China: Zespri becomes importer of record
New Zealand kiwifruit marketer Zespri is set to sell six million more trays this season in China, where it has announced a change in its model to become an importer of record.
In a release, the company said it would also be opening up new offices in Chongqing, Guangzhou and Xi’an, with additional staff on board to provide improved support to customers, partners and stakeholders.
"This will help us provide further quality assurances to consumers by giving us greater control over the importation and distribution process for our fruit. It is the first step towards being able to provide a more complete, end-to-end supply chain for consumers in China," chief executive officer Lain Jager said in a release.
"We are excited about our record season ahead and pleased to be able to keep growing with the support of our partners in China. Our new investments in people and infrastructure in China are a great example of the success of the China-New Zealand Free Trade Agreement in action."
The group launched its season at a special event in Shanghai this week, attended by New Zealand Prime Minister John Key.
Zespri expects exports to China to rise by a third this year to reach 24 million trays, in what is projected to make the China the company's leading market by country.
"We have enjoyed a fantastic growing season in New Zealand and demand for our safe, high quality fruit continues to grow here in China," Jager said.
"Around 17 per cent of all Zespri kiwifruit will come to China and based on current growth projections, China will become our largest export market by volume this year.
"The kiwifruit has a deep Chinese heritage and Zespri is committed to partnering with the Chinese industry to share the technical knowledge, product quality and safety capability that we have honed in New Zealand."
Jager thanked all of Zespri's partners in China for their ongoing support, and also highlighted the importance of research and development.
"Every year, Zespri and the New Zealand industry invest over NZ $20 million in research and innovation to develop new varieties, research health benefits and identify ways to support growers to produce premium quality, sustainably grown fruit."
In 2015, Zespri signed an MOU with the Shaanxi Provincial Government to confirm their long-term partnership. This agreement outlined the shared intention to develop the kiwifruit industry in Shaanxi, while initially establishing trial kiwifruit production bases on two sites in Shaanxi and assessing local varieties.
It also focused on development for the mutual benefit of both parties, working together with their complementary strengths.
Zespri and the Shaanxi Provincial Government have also reached a high-level agreement to establish a Centre of Excellence in Shaanxi Province to support research, expert exchanges, grower tours and scientific collaboration.
Both parties agreed to develop techniques to lift the quality of world produce with sustainable production systems.