Recently, Westfalia Fruit announced the entry of its South African avocados to the Japanese market, as well as India, and the expansion of its operations in China. 

With this, the company, which exports nearly 50% of all avocados produced in South Africa, is looking to expand its market and increase the consumption of the fruit in Asia.

Graham Young, COO of Westfalia told FreshFruitPortal.com that these openings provide an exciting new set of opportunities for South African growers and exporters of avocados. 

First of all, Young pointed out that the population size of India, China, and Japan collectively offer an "extraordinary number of new consumers for South African avocados."

However, the director is aware of the fact that this upcoming increase in avocado demand requires a great effort from suppliers. 

"As a professional organization, we don't want to let down our growers, nor our partners who will buy the avocados, so the most important thing to do is to match supply and demand with programs that work for both sides," said Young. 

Graham Young, COO of Westfalia Fruit

Regarding this, he thinks it's important not to become too over-enthusiastic and take too much on. "One must learn to grow the market profitably and properly, but, to do it without disappointment at either end of the chain, otherwise it really tarnishes the reputation of anyone involved in such a deal," he said. 

Challenges for South African growers

Young insisted on the fact that South African farmers are taking on this challenge with great optimism.

Like anything related to agriculture, there are uncontrollable variables that can affect production like difficult weather cycles, natural disasters, and others which make it a high-risk environment. 

"Avocados are also exposed to these risks. Therefore, it takes a long-term view that takes into account that there will be great times as well as more difficult seasons," said Young. "So one of the things that South African growers will have to have is a level of optimism about the size of the market and its continuing expansion."

He pointed out that due to the size of these markets, they should be able to expand their businesses with the increased levels of demand. 

The potential of India

A variety of fresh fruit growers around the world have started looking at India as their new target market, due to the consumption potential it offers with its population size and growing health awareness among its citizens. 

Young said that it is proven that avocado intake lowers the risk of diabetes, which makes it ideally suited to augment the Indian diet. 

"If you look at the protein intake in the Indian society, you notice there is a lack of certain items, and avocado as a natural substitute for some of these proteins, it can fit very well into these diets," Young said. 

Additionally, the Indian middle class is growing, which may also cause additional health problems, like diabetes. Young thinks that avocados are ideally suited to help combat the expansion of diabetes within a large section of this growing middle class. 

"We think we have a great opportunity within the Indian market to expand with known partners and programs to meet a group of people that want the additional health benefits and also enjoy the indulgence of avocados," he said. 

Educating new consumers

Marketing products in new markets requires a particular marketing program with specific and calculated tactics that will reach consumers and gain their interest - avocados are no exception. 

"One of the ways that we have done this in India is to engage both with video, media, and with in-store programs with two of India's most famous chefs to promote avocados in Indian diets, and we are getting loads of clicks from this," Young explained. 

For Japan, Young indicated that the majority of avocados have found their way into the expansion of the sushi offer, with chefs now looking to offer a wider range of options that include avocados. 

China still presents a bit more of a challenge, and Young said they still need more data on and "understanding the consumer is something that we and everyone involved in avocados are still mining at the moment because one of the key features is that they are being turned into a drink in China."

This phenomenon, even though it's not new, is not exactly what growers and exporters are used to, so Young says that they need to target the Chinese consumer based on what they want, and what they are willing to expand into, and he said that it is very likely to be very different among each of these markets. 

Competition with other origins

Westfalia's COO said he is convinced of one thing, each one of the primary avocado-producing nations will have to rigorously enforce quality standards. 

"That means not moving fruit too early or too late, but moving it in prime season. If supplying countries do that, the reputation that will be built in the receiving countries is the necessary first step to having a long-term future for each supplying country," said Young. 

He also emphasized the importance of policing these quality standards from companies like Westfalia, something he says they "have been doing for many years."

"Consumers have to be delighted because if they end up getting an inferior quality product for whatever logistical reason or any problem, it's shooting oneself in the foot. So policing it so that the fruit arrives with the best quality and in the best manner is where Westfalia is destined to succeed," he assured. 

Additionally, he pointed out that Westfalia rigorously enforces the phytosanitary requirements of each country where they export their avocados, and they will continue to do so for Japan, India, and China. 

Projections for avocados in Asia

With this in mind, Young said their ambition is to turn into the main suppliers of avocados to each of these markets. 

"If you look at Japan, India, and China, there is a growth potential that we have never seen before, and they will most likely grow exponentially in the next ten years," he said. 

He said this growth very much comes down to reaching the consumer with options to use avocados in different meal occasions, especially as an alternative to proteins. 

The push to grow avocados in new countries

Westfalia is not only working on increasing its export capacities, but also in helping countries like Japan, China, and India to grow their own avocados to sustain their local demand. 

"We have analyzed that there is always a desire for locally grown products, so Westfalia, as the producer of the best rootstocks for the development of avocado trees, is able to go in and farm and expand with others, and along with our partnerships with major retailers we can reach the end consumer in all these markets," he said. 

With this project, they seek to further develop the avocado world in Asia and allow new countries to supply their consumers.

He specified that these projects are already occurring in two of the three new Asian markets. 

"These new crops will be a necessary component of the expanded market in the future," Young concluded. 

The Global Avocado Summit organized by the Chilean Avocado Committee and Yentzen Group will be held on November 21 at the Casino Monticello event center.