Red kiwifruit Zespri

One of Zespri's two red-fleshed kiwifruit varieties which are due to undergo trials

Zespri's decision to earmark two red-fleshed kiwifruit varieties for possible future commercial release has confirmed what many in the industry already suspected – that the company sees a potential gap in the market for a high-quality red cultivar.

Speaking to Fruitnet.com, Zespri chief executive Lain Jager said the search for a suitable variety had been 'like looking for a needle in a haystack' but insisted that the two now set to undergo pre-commercial trials had shown all the right attributes in terms of size, storage and visual appeal.

'It's no secret that different varieties work better on different markets,' he said. 'Clearly this is a market we have been working on for 10 years now and the varieties involved are very different and will appeal to a different set of consumers.'

Nearly 2,000 different options were reportedly considered, with more than 10 red-fleshed varieties making it to initial growing trials.

Around 200ha of the two selected varieties will be licensed during the next few months and, depending on their performance in terms of production, storage, shipping and consumer response, the trials will be progressively expanded.

With the first significant sales volumes expected in 2013, Mr Jager said he expected results from the two on-orchard trials to be available in the next 2-3 years, but underlined the need not to hurry the process.

'It is absolutely essential we get all these decisions right – especially the inevitable decision to launch an entirely new Zespri Red brand globally,' he explained. 'There are literally tens of thousands of kiwifruit varieties that we or others could potentially try to sell, but uncoordinated new product launches only risk driving down prices and overall returns to New Zealand.

He also admitted that the decision to switch production to a red variety would be a tough one for many in the industry.

'As with any new venture, our growers will think carefully about the commercial risks and opportunities presented by these new varieties, before they make a decision for their orcharding business, and we will be providing extensive information as part of that process.'

Mr Jager added that there were also opportunities for those interested in growing and exporting other kiwifruit varieties to work with Zespri and industry regulator Kiwifruit New Zealand to sell them beyond New Zealand and Australia under the industry’s collaborative marketing arrangements.

More than 16 companies are already exporting from New Zealand under such arrangements and further growth in this area is expected, he said.

Click here to read our exclusive interview with Zespri chief executive Lain Jager