Fruit brand pilot sees gains: growers

45 South orchard general manager and working party member Tim Jones shows off the  Central Otago...
45 South orchard general manager and working party member Tim Jones shows off the Central Otago fruit brand packaging. Photo by Sarah Marquet.
Fruitgrowers say a $200,000 pilot project to develop the Central Otago fruit brand has been a success, earning an extra $1 per kg for fruit sold under the brand.

The pilot, funded by New Zealand Trade and Enterprise and individual growers, had two focuses - exporting apricots to the United States and cherries to Southeast Asia, specifically Hong Kong, Thailand and Taiwan.

Led by a working party, about 15 growers had signed up to the brand and, instead of all their fruit being packaged in normal boxes, their best produce went into Central Otago-branded boxes, along with a leaflet telling the consumer about the region, the fruit and the grower.

In a presentation to the Central Otago District Council this week, working party chairman Earnscy Weaver said the approach centred on building a story around the fruit, focusing on aspects such as Central Otago's rugged, inhospitable terrain, and presenting that to consumers through posters and packaging.

Working party member Tim Jones said this was the first season the brand had been used and it had been about "putting our toe in the water and seeing how the market would react to a new brand".

They had focused on "high-end" markets, such as the gift market in Asia and the niche deli-type stores in the United States, particularly in the wealthier areas of the west coast, he said.

Mr Weaver said about 60% of Central Otago cherry growers were selling under the brand, and possibly a higher proportion of apricot growers, but the amount of fruit each grower sold through the brand fluctuated, depending on quality.

The growers had set a quality standard and Mr Weaver and Mr Jones said consistently adhering to that standard would be the success of the brand.

They now hoped to take the brand from the pilot stage and turn it into a commercial reality, saying it could also produce gains in the New Zealand market as well as for exporters.

Mr Weaver said it was also hoped that apples could "piggyback" on the back of apricot and cherry sales, as apple growers was seeing "very poor" returns for exports.

Mr Jones said the project had been in the planning stage for about the past four years, after a Deloitte report on opportunities in Otago.

"One of the things to come out of that was a fruit growers collaborative to co-ordinate marketing and improve returns."

The idea was picked up by former economic development body Otago Forward, which "brought the idea to Central Otago".

It was then picked up by the business development unit of the Central Otago District Council and eventually handed over to the growers group.

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