Bumper California navel deal predicted

Fruit set is up 22 per cent on the five-year average meaning high volumes expected despite no increase in total hectares planted
Starting from a lower plantation base this season the California navel deal is looking to be the most fruitful in volume since the 2005-2006 season. The news comes with significance as total land volume this season is down 8,700 planted hectares from ten years prior.

Survey data from the California navel Orange Objective Measurement Report indicated a fruit set per tree of 426, above the five-year average of 333 (up 22 per cent).

The survey predicts the initial 2018-2019 navel orange forecast is 80m cartons, up 11 percent from the previous year. Of the total navel orange forecast, 77m cartons are estimated to be in the Central Valley.

Bearing orchards are at the same number of hectares as the year prior, but with the higher fruit set (up 426 per tree from 273 last season) the hope is that forecast volumes will be bumper.

However, total tonnage might not be as high due to fruit diameter at a lower September 1 average. The five-year average as of September 1 was at 6.8cm, now down to 5.3cm.


Source: http://www.fruitnet.com Author: Camellia Aebischer

Australia and Thailand finalise irradiation deal

Persimmon and mango suppliers the first to benefit from new agreement signed last week
Australia and Thailand have announced a new irradiation pathway for horticultural exports.

Finalised last week, the agreement will provide Australian and Thai suppliers with a more direct avenue to exporting their products, along with a safe and chemical-free way to manage biosecurity.

The irradiation process sees fruit enter a large chamber via a conveyer belt, where it is sterilised, killing bacteria and pests.

In most cases, the process alleviates the need for cold treatment, which is commonly conducted in transit via seafreight. Therefore, irradiation will provide a viable option to exporters from both countries hoping to send their fruit via airfreight.

Australian persimmon growers and Thai mango exporters will immediately benefit from the new agreement, with these products the first to be ticked off for approval under the irradiation plan.

Produced primarily in south-east Queensland, Australian persimmons have previously been exported to Thailand under cold treatment.

“This agreement will help open doors for the Queensland persimmon farmers and deliver speed to market,” said Australian minister for agriculture David Littleproud.

“With this deal done and dusted we can get on to tackling other commodities and get them on this same pathway. This will help get our quality produce onto Thailand supermarket shelves faster.” 


Source: http://www.fruitnet.com Author: Matthew Jones

Indonesia boost for Australian exporters

Indonesia-Australia Comprehensive Economic Partnership Agreement will mean reduced tariffs and greater opportunities

Australian farmers will have tariffs reduced and be able to export more agricultural products including citrus to Indonesia, after the coalition government signed the Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA).

It gives producers and exporters the opportunity to grow their A$3.5bn share of the Indonesian market - indeed, Indonesia is Australi's fourth-largest agricultural export destination.

Minister for Agriculture and Water Resources David Littleproud said the coalition government continued to deliver farmers better access to more markets.

“This agreement improve access for industries which trade most to Indonesia, including our livestock, beef and sheepmeat, grains, sugar, dairy, citrus and horticulture,” he said.

“Oranges and limes will get increased duty-free access while dairy, mandarins, potatoes and carrots will get reduced tariffs," he confirmed.

The conclusion of substantive negotiation of IA-CEPA was signed in Indonesia by Australian prime minister Scott Morrison.

Key agricultural outcomes of the IA-CEPA include immediate tariff cuts on mandarins from 25 per cent to 10 per cent for 7,500 tonnes per year, down to 0 per cent after 20 years for an unlimited volume, and duty free access for 10,000 tonnes of oranges per year, increasing 5 per cent each year, as well as duty free access for 5,000 tonnes of lemons and limes per year, increasing 2.5 per cent each year.

The agreement also means immediate tariff cuts for potatoes from 25 per cent to 10 per cent for 10,000 tonnes per year; after five years tariff further reduced to 5 per cent for 12,500 tonnes per year, increasing by 2.5 per cent per year, and immediate tariff cuts for carrots from 25 per cent to 10 per cent (from 25 per cent) for 5,000 tonnes per year; down to 0 per cent after 15 years for an unlimited volume.

