By Midge Munro – Group Communications and Marketing Manager, Darling Group.
Darling Group’s aim to develop long-term markets in Asia for their New Zealand avocado volumes, produced by Just Avocados growers, is coming into laser focus for the 2023-24 season.
Darling Group signalled last month there are new norms that avocado growers need to understand and incorporate into their decision making.
“New Zealand has historically relied on Australia as the primary export market but as production increases over the ditch, there are less growth opportunities for New Zealand avocados,” says sales and marketing manager, Shaun Mckone.
Growth in production in New Zealand has also driven the need to explore other markets and Asia has been the logical target for the industry given the geographic proximity.
Darling Group’s commitment to Asia being the dominant export destination for New Zealand avocados long-term is apparent in their 12-month supply strategy.
“Darling Group’s 12-month supply strategy is designed to maintain engagement with customers in Asia all-year-round as opposed to being in the market for the New Zealand season and then out again for eight months.”
To achieve this, Mckone says Darling Group sources fruit from growers in Peru, Mexico, and California to fill supply when New Zealand avocados are out of season.
“The 12-month supply strategy continues to develop across markets in Asia and we are beginning to see positive outcomes.”
While Darling Group has been exporting New Zealand avocados to China since access to the market was gained in 2018, their goal is to have more control over the channels to this market. Their aim to gain relevance in China has gained support from NZTE who is co-investing with them in a project to investigate the opportunity for Darling Group to build a brand there.
“The work with NZTE is exciting, by the end of the year we will have validated our strategic approach to China. The next step from 2024 will be implementing the go-to-market strategy.
“NZTE’s co-investment and ongoing support from their staff in-market and access to specialists has enabled us to accelerate our international growth aspirations.”
Darling Group has also included Hong Kong in the project as this market along with China were defined through a research project and internal evaluation as Darling Group’s tier 1 markets.