New Zealand kiwifruit post harvest supplier EastPack is forecasting a NZ$6.2m (€3.9m, US$5.2m) profit before tax for the year ended 31 December 2012.
The group, which is the country's largest wholly grower-owned kiwifruit post harvest cooperative, said that it expected to halve its debt to just NZ$5m for the year.
The company anticipates its average 2012 Orchard Gate Return (OGR) for EastPack Green growers to increase 17 cents per tray to NZ$4.68 per tray – a return that it said is amongst the highest OGR in the industry, and above Zespri's average of NZ$4.33 per tray.
EastPack said that highlights of the previous year included a further 10 cents reduction per tray in operating costs without any staff reductions, acquiring 2.3m trays from growers coming to EastPack for the first time (to replace gold trays lost to PSA), reducing packing prices by 20 cents per tray whilst maintaining profitability, and further reducing fruit loss to 'very low levels'.
Chairman Ray Sharp attributed the company's continued positive financial performance to a focus on quality, productivity gains and supporting growers and staff to improve on orchard productivity through tech transfer and grower services.
'EastPack has taken a view that the best way to assist our growers is to continue to deliver low packing prices, high OGR and a quality servicein terms of on-orchard assistance, packing, coolstorage and off-shore out-turns,' he noted.
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