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Avocados dumped amid glut in domestic supply and imports from overseas

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AVOCADOS DUMPED AMID GLUT IN DOMESTIC SUPPLY AND IMPORTS FROM OVERSEAS

WA Country Hour
/ By Jessica Hayes and Lucinda Jose
Posted Yesterday at 1:07amSun 7 Nov 2021 at 1:07am, updated 16h ago16 hours
agoSun 7 Nov 2021 at 8:59pm

Oversupply in the Australian market will lead to tonnes of locally grown
avocados going uneaten this year. (ABC Rural: Jessica Hayes )
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West Australian avocado growers are dumping fruit because it's not worth the
cost of packing and sending it to market.


KEY POINTS:

 * Tonnes of West Australian avocados are being left to rot
 * Producers are frustrated major supermarkets continue to import fruit
 * Blemished fruit usually used by the food service industry is unprofitable



Avocado prices have plummeted to just $18 a tray on the back of a massive
national crop and a record production year in WA, which has led to an oversupply
of product.

Slow sales into Sydney and Melbourne – WA's key domestic markets – have added to
downward price pressures after lockdowns shuttered the food service industry for
months.


Manjimup avocado grower and packer Vic Grozotis. (ABC Rural: Jessica Hayes )

Grower Vic Grozotis says he's been forced to discard perfectly good lower-grade
fruit in a pit on his farm at Manjimup, about 300 kilometres south of Perth. 

He says the fruit, which has purely cosmetic defects, would have been sold to
the food service industry in a normal production year.

> "We've had to dig a hole to bury a lot of the avocados we can't sell," he
> said.

"To have to dump fruit which had a commercial return last year and has a zero
return this year has a big impact on farmer's bottom line and some farmers are
losing money this year.

"It's disappointing, the resources that go into producing avocados — it's quite
high and it's expensive.

> "Farmers put in time, effort, expense, fertiliser, watering and it is just an
> absolute waste."


Avocados Australia expects 8.2 million trays of fruit will be picked in WA this
year, the state's largest-ever crop. (ABC Rural: Jessica Hayes)


IMPORTS CONTINUE AMID DOMESTIC SUPPLY GLUT

This season, 8.2 million trays of avocados are expected to be picked in WA — a
233 per cent increase on last year's crop.

With so much fruit produced domestically, growers like Mr Grozotis are
questioning why major retailers are still importing fruit from New Zealand.

Industry data shows that tens of thousands of trays of overseas fruit is being
brought in to be sold on Australian supermarket shelves every week.


West Australian avocado growers are dumping fruit that is not worth sending to
market. (ABC Rural: Jessica Hayes )

"Twenty per cent of fruit that's being sold in Australia is imported, and that
could be sourced from Western Australia," he said.

> "Industry has told our supermarkets that there would be more than adequate
> production from Australian produce, but they seem to have ignored that. 

"We need to get retailers on board will selling 100 per cent Australian fruit,
particularly in Queensland. They are denying Australian consumers the option to
purchase Australian fruit. 

> "You'd think you'd see our supermarkets giving a full commitment to Australian
> producers, particularly in these difficult times."


Avocados Australia CEO John Tyas hopes less fruit will be imported from
overseas.(ABC News: Lucas Hill)


HOPES OF IMPORT PHASE-OUT

Avocados Australia CEO John Tyas hoped major retailers would phase out the
imports as the Australian crop reached a consistently self-sufficient production
level.

> "This year we clearly don't need to see any imported avocados as you can see
> by the prices," he said.

"We could easily supply all the avocados that are needed in Australia this year.

"But I guess New Zealand has been in Australia for a long time and they can't
turn the tap off overnight."

Mr Tyas said the industry body wanted to see importation of fruit phased out as
Australian production grows.

"I think ultimately that's what will need to happen over the next few years as
we can meet demand week-in-week-out there will be less of a need for that
product," he said.


EXPORTS STILL CHALLENGING

While export markets will be key to balancing future domestic supply gluts,
developing consistent trade ties with overseas markets will take time.

Many international markets are already importing fruit from lower-cost
competitor countries such as Chile and Peru.

This season unprecedented freight and logistics challenges has made it even
harder to access overseas markets.

> "It's very difficult to get containers and air freight is very expensive so
> the export market at the moment is extremely difficult," Mr Grozotis said.


ADJUSTING TO THE NEW NORMAL

At the national level, this year's harvest is tipped to reach 120,000 tonnes, up
from around 39,600 tonnes in 2010.

With only half of national avocado trees at maturity, there are fears supply
gluts will become the new normal.

Avowest Avocados has orchards at Carabooda and Gingin north of Perth.

Manager Alan Blight fears supply gluts will become the new normal, because only
half of national avocado tree plantings are at maturity.

"Conditions were good for productivity this year but there are also an awful lot
of trees that have been planted that weren't producing this year," he said.

> "It's hard to see with all of the trees in the ground people making money into
> the future."

In the meantime, Mr Blight hoped consumers would take advantage of the cheap
produce available.

"There has never been a better opportunity to get in and try avocados and start
the habit today, become addicted," he said.

Posted Yesterday at 1:07amSun 7 Nov 2021 at 1:07am, updated 16h ago16 hours
agoSun 7 Nov 2021 at 8:59pm
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FATHER OF SOLDIER KILLED IN AFGHANISTAN HITS OUT AT DEFENCE FOR 'INTIMIDATION'
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GOVERNMENT COMMITS TO EXPANDING ELECTRIC VEHICLE CHARGING STATIONS BUT NO
SUBSIDIES TO INCREASE UPTAKE




NEW DATA REVEALS HOW MUCH PROTECTION COVID-19 JABS ARE GIVING PEOPLE IN NSW




NURSE WHO ALLEGEDLY FAKED GIVING TEEN A COVID VACCINE CHARGED WITH FRAUD




CHILD CARE PROVIDER FINED AFTER KIDS ESCAPE AND ALMOST RUN ONTO BUSY ROAD




SPECIALISTS PROBE DEATHS OF 4YO TWINS NEAR BYRON BAY AS TOWN GRAPPLES WITH
'UNFATHOMABLE' LOSS




'WE CAN NO LONGER BE FRIENDS': FARMER WARNS CLIMATE CHANGE DENIERS, AFTER STORM
DEVASTATES CROP




FAMILY PAID FOR 'DREAM' HOME BUT NOW IT'S RUSTING AND EXPERTS RECOMMEND IT BE
TORN DOWN




CHINESE EXCHANGE STUDENT DROWNS WHILE SNORKELLING IN TASMANIA




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   Posted 3h ago3 hours agoMon 8 Nov 2021 at 9:30am


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