Vertically integrated group Freshmax New Zealand has announced a new collaborative avocado procurement and distribution model.
Called Avora, the new approach aims to help aggregate New Zealand’s avocado supply during the 2016/17 season, and create cost efficiencies in the distribution of avocados both domestically and to export markets.
Jim Tarawa will head up Avora, alongside category leader Duncan Lilley and Dave Alderton.
“I’m really excited to be part of the Avora marketing team. Freshmax have taken an audacious step in challenging the status quo among the export industry,” Tarawa said in a company statement. “The message to growers is simple – one commission is deducted through the supply chain. A modest per tray flat rate to cover the expenses running a small specialist team is all that is required.
“Freshmax have moved the actual sales commission line to where it should belong which is in-market.”
Leveraging on its Australian sister company to reduce distribution costs in-market, Freshmax New Zealand will also grow its exports into Asia including direct to retailers to supply the growing demand for avocados both in Australia and Asia.
Freshmax New Zealand said the collaborative approach will operate with a “significantly reduced margin marketing structure across multi markets and will deliver fully transparent payment reporting”.