Minister for Agriculture and Water Resources MEDIA RELEASE

The Hon. David Littleproud MP

Friday, 31 August 2018

Indonesia trade boost for Australian farmers

• Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA) signed this week
• Improves market access for Australian livestock, beef and sheepmeat, grains, sugar, dairy, citrus and horticulture
• Allows farmers to grow their $3.5 billion share of the Indonesian market

Australian farmers will have tariffs reduced and be able to export more livestock, beef and sheep meat, grains, sugar, dairy, citrus and horticulture produce to Indonesia after the Coalition Government today signed the Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA).

Minister for Agriculture and Water Resources David Littleproud said the Coalition Government continued to deliver farmers better access to more markets.

“This agreement improve access for industries which trade most to Indonesia, including our livestock, beef and sheepmeat, grains, sugar, dairy, citrus and horticulture,” Minister Littleproud said.
“This agreement delivers duty free access for half a million tonnes of feed grains per year.
“Our wheat industry exported $1.3 billion worth of produce to Indonesia in 2016-17 and this will grow that further.
”The agreement will increase duty free access for live male cattle by 4 per cent a year to 700,000 head annually.
“Tariffs on most lines of beef and sheepmeat will be reduced from 5 to 0 per cent immediately, with all remaining tariffs to be removed after five years. This will help us build on the $261 million that these exports were worth to Australia in 2016-17.
“Our grain farmers will get guaranteed duty free access for 500,000 tonnes of wheat, barely and sorghum grains per year increasing at 5% per year to 775,664 tonnes.
“Tariffs on our sugar cane will drop from as high as 12 per cent to 5 per cent.
“Oranges and limes will get increased duty-free access while dairy, mandarins, potatoes and carrots will get reduced tariffs.”
Minister Littleproud thanked former trade Minister Steve Ciobo for his hard work on this agreement, and also thanked the trade division of the Australian Department of Agriculture.
The conclusion of substantive negotiation of IA-CEPA was signed today in Indonesia by Australian Prime Minister, Scott Morrison.

Background facts:
• Indonesia is our fourth most important agriculture market
* Agriculture makes up almost half of our total exports to Indonesia - worth $3.5 billion to our economy.
* Australia’s top agriculture exports in 2016-17 to Indonesia include wheat ($1.3 billion), sugar ($541 million) and live feeder/slaughter cattle ($620 million).

Key agricultural outcomes from the IA-CEPA include:
More than 99% of Australian goods exports to Indonesia will enter duty free or under significantly improved and preferential arrangements.
• Duty free access for 575,000 head of live male cattle per year, growing at 4% per year to 700,000 at year five of the agreement.
• Remaining tariffs on all Australian exports of frozen beef and sheepmeat into Indonesia reduced to 2.5% immediately, and eliminated after 5 years.
• Guaranteed duty free access for 500,000 tonnes of feed grains per year (wheat, barley, sorghum), increasing at 5% per year to 775,664 tonnes.
• Reducing the tariff on Australian sugar cane from 8-12 % to 5%.
• Immediate elimination of 5% tariff for milk and cream, concentrated or containing added sugar or other sweetening matter.
• Immediate elimination of 5% tariff for grated or powdered cheese, of all kinds.
• Immediate tariff cut mandarins from 25% to 10% for 7,500 tonnes per year; down to 0% after 20 years for an unlimited volume.
• Duty free access for 10,000 tonnes of oranges per year, increasing 5% each year.
• Duty free access for 5,000 tonnes of lemons and limes per year, increasing 2.5% each year.
• Immediate tariff cuts for potatoes from 25% to 10% for 10,000 tonnes per year; after five years tariff further reduced to 5% for 12,500 tonnes per year, increasing by 2.5% per year.
• Immediate tariff cuts for carrots from 25% to 10% (from 25%) for 5,000 tonnes per year; down to 0% after 15 years for an unlimited volume.
• Progressive elimination of 5% tariff on Australian honey after 15 years.
Media Contact:
Les White, 0409 805 122

Tariff elimination to boost Australian cherries in China, says importer

Australian cherries are set to benefit from the elimination of tariffs in the Chinese market from the start of next year, according to one importer.

