kuwait

9

65,564

3

20,196

2

13,373

Oman

0

0

0

0

2

13,090

Pacific Islands

2

7,971

2

13,893

1

11,706

Qatar

0

0

0

0

2

10,197

Fiji

0

1,587

0

3,203

1

6,102

Hong Kong

0

0

0

0

0

1,680

French Polynesia

0

1,632

1

7,528

0

1,294

Papua New Guinea

0

0

0

321

0

509

Australia

2

4,292

0

0

0

0

New Caledonia

1

3,115

0

0

0

0

Total

40

$279,624

21

$156,602

74

$629,964

% change (yr/yr)

-51%

-43%

-48%

-44%

252%

302%

 

Table 6.7.5: Nectarine (0809.30.00.01) export markets 2023-2024  (year ending June, tonnes, $NZ FOB)

Market

2022

2023

2024

Volume

Value

Volume

Value

Volume

Value

Pacific Islands

1

8,112

3

21,137

2

20,140

Fiji

0

373

0

4,001

1

5,382

French Polynesia

0

325

0

413

0

1,964

Papua New Guinea

0

0

0

427

0

446

United States of America

0

0

1

9,284

0

0

New Caledonia

1

5,835

0

0

0

0

Hong Kong

0

69

0

0

0

0

Total

3

$14,714

5

$35,262

3

$27,932

% change (yr/yr)

-55%

-43%

97%

140%

-40%

-21%

 

Table 6.7.6: Plum (0809.40.00.01) export markets 2023-2024 (year ending June, tonnes, $NZ FOB)

Market

2022

2023

2024

Volume

Value

Volume

Value

Volume

Value

United States of America

10

26,016

5

32,374

2

21,852

Pacific Islands

3

4,534

2

14,844

1

6,074

Fiji

2

9,435

1

6,054

1

4,406

French Polynesia

0

0

1

6,453

0

2,856

Papua New Guinea

0

0

0

229

0

0

New Caledonia

0

0

0

135

0

0

Total

13

$39,985

9

$60,089

4

$35,188

% change (yr/yr)

-6%

-21%

-31%

50%

-56%

-41%

 

6.8.3 Barriers to export

Cost of Tariffs

There are few tariffs on summerfruit as tariffs into Japan phased out to zero in 2023 under CPTPP and tariffs are not imposed on cherries by the major markets, Taiwan and China. India imposes a 30% tariff but there were no exports to this market during this period. There have also been no exports to the EU which imposed high tariffs on New Zealand summerfruit compared to those imposed on other Southern Hemisphere exporting countries. The New Zealand-EU FTA has eliminated tariff on summerfruit. The cost of tariffs across all crops equates to around $13 for each of the 230 growers.

Table 6.7.7: Cost of summerfruit tariffs (based on 2024 FOB value)

Tariff item

Country

Tariff rate

Value

Estimated cost of tariff ($)

Cherries

Taiwan

0%

44,761,430

0

 

China

0%

19,662,328

0

 

Viet Nam

0%

9,640,129

0

 

Hong Kong

0%

4,989,474

0

 

Thailand

0%

3,775,867

0

 

Malaysia

0%

2,123,113

0

 

Singapore

0%

2,011,754

0

 

Philippines

0%

1,541,488

0

 

Japan

0%

1,351,252

0

 

United States of America

0%

1,027,354

0

 

Canada

0%

392,759

0

 

United Arab Emirates

0%

384,090

0

 

Indonesia

0%

280,424

0

 

South Korea

0%

63,366

0

 

New Caledonia

0%

51,978

0

 

French Polynesia

8%

19,526

1,562

 

Fiji

5%

10,873

544

 

Total Cherries

0.00%

$92,087,205

$2,106

Apricots

Australia

0%

885,985

0

 

United States of America

0.2c/kg

463,006

161

 

United Arab Emirates

0%

189,579

0

 

Viet Nam

0%

4,587

0

 

Kuwait

0%

2,253

0

 

French Polynesia

8%

1,891

151

 

Fiji

0%

479

0

 

