Resources and other information for Australian growers who are export-ready or looking to begin exporting produce overseas.
AUSVEG delivers the Vegetable Industry Export Program, which aims to increase the volume and value of Australian vegetable exports and supports the Vegetable Industry Export Strategy (VIES) 2020. The principle objective of the Program is to construct a holistic market access and development program aimed at fulfilling the export growth targets identified in the VIES 2020 of increasing the value of vegetables exports by 40% to $315 million by 2020 and to over $400 million by 2025, as well as creating a strong export culture in the vegetable industry and assisting the industry to develop a sustainable vegetable export sector.
AUSVEG deliver a range of works including export readiness training for growers both looking to commence exporting and those looking to improve exporting performance; market development activities including a combination of inbound and outbound trade missions to build growers’ understanding of export market supply chains and facilitate connections with international fresh produce buyers; and work with industry, Hort Innovation and government to prioritise market access for vegetable products.
2016/17 another year of export growth for the Australian Vegetable Industry
Australia is a net exporter of fresh vegetables. In 2016/17 Australia exported over 190,000 tonnes and $246 million in fresh vegetables. Australia’s top vegetable export market, by value, is Singapore, with an export value of over $45 million, an 11% increase on the 2015/16 financial year. By volume the UAE is Australia’s largest vegetable export market, with over 36,700 tonnes of Australian vegetables exported to the market in 2016/17. Carrots are the highest traded commodity by volume and value, with 111,000 tonnes and almost $91M in value traded in 2016/17.
A comprehensive snapshot of trade data for the vegetable industry by commodity and market is available to vegetable levy paying growers in the Vegetable Industry Export Strategy 2020. Contact AUSVEG on (03) 9882 0277 or at firstname.lastname@example.org to request a copy.
Australia’s export trade data 2016/17
|Top 5 Commodities|
|Top 5 Markets|
|4||Cauliflower & Broccoli||7,700T||4||Onions||$18M|
|5||Asparagus||6,100T||5||Cauliflower & Broccoli||$17M|
Source of Data: Australian Bureau of Statistics
Looking to the future
Early 2017 saw the release of the Vegetable Industry Export Strategy (VIES) 2020. The strategy was developed by McKinna et al in collaboration with AUSVEG and Hort Innovation, to provide a valuable resource for the industry to assist with focusing trade and development investment. The Vegetable Industry Export Strategy (VIES) 2020 identified seven key focus areas for the Australian Vegetable Industry:
- Create an export culture
- Drive product differentiation
- Devise a compelling brand proposition
- Build collaborative partnerships
- Lift supply chain efficiency
- Explore value-adding opportunities
- Tune into our markets
The overall mission of the strategy is to develop a financially sustainable vegetable export sector by equipping industry to produce differentiated products that are customised to the needs of targeted market segments. The overarching aim of the strategy is to position the Australian vegetable sector so it is recognised by the global industry as leading marketers of premium, quality, safe, reliable, branded products. The key target for the Vegetable Industry Export Strategy (VIES) 2020 is to grow the value of vegetable exports by 40% to $315 million by 2020 and to over $400 million by 2025.
Am I ready to export my product overseas?
Becoming export ready can be challenging and requires a real commitment to become a successful and established exporter. AUSVEG have produced a suite of resources to aid levy paying vegetable growers in the export process and provide informative solutions. The AUSVEG Export Readiness Checklist is a great place to start, it provides a simple way to develop an understanding of the major requirements involved in exporting fresh produce overseas. The AUSVEG Guide to the Export Readiness Checklist is available in support to the checklist document, as well as a Produce Tracking Booklet, Costing Worksheet for Buyers, and Market Visit Checklist.
The key to exporting into a new market is understanding that markets’ specific requirements and expectations. Understanding these requirements is a crucial component in the development of a successful export strategy and ultimately a successful exporting business. To aid you in this process Austrade have a useful guideline to follow in developing an export strategy you can download here.
As an additional resource, AUSVEG, in conjunction with the Export Council of Australia, have developed an Export Readiness Training Program. This program delivers workshops throughout the year in growing regions around the country and cover topics including incoterms®, export planning, pricing strategies, contracts, and Free Trade Agreements.
To register your interest in attending an Export Readiness Workshop, to find out when one will be held near you, or to receive any further information on becoming export ready contact AUSVEG on (03) 9882 0277 or at email@example.com.
