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New Zealand fruit and vegetable marketing company Turners & Growers has predicted a lacklustre trading environment in the second half of the year, despite a profit rise in the first half.

The company says consumers are tightening their belts and looking for lower-priced foods as economies slow worldwide, according to New Zealand’s National Business Review.

Turners & Growers posted a first-half profit of NZ$13.2m, up from last year’s same period figure of NZ$8.2m.

The price of fruit and vegetables has been good, the company said, but consumers are spending less and less on fresh produce. The rise in fuel costs is also impacting on operating costs.

“At this time of year it is difficult to predict the year-end result with certainty,” chairman Tony Gibbs said.

“The New Zealand domestic economy has slowed and this is reflected in the food purchasing behaviour of the nation with consumers buying less high value fresh food lines. Turners and Growers is not immune to this down turn.”