A free trade agreement was signed between the two countries in 2014, with Australian cherry exporters to be subject to zero-tariffs in China from Jan. 1, 2019.

Huang Xianhua, general manager of Shanghai Oheng Import & Export Co., told Fresh Fruit Portal Australian cherries would therefore be on a level playing field with Chile in terms of tariffs.

Chile signed an FTA with China in 2005, and sends the vast majority of its cherries to the Asian country.

Xianhua added that Australia’s higher production costs compared to Chile would be partially offset by its relative proximity to the market, while will save freight costs and make the country more competitive.

Australia is expected to produce a record 18,000 metric tons (MT) of cherries this year, with a little under half due to be exported, according to a USDA forecast. Meanwhile, Chile is expecting to export similar volumes to last season, which saw a huge export rise to 180,000MT.

And according to Xianhua, Chile faces numerous challenges with cherries.

“The processing capacity during the peak of harvest is insufficient, production is easily affected by weather conditions, and the quality is inconsistent, but they are hesitant to invest in protection such as rain nets if the investment it too big,” he said.

U.S.-China trade war
Xianhua also said that the U.S.-China trade war has led to a poor performance of U.S. cherries in the Chinese market this year. China has risen tariffs on the fruit by 40% over recent months, with the latest round coming into effect on July 6.

“This is an enormous cost and is unable to completely be shifted to the consumer end. In the end, the importers have to pay this extra bill,” he said.

Many importers stopped bringing in U.S. cherries while those who continued have run into difficulties, he said.

Other origins have been unable to fill the supply gap, he added.

“There is no [country] that can fully replace it. Canada’s supply is still limited, and Central Asian’s season is too early, also the quality is not good enough and they also have to worry about cold treatment,” he said.


Source: https://www.freshfruitportal.com

Agriculture leads the future

"Australian agriculture in a golden age, especially for the Chinese market"
The Australia-China Trade Expo 2018 "Australia-China Economic and Trade Expo" (ACTE2018) is a comprehensive economic and trade exhibition initiated by the Australian-Chinese business community. It was held in Melbourne last weekend and has been successfully held for 12 times.

At this exhibition, the President of Royal Fresh International, and CEO of AATI Holding, David Yang, spoke and shared relevant data on major fruit varieties, distribution, the supply season, fruit farm acquisitions, mergers and integrations in Australia. Royal Fresh has been focusing on Australian fruit exports for many years. AATI Holdings was established in November 2017 as an Australian agricultural technology investment holding company.

"Australian fruit exports to the world are increasing every year. The mainland China market continues to top the list of Australia's first export markets for two consecutive years last year. For example, in 2016, grapes exported 23,946 tons to China and 57,194 tons in 2018; citrus: 40,449 tons in 2017, 72,000 tons in 2018, so on and so forth. " Mr. Yang Jianguang said at the exhibition.

"The golden age of Australian agricultural development is not limited to the rapid growth of Australian domestic agricultural products in the international market in recent years and the good reputation it has won. It also confirms that China's investment in Australian farms has entered a golden age. "

For more information, please click here.

Royal Fresh International Pty Ltd will be looking forward to meeting you at the Hong Kong, Asia Fruit Logistica with Taste Australia. Booth: 3-S17/Hall 3D, Taste Australia

Contact information:
Royal Fresh International Pty Ltd
Email: info@royalfresh.com.au

AATI Holding Pty Ltd
Email: david@aatiholding.com.au

Publication date: 8/29/2018

Source: http://www.freshplaza.com 


Image from : https://abf.events/ 

USDA to purchase US$500M of produce as part of trade war assistance

The U.S. Department of Agriculture (USDA) says it will purchase more than US$200 million of apples and cherries as part of its assistance programs to growers impacted by tariffs implemented by countries like China.