Market development is a key element of AUSVEG’s export development program
Developing export markets is a high priority for AUSVEG. By identifying new buyer, and developing strong in-market, relationships AUSVEG aims to improve and create export opportunities for Australian vegetable growers.
AUSVEG undertakes the following activities to assist growers, and the industry, to develop export opportunities;
- Reverse Trade Missions – AUSVEG deliver annual inbound trade missions showcasing the Australian vegetable industry, it’s production capability and quality. The missions provide valuable relationship building opportunities and interactions between Australian vegetable growers and international purchasing decision makers.
- Trade shows – AUSVEG enable growers to exhibit Australian vegetables at international trade shows, showcase the wide variety of vegetable commodities available for export, and gain understanding of export supply chains. The trade shows build awareness of the Australian vegetable industry, and facilitate direct connections between Australian growers and international buyers.
- Seminars – AUSVEG holds a range of information forums throughout the year which inform growers about exporting, and enhance understanding of key export markets.
Market Development Resources:
To assist growers in exploring key export markets AUSVEG provide a range of market development resources which provide economic information and market insights.
Free Trade Agreement Overview
A Free Trade Agreement (FTA) is an agreement between two or more countries with the aim of liberalising the trade of goods and services and access to investment between those countries, and ultimately growing the economies of the countries involved. Australia has ten FTAs currently in force, with the countries covered by these FTAs accounting for around 60% of Australia’s total fresh vegetable trade. Although FTAs do not guarantee access for a new commodity to market, the tariff reductions delivered by FTAs make Australian vegetables more competitive and will help to increase vegetable exports. Access the Free Trade Agreement Factsheet here.
Incoterms are a set of three-letter trade terms which reflect business-to-business practice in contracts for the sale of goods. They describe obligations for clearance of export and import, packing of goods, arranging and paying carriage and insurance, deliver and taking delivery of the goods, packaging, loading and unloading of the goods. It is important to understand your obligations under the incoterm® used in your contract, however they can be confusing, especially for first time exporters. AUSVEG has developed an information sheet to assist vegetable exporters with choosing the correct term and understanding your obligations. Click here to download.
The Vegetable Industry Export Strategy (VIES) 2020, contains market profiles for 17 of Australia’s top vegetable export markets. Each profile contains information on market characteristics, a market overview, the market access status, ranking of vegetable commodity opportunities and assessment, and information on the freight connectivity. To access the Vegetable Industry Export Strategy (VIES) 2020 contact AUSVEG on (03) 9882 6722 or at firstname.lastname@example.org .
In market Assistance
AUSVEG maintains contacts in export markets including Austrade representatives, Government officials, buyers, supply chain business; i.e. freight forwarders.
Contact AUSVEG on (03) 9882 0277 or at email@example.com, with the particular market and commodities you are interested in exporting for assistance to identify in market contacts.
Understanding which markets your products have access to is an important consideration for growers involved in or looking into export.
As vegetables are a restricted commodity and market access can at times be ambiguous AUSVEG has developed an overview of the market access status for a range of vegetable commodities which you can access here.
Detailed market access information can be found by accessing the Department of Agriculture and Water Resources Manual of Importing Country Requirements (MICoR) database. For further information on MICoR and to assist with the navigation of the database the Department of Agriculture and Water Resources have released a MICoR fact sheet, and MICoR User Guide.
AUSVEG is constantly working to improve market access for vegetable commodities across international markets. By regularly identifying opportunities and submitting official businesses cases for review AUSVEG aims to ensure new markets become available for Australian vegetables into the future.
Contact AUSVEG on (03) 9882 0277 or at firstname.lastname@example.org if you have insights into new or extended market opportunities that exist for growers where there may be market access restrictions.
Maximum Residue Limits (MRLs) can be a barrier when considering vegetable exports to certain markets. AUSVEG are developing resources for levy paying vegetable growers which will highlight the MRLs for a number of vegetable commodities across various markets.
Contact AUSVEG on (03) 9882 0277 or at email@example.com, with the specifics of your trade and we can help you with information.
|This project has been funded by Hort Innovation, using the vegetable research and development levy and contributions from the Australian Government. Hort Innovation is the grower-owned,
not-for-profit research and development corporation for Australian horticulture.