CANBERRA: The Australian table grape industry is reaping the rewards of a strong export market, with international demand now outstripping demand on the domestic market.
Australian Table Grape Association Chief Executive Officer Jeff Scott says the ratio of domestic to export volumes has switched over the past few years. “We’re sending a lot more overseas now and that’s been a change probably in the last two to three years,” he says. “I’d say the ratio now is about 60% to export markets and 40% to domestic, and in previous years, it would have been the other way around.”
Mr Scott says they are still supplying the domestic market with a substantial amount of fruit, but that prices have tempered the demand across the country. “The prices being offered on the domestic market can’t really compete with export markets, which are willing to pay higher prices for the quality of Australian fruit,” he says.
“Some countries can’t get enough supply to meet the demand for Australian grapes. Japan, the Philippines, the Middle East and China are all showing strong demand for Australian grapes, and it’s a great position for us to be in because it means we’ve got good prices for the quality of our fruit.”
He says weather conditions leading up to the 2016 season have helped bring out the sweetness of the grapes, which has also helped with international demand.
“Leading up to this season conditions were good, with dry days and cool nights that brought out the flavour and the sugar levels.” The 2016 season did start earlier than usual, but will continue for the next couple of months.
“We’re into the Red Crimson season now and there is a high demand for them, particularly from China,” Mr Scott says. “I spoke to a major importer in China recently – one of the biggest in the country – and he said he could only secure 5 containers out of the 80 he wanted. The demand was that great.” He says some Chinese importers have even started coming out to Australia to buy fruit direct from growers as a way of securing supply.
“Lots of Chinese importers come out to Australia and buy direct from farms now. I think they’re offering a better price in order to get the fruit, but it is hurting our traditional exporters in a way.”
The Australian Table Grape Association is also working with people in export markets to develop and improve protocols. “We’re constantly talking to people in all countries about the ways we can improve things,” Mr Scott says. “Certainly we’d like to see more airfreight options, and we’d also like to see more varieties available in Japan.”