Total Apricots

0.00%

$1,547,780

$312

Peaches

United States of America

0%

238,930

0

 

Singapore

0%

219,950

0

 

Taiwan

0%

59,577

0

 

Malaysia

0%

53,556

0

 

Fiji

0%

6,102

0

 

Hong Kong

0%

1,680

0

 

French Polynesia

8%

1,294

104

 

Total Peaches

0.02%

$581,089

$104

Nectarines

Fiji

0%

5,382

0

 

French Polynesia

8%

1,964

157

 

Total Nectarines

2.14%

$7,346

$157

Plums

United States of America

0%

21,852

0

 

Fiji

0%

4,406

0

 

French Polynesia

8%

2,856

228

 

Total Plums

0.78%

$29,114

$228

 

Total Summerfruit

0.00%

$94,252,534

$2,907

 

SPS market access barriers

The industry has an active market access programme, gaining new or improved access to Japan, South Korea and Western Australia in earlier years, but there has been little progress in recent times.

Australia. Apricots are the main summerfruit export to Australia, but volumes have declined considerably in recent years.  This is due to the removal of the Offshore Pre-shipment Inspection programme.  Apricots have a relatively short shelf life so any delays at the border can significantly impact fruit quality, and if pests (including unidentifiable organisms) are detected on arrival in Australia the only options are fumigation, reshipment or destruction. Methyl bromide fumigation severely damages fruit quality and further reduces shelf life.

As with many other sectors, the key issues with Australian border clearance is unidentifiable organisms being detected on apricots on arrival in Australia and treated as quarantine pests by default.  Discussions are continuing between industry, MPI, and Australian officials about improving pest identification at the border.

China. Summerfruit NZ has been seeking access for apricots, peaches and nectarines into China since 2016, and the access request was prioritised by MPI. As yet, however, the request for apricots has not been submitted to China and is in a queue awaiting completion of other import risk assessments by China and confirmation of prioritisation status.

Indonesia. Cherries and peaches are included in Indonesia’s Country Recognition Agreement (CRA), which allows listed fresh food of plant origin to be exported to Indonesia with reduced testing/inspection, and preferential port access.  Summerfruit NZ was seeking to add apricots, nectarines and plums to the CRA list, but agreed to not include these crops in the process for the CRA revision in 2024 on the basis that this may delay the renewal for other crops.  Indonesia have now implemented a requirement for a phytosanitary Pest Risk Analysis to be completed before any new cops can be added to the CRA list. This presents a significant barrier to improving trade access.

Japan. Summerfruit NZ gained access for cherries to Japan in 2005, but Japan requires an annual “joint inspection” of the programme by Japan Ministry of Agriculture, Forestry and Fisheries (MAFF) and MPI. For nearly 20 years this has been implemented through annual MAFF inspector visits to New Zealand at the cost of the New Zealand industry. Industry and MPI have been requesting the removal of the annual visits for many years. In 2020-21 and 2021-22, due to Covid-19 travel restrictions, Japan suspended the inspection visit in lieu of an enhanced inspection of fruit on arrival in Japan. Inspection visits resumed in 2022-23, and MPI has been in discussions with MAFF regarding alternative methods of programme verification. Agreement has been reached to conduct the 2024-25 verification remotely, an excellent and very welcome outcome.

Taiwan. Taiwan is the biggest export market for New Zealand cherries, and also imports other summerfruit from time to time. In the 2021-22 season Taiwan prohibited the importation of apricots, on the basis of lack of recent trade.  An access request has been made to MPI to reinstate trade, however this has not yet been prioritised.

Thailand. Cherries and apricots are exported to Thailand. Summerfruit NZ is seeking to add peaches, plums and nectarines to the range of crops that may enter Thailand. A pest list and technical information package was provided in 2017.  Thailand has been working on the Pest Risk Analysis, however it is on hold pending other priority risk analysis work by Thailand.

Viet Nam. Summerfruit NZ submitted a market access prioritisation request for all summerfruit to Viet Nam, however this application was unsuccessful.