The China Chamber of Commerce for the Import and Export of Foodstuffs, Native Products, and Animal By-Products (CFNA) is making efforts to expand the Chinese blueberry market, considering the increase in the production of new varieties and sales opportunities in the region.

This is confirmed by the creation of the first Blueberry Committee of the Chamber of Commerce made up of important international companies with operations in China, including Camposol, Agrovision, Agroberries, Driscoll's, Fall Creek, and  PLANASA, among others.

One of the companies invited to join the committee was Giddings Fruit, along with local breeders and growers.

In conversation with Freshfruitportal.com, Gonzalo Matamala, general manager of Giddings Fruit Asia Pacific (APAC) & Mainland China, confirmed the news, indicating that the formation of the committee is a sign that blueberries will soon be an export flag in China's fresh produce category.

“China has a blueberry industry that is growing, with more producers and hectares, and with earlier fruit which is shrinking the windows of opportunity for imported product,” Matamala said.

“The time is going to come as it happened in apples and grapes China when the local market is not enough, then the opportunity to export to other markets arises.”

Today, there are already several Chinese companies exporting blueberries to countries in the region including Vietnam, Thailand, and Singapore.

Matamala explained that given this boost in the local industry, China's CFNA invited the main local producers and foreign marketers to see the relevant aspects of the industry and to hear recommendations and support from companies with years of experience in blueberry marketing. The first meeting was held on Nov. 25.

“Part of the conversation is how to help the market grow healthily and for China to have quality standards for export,” commented Matamala.

Discussion points on Chinese blueberries

The talks extended to issues about the legal certainty of the varieties that foreign companies are taking to China. In this regard, Matamala explained that “China has improved a lot on this issue, making sure that plants are not produced illegally and proper royalties are paid.”

“The second issue on the table was quality, as some Chinese products are criticized, especially in Southeast Asian markets, because they contain a lot of residues,” he said.

Therefore, to prevent this from happening, the committee members agreed that they must generate standards so that the quality of local fruit maintains international levels.

They are also looking to learn from other industries like cherries, because of the way the creation of a committee united the industry around a common goal and promoted the fruit under one message, leading to the success cherries are enjoying today.

“In China, there are still millions of people in the interior of the country who still do not have access to blueberries, so we are looking to promote the product healthily,” he said.

In addition, they discussed how the product will be promoted abroad, mainly in Asia Pacific.

“It was quite a productive meeting, with the most important members of the industry, all present at the same table trying to unify and give criteria for this association to establish guidelines for the product,” Matamala added.

Effect of blueberry production growth in China

The boom in blueberry production in China has attracted the attention of producers who export to that market, especially when they see that they can begin to cover some of their export windows.

In this regard, Matamala said that what happens in China in the next decade will impact blueberry imports from southern hemisphere countries to Asia.

“In China, blueberries are produced at different altitudes, so they are now having earlier fruit than they normally had. That may start to impact certain volumes from Peru and certainly from Chile,” Matamala said.

“It's interesting to see what the local industry plans to do in the future because they all understand that they have to get in earlier and lengthen the season.”

Because of this reality, it has already been seen that large producing companies such as Agrovision or Hortifrut have started to produce in China, assuming the difficulty of competing with a local quality product with exports due to price differences.

Blueberry availability in the region

The blueberry boom is not only being experienced in China, as there are also development projects by large companies in India.

“Today, blueberries are the 'pretty girl' of fresh fruit, so everyone is looking for blueberries, and if the fruit is produced closer to the consumer (Asia), that will have a big impact on the industry in the future,” Matamala said.

The general manager of Giddings called to be attentive to how the industry is developing in China. “This country has shown that it has a very great capacity to achieve the objectives it sets itself, and if that means producing millions of kilos per month, it can do it,” he said.

He added that at a governmental level, the country is generating spaces for the industry to organize itself, “we have to look at it with some concern and respect, and analyze how we are going to face this competition in the future”.

The marketers that produce in Chile and Peru have very marked export windows, so the boom in the local Chinese products may begin to affect these windows from the southern hemisphere.

In addition, most countries in the region have already enabled blueberry protocols for China.

Options for fruit from the Southern Hemisphere

Despite the call to be attentive to what happens in China, Matamala said that it is necessary to look at options in other markets, ideally in northern Asia, such as Japan and South Korea.

“These markets are reticent to fruit from China, while Southeast Asian markets are more open because they have a lower target price. Therefore, Chile and Peru are competing fiercely in markets that are currently growing very fast in the region,” he said.

He pointed out that the fruit coming out of China today is of good quality, with new and updated varieties. “All the newest genetics are available today in China and with greater backing and legal certainty, China could make a major impact in this segment”.

Peru's competitive advantage

Regarding the work done by the Peruvian blueberry industry, Matamala commented that they have “done something extraordinary, which is the varietal replacement, which changed the face of the industry, and today, from Indonesia to the United States, everyone is looking for Peruvian product because it is of very high quality”.

On the Chilean side, he said that they have also looked for a replacement, but it has taken longer than in Peru.

“In China, something similar to what happened in Peru can happen, in the sense that if they plant, in the first year they will already have production that they can market, so the replacement can be very fast,” Matamala said.

“For Chile, it is increasingly challenging, especially if other origins continue to enter during the same productive weeks.”

In addition, he said that as China develops post-harvest technology that allows it to store fruit and further extend its availability in the markets, “it could be a total change in what could happen with Peru.”

By focusing on new markets, they will begin to compete head-to-head with Peru and Chile.

Chile's debt

Matamala said that the new Port of Chancay in Peru is very good news for that country, which will allow it to compete better in Asia. However, he indicated that Chile also has to start generating positive impacts in terms of costs, labor, and transportation, since another competitor in the market could further complicate its business in Asia.

“We must continue to monitor what is happening in China and producers in the southern hemisphere are already seeing the situation with some concern,” said Matamala.