For the industry, by the industry Michelle Kruger:
History of fruit industry: Roots stretches back to middle of 17 th century Exports to UK, Netherlands and other parts of Europe at the end of the 19 th century Now exporting to more than 70 countries worldwide
South African Export Markets Far East: 10% Russia: 10% Africa: 1% Middle East: 18% Canada/USA: 5% UK: 22% Europe: 33% Indian Ocean Islands: 1%
What to have in place when you want to export your fruit 1. Register on DoAs food data base for a PUC and/or PHC. Go to Contact local PPECB offices. Nelspruit – Koos Retief Register for SA GAP or Global GAP and/or SA GMP. PPECB can assist. International quality, environmental and food safety systems: International quality control systems Purpose and where it applies ISO Sets standards for protecting the environment Nature’s Choice (Tesco)Applies to farms and on-farm packhouses Globalgap (certain European retailers)Applies to farms and on-farm packhouses LEAF (Waitrose)Applies to farms supplying Waitrose The British Retail Consortium (BRC) Global Food Standards Applies to pack houses supplying British retailers HACCPApplies to pack houses
The importance of traceability: Any problem can be linked to a specific producer instead of a whole group Fast, accurate and limits risk Limits unnecessary costs Limits public concerns Carton Marking: Product of SA Class of product Name of exporter and/or pack house PUC code Product type Variety Count (size)
Fruit Type Optimum temperature in degrees Celsius Practical shelf life (PSL) Grapes-0.5 to 0°CUp to 150 days Avocados3.3 to 4.4°C14 to 28 days Apples-1.1 to 4.4°C90 to 240 days Pears-1.5 to 0°C60 to 180 days Stone Fruit-1.1 to 0°C14 to 35 days Citrus4 to 5°COranges: 35 to 90 days Lemons: 30 to 120 days Optimum temperatures
Documents completed in the export process Customs: DD550 Port Authorities: Cargo dues order and terminal container order Agricultural Authorities: PPECB – Export inspection certificate; DoA phytosanitary certificate Terminals: Mate’s receipt Shipping Line: Bill of lading Origin documents
Challenges for SA fruit industry: Oversupply of fruit Withdrawn subsidies from government New legislation from importing countries Global crisis Increasingly competitive international export markets (Chile, Brazil) Downward pressure on produce prices - retailers Burdensome input costs from monopolies and cartels The price of crude oil Fluctuation of the exchange rate Successful land reform Why South Africa is well-suited for large scale production of fresh fruit: Relatively low labour costs Availability of land Wide variety of climatic zones Well developed infra structure Counter seasonal production to Northern Hemisphere
Solutions: Increase in quality Market driven industry - not production driven Open new markets Develop the local market Sell expertise to counter seasonal markets Generic promotions Continued education – Top of the Class programme
Established 1998 as non profit organisation Membership voluntary Approximately 60 members which export 76% of all fresh fruit exported from SA Strict code of conduct Members are exporters (agents and traders), producer exporters, service providers and other industry organisations
FPEF objectives for 2008 Assist members to find international markets for their principals’ fruit Promote the FPEF members collectively within producer circles Continue to refine the accreditation criteria Facilitate access to relevant, accurate and timely generic information Sourcing of funds for projects within the industry Provide innovation for its members in the value chain – Post Harvest Innovation Programme Continued education in the value chain – Top of the Class programme
Five main stages of the export process: 1.Pre-season planning with producers 2.Buying fruit and contracting with the producers and service providers 3.Marketing the fruit 4.Managing operations during the season 5.Analysing the previous season Roles played by the exporter: 1.Ensuring all documents are properly completed at each stage 2.Delivering a quality product from the farm to the consumer 3.Satisfying buyers 4.Making sure that products and packaging compete with competitors 5.Controlling costs in the value chain