A total of a little more than US$500 million will be spent on fruits, vegetables and tree nuts under the Agricultural Marketing Service’s (AMS) Food Purchase and Distribution Program, which has a total budget of US$1.2 billion.

The Food Purchase and Distribution Program is one of three programs – along with the Market Facilitation Program (MFP) and the Agricultural Trade Promotion Program (ATP) – with a total value of US$12 billion recently announced for farmers affected by “unjustified retaliation by foreign nations.”

China has implemented heavy tariffs on all U.S. agricultural exports, while Mexico has set duties for imports of some fruits including apples.

The amounts of commodities to be purchased through the AMS program are based on “an economic analysis of the damage caused by unjustified tariffs imposed on the crops listed below,” the USDA said.

“Their damages will be adjusted based on several factors and spread over several months in response to orders placed by states participating in the FNS nutrition assistance programs,” it said.

The USDA has set aside US$111.5 million for sweet cherries, US$93.4 million for apples, US$85.2 million for pistachios, US$63.3 million for almonds US$55.6 for fresh oranges, US$48.2 million for grapes, US$44.5 million for potatoes, US$34.6 million for walnuts and US$32.8 million for cranberries.

For cherries and almonds, the USDA said the program details are yet to be defined, and these two commodities were not included in the program’s US$1.2 billion budget.

For fruits, vegetables and tree nuts, assistance was also announced for apricots, blueberries, figs, grapefruit, hazelnuts, kidney beans, lemons/limes, Macadamia nuts, Navy beans, orange juice, pears, peas, pecans, plums/prunes, strawberries and sweetcorn.

“Early on, the President instructed me, as Secretary of Agriculture, to make sure our farmers did not bear the brunt of unfair retaliatory tariffs,” said Perdue.

Perdue said that after careful analysis, this strategy has been formulated to mitigate the trade damages sustained by farmers.

“President Trump has been standing up to China and other nations, sending the clear message that the United States will no longer tolerate their unfair trade practices, which include non-tariff trade barriers and the theft of intellectual property,” he said.

“In short, the President has taken action to benefit all sectors of the American economy – including agriculture – in the long run.

“It’s important to note all of this could go away tomorrow, if China and the other nations simply correct their behavior. But in the meantime, the programs we are announcing today buys time for the President to strike long-lasting trade deals to benefit our entire economy.”

Click here to view the USDA press release.


Source: www.freshfruitportal.com 

U.S. has launched “biggest trade war in economic history”, says China

The U.S. Government has followed through on its threat to implement tariffs on US$34 billion worth of Chinese goods, in a major escalation of a trade dispute that will likely hit consumers and companies in both countries.

The 25% duties, which went into effect at 12:01 am EST, prompted quick retaliation by Beijing, which said it immediately put its own similarly sized tariffs on U.S. goods, including fruits and vegetables.

China’s Ministry of Commerce said in a statement the U.S. “has violated World Trade Organization rules and launched the biggest trade war in economic history to date.”

It accused the U.S. of bullying and said the move would jeopardize global supply chains and hinder the pace of global economic recovery. It added this would trigger “global market turmoil and will affect more innocent multinational corporations, general enterprises and ordinary consumers.”

“The Chinese side promised not to fire the first shot, but in order to defend the core interests of the country and the interests of the people, we had to be forced to make the necessary counterattacks,” the ministry said.

“We will promptly inform the WTO about the situation and work with countries around the world to jointly safeguard free trade and the multilateral system. At the same time, we reiterate that we will unswervingly deepen reform, expand opening up (of markets), protect entrepreneurship, strengthen IP rights protection, and create a good business environment for Chinese companies in the world.”

