The New Zealand Potato Industry Ron Gall Business Manager Potatoes New Zealand

Hawke’s Bay Manawatu Canterbury 3

Production and income stats 234 growers (40 seed, 194 table & process) 10,670 ha (2010) 11% seed, 33% table, 56% process 520,000 tonnes (1 in 3 rows exported) Farm-gate value $147M (y/e 31 March 2010) Exports (y/e 30 June 2010) 29,834 tonnes/$16M Fresh 67,718 tonnes/$77M Process

Economic Environment New Zealand economy Dairy pay-outs continuing to rise Vegetable prices still very volatile Rapid decrease in interest rates BUT money is harder to borrow Property values devaluing Fluctuating value of $NZ has made forward planning difficult NZ total agriculture exports steadily increasing Domestic economy still very fragile

Structure of Horticulture New Zealand

Structure of Potatoes New Zealand Export Market Development Group 4 growers & 4 exporters 8 Directors 1 must be a seed grower, 2 must be table growers & 2 must be process growers Communications Group 1 from each group & Advisor Promotion Group 3 growers & 1 wholesaler Seed Certification Authority Group 3 seed growers, 4 table & process growers Research & Development Group 4 growers, 1 seed merchant, 1 science provider & 1 processor Leadership & Training Group 2 growers 1 service provider

Challenges/Opportunities Key pest potato/tomato psyllid Associated micro-organisms resulted in biosecurity and production issues Few control options and need for new chemistry Merger of research providers has improved the focus on potato R&D Consumer concerns about country of origin labelling and impact of buy local campaigns Customer requirements for sustainability indicators Consumers now almost universally accept that potatoes are good for them Water allocation

State of the Industry Psyllid remains a huge challenge Psyllid has been the trigger to make people talk to one another There is more sharing of information There is more trust Positivity about opportunities Good leadership Resulting in: progress toward increasing value for all industry stakeholders long-term planning for growth in the industry

Realising the dream Potatoes New Zealand is committed to progress through partnerships: Industry working together to: exploit new markets increase consumption improve the health status of chips determine R & D priorities improve leadership & training International collaboration Shared marketing collateral Soil-borne disease projects (and more to come)

The Future Potatoes NZ Grower Members & Trade Members (any person actively engaged in processing, trading or retailing potatoes) All together to drive the industry forward