India is set to be a new market for Australian Hass avocados, as the industry’s high-quality fruit has met Indian biosecurity and food import requirements.
During a provisional access period, 10 shipments will be sent to India and full access will be granted if shipments meet market requirements.
Avocados Australia Chief Executive Officer John Tyas says market access to India will be a “game changer” for the industry.
“With the industry now capable of producing a strong supply of Hass avocados, having access to an overseas market such as India will be a ‘game changer’ for our industry,” Tyas says.
“We believe there are great opportunities for Australian avocados in India and it is a market with enormous growth potential.”
New market access comes after Australia secured reduced tariffs on several horticulture products through the Australia-India Economic Cooperation Agreement (AI-ECTA). Under the agreement, Australian avocados have a tariff rate advantage over India’s key avocado suppliers.
Indian avocado market
Avocados are a high-end product in India and Australia’s are most likely to enter the hospitality and food service sector.
India’s main suppliers are New Zealand (41%), the European Union (39%) and Peru (17%).
The average import unit price of New Zealand avocados in India in 2021-22 was AU$4.81/kg. This is lower than the average unit import price of Australian avocados in Hong Kong (AU$5.57kg) and Malaysia (AU$5.54/kg) but similar to Singapore (AU$4.84/kg).
India does not produce avocados on a commercial scale.
WA avocado industry
More than a quarter of Australia’s avocados are produced in WA (27%), making the State the second largest producer after Queensland (55%) but ahead of New South Wales (11%).
Figures are similar for exports by State, with 23% of the country’s avocados coming from WA, compared to 47% from Queensland and 19% from NSW.
Pemberton and Manjimup are WA’s avocado growing regions and production is at its highest from September to December.
Supply chain project to support export market demands
The WA avocado industry is taking part in a national project on managing supply chain risks to deliver more consistent and better quality fruit that meets customer requirements, minimises waste and captures market advantages.
The three-and-a-half-year project, led by the Queensland Department of Agriculture and Fisheries, is in its second stage and simulation trials have commenced at the Department of Primary Industries and Regional Development’s (DPIRD) Manjimup research facility to test the performance of Hass avocados under different environmental conditions.
Outcomes of the simulations will inform future product quality and handling trials of air and sea freight consignments of avocados from WA to key export markets in Asia.
“It can take up to 50 days for WA avocados to reach export destinations in Japan and Singapore, which leaves the fruit exposed to a number of risks to product quality,” says DPIRD Fruit and Perennial Crops Lead Dr Dario Stefanelli.
“The project will help identify pressure points through the supply chain to make sure the best quality product arrives at its destination.
“This starts in the orchard, identifying when best to harvest so fruit ripens at the right time for the customer, through to handling practices during transportation and storage.
“The end result will be a set of guidelines for harvest and post-harvest practices that improve the consistency, quality, shelf life and value of the fruit – delivering safe, premium quality Australian avocados that satisfy customer requirements.”
CCIWA’s International Trade and Investment Centre (ITIC) helps businesses reduce the time, cost and risk of going global. Contact the team for a free consultation on (08) 9365 7620 or via [email protected].