The first wave of US$34 billion of tariffs is expected to be followed by a further US$16 billion, with both countries having threatened a total of US$50 billion worth of duties.

With no official talks scheduled between the two countries, and disagreements within the Trump administration about how best to proceed, a quick resolution seems increasingly unlikely, the New York Times reported.

“At the moment, I don’t see how this ends,” Edward Alden, a senior fellow at the Council on Foreign Relations, told the publication.

“This is very much in the president’s hands because he’s got advisers that seem divided, some substantively, some tactically. I just don’t think we’ve had any clear signs of the resolution he wants.”

In terms of U.S. fruit exports, cherries, apples and citrus are likely to be the most affected. However, Produce Marketing Association vice president of global membership and engagement Richard Owen last month said he expected the Chinese market to more easily absorb the higher prices for cherries.

Source: www.freshfruitportal.com

Vietnam: Export fruit enters choosy markets

According to the Vietnamese Ministry of Agriculture and Rural Development (MARD), after many years of negotiation, Vietnam has overcome technical barriers an is now able to enter choosy markets including Australia, the US, New Zealand, Japan and South Korea.

By April 2018, Vietnam had exported over $1.3 billion worth of fruits, an increase of 30 percent year-on- year. In 2017, the export turnover from fruits was $3.5 billion, nearly twice as much as 2016 ($1.7 billion). The figure is expected to reach $4.3-4.5 billion this year.

Vietnam is able to meet strict requirements set by import countries on origin tracing. The efficiency of trade promotions, branding and the connection between farmers and exporters is also very good.

According to Hoang Trung, head of the Plant Protection Agency, it took Vietnam seven years to obtain the right for Vietnam’s rambutan to enter the New Zealand market. And only after 10 years of negotiations did the US open its market to Vietnam’s star apple.

Source: english.vietnamnet.vn

Publication date: 7/5/2018

Vietnam wants its mangoes to be a key export product

The South Vietnamese province of Dong Thap, the largest mango producer in the Mekong Delta with 9,200 hectares and an annual production of almost 100 thousand tons, intends to turn this fruit into a key export product by 2020.

According to Nguyen Thanh Tai, the deputy director of the local Department of Agriculture and Rural Development, to achieve this purpose, Dong Thap has invested in improving its technological infrastructure, a levee system, and agricultural technology in order to achieve Global Good Agricultural Practices (Global GAP) and remarkable results in the post harvest industry.

He said that two areas devoted to growing mango in the city of Cao Lanh, which have a combined extension of 33 hectares, had achieved Global GAP standards, while two other areas, which together amount to more than 48 hectares, met the standards of Good Agricultural Practices of Vietnam (VietGAP).

So far, said Thanh Tai, the town has developed six safe mango production areas with an area of ​​more than 416 hectares, and it has registered the intellectual property of its Cat Chu Cao Lanh and Mango Cao Lanh brands.

Thanh Tai highlighted that the province had managed to maintain the mango supply throughout the year.

Meanwhile, Nguyen Phuong Tuyen, the head of the Office of Technology and Information Technology Research of the Department of Agriculture and Rural Development, said the province wouldn't expand the cultivation areas of mango in the future, but that it would focus on investing in storage and processing areas to improve the mango's production value chain.

Under contracts signed more than two years ago, Dong Thap exported 100 to 200 tons of mango each month to Japan, South Korea, Hong Kong (China), and New Zealand.

Tran Van Ha, from the University of Can Tho, advised Dong Thap to foster connectivity among farmers and between farmers and businesses to boost production, one of the key pillars of the province's agricultural restructuring strategy.

Meanwhile, Nguyen Bao Ve, the former director of the Faculty of Agriculture of the University of Can Tho, said that the province should manage the maintenance of this fruit tree to improve the quality of mango, while concentrating on diversifying products to meet the demands of the market.

Source: VNA via www.freshplaza.com

Publication date: 7/3/2018

Vietnam: UNIDO promotes post-harvest excellence for mangoes

Mekong River Delta

The United Nations Industrial Development Organization (UNIDO), the Vietnamese Ministry of Agriculture and Rural Development (MARD) and the People’s Committee of the Dong Thap province invited over 120 high-level participants from the public and private sector to discuss opportunities to strengthen the mango value chain, and to build a modern mango export system for Vietnam.

With a total area of 43,000 hectares and an output of 500,000 tons per year, mango is one of the key fruit trees in, and one of the main income sources of the Mekong Delta with high international potential in markets such as China, Japan, Korea and Russia. However, at 27 per cent, the post-harvest loss rate is very high.

Karl Schebesta from UNIDO introduced the Centre of Excellence approach to strengthen the mango value chain: “The centre offers appropriate models and upgraded technologies to improve the quality of agricultural products; to reduce post-harvest losses; and to improve the organizational and managerial production structure in rural areas.”

Located in the city of Cao Lanh in the Dong Thap province, the centre was set-up in close cooperation with Kim Nhung Company to also serve as a model for replication and upscaling. By working with the centre, the company improved its capacity from 15 - 20 tons per day to 60 tons per day. At the same time, the post-harvest loss rate at over 300 participating farms reduced to 50, 30 and now 15 per cent.

“All these are key elements allowing to increase the income while improving the livelihood of small-holder farmers and their families,” MARD’s Nguyen Minh Tien told europeansting.com, adding: “This proves that applying proper post-harvest technology along the value chain is the solution, which can be scaled-up and applied to other agro value chains, also in other provinces of Vietnam.”

Publication date: 6/26/2018

Source: www.freshplaza.com

New US tariff threat raises prospect of all-out trade war

US Trade Representative has begun to draw up a list of another $200bn worth of Chinese imports to hit with a 10% duty, while China says it will strike back with combined measures in quantity and quality.

US President Donald Trump has threatened to impose tariffs on another $200bn worth of Chinese goods, adding fuel to the fears about a looming full-scale trade war between the world’s two largest economies.

Mr Trump has requested the US Trade Representative to draw up a list of Chinese imports to hit with a 10% duty.

“After the legal process is complete, these tariffs will go into effect if China refuses to change its practices, and also if it insists on going forward with the new tariffs that it has recently announced,” the president said in a statement.

The move came after Beijing announced its 25% tariff on $50bn of US goods last Friday, responding in “equal scale” to Washington’s earlier hike in customer duty on Chinese products.

“This latest action by China clearly indicates its determination to keep the United States at a permanent and unfair disadvantage, which is reflected in our massive $376bn trade imbalance in goods. This is unacceptable,” Mr Trump added. “Further action must be taken to encourage China to change its unfair practices, open its market to United States goods, and accept a more balanced trade relationship with the United States.”

Should the US unveil another list of Chinese products for extra tariffs, China would have no choice but to resolutely strike back with combined measures in both quantity and quality, a spokesperson of China’s Ministry of Commerce said on Tuesday.

“Such practice of imposing extreme pressure and blackmailing is contrary to the consensus the two sides have reached through rounds of consultations, and disappoints the international community.”

Mr Trump’s initial list includes 818 products worth $34bn in Chinese goods, with the remainder of the $50bn is still to be decided.

The latest back-and-forth measures have sparked concerns that US and China are proceeding into a full-frontal trade war.

The National Retail Federation, a US-based industry group, said in a statement: “This is just what we predicted — a tit-for-tat trade war has erupted and American families are caught in the middle.”

The International Monetary Fund said last week that US trade policies were likely to hurt its domestic economy and undermine the world’s trade system.

IMF director Christine Lagarde said a trade war would lead to “losers on both sides” and might have a “serious” impact.

First published on www.lloydslist.com
Cichen Shen | Wednesday, 20 June 2018