Australian Avocados’ chief executive John Tyas remains hopeful his industry can secure a more favourable trade protocol with Thailand by the end of this year.
The optimism comes after Tyas travelled to the South East Asian nation earlier this month as part of five-member Australian trade delegation, which met with Thailand’s Department of Agriculture. The delegation included representatives from Australia’s three largest avocado exporters.
“We discussed a number of options for a more workable protocol and are hopeful that the Australian and Thai governments can now progress this as soon as possible,” Tyas told Asiafruit. “The timing will depend on our respective governments but we are very hopeful we can achieve a workable protocol this year.”
Australian exports to Thailand ground to a virtual halt in July 2013, after Thai officials imposed a new import protocol, requiring fruit to be treated at 2oC or 22 days prior to entering the market. Exporters have suggested these terms are too harsh on both fruit and costs.
“A lot of the importers in Thailand want to take the risk and keep the supply line open but Australian exporters do not want to export to Thailand under the current protocol because it will shorten the shelf life and increase the risk of internal disorders, thus damaging the reputation of Australian avocados,” Jennie Franceschi of leading Australian exporter the Avocado Export Company (AEC) says. “Thailand has always been a strong market for Australian avocados. AEC sold over A$1.5m-worth of fruit in this market in the 12 months to June 2013, so the sooner we have more workable trade conditions the better.”
Tyas agreed with Franceschi, suggesting the disruption to trade has eroded the Australian industry’s strong standing in the market, which has taken over a decade to build.
“Other countries have filled the gap left by the Australian lock out,” he said.“New Zealand in particular has established a strong presence now during their supply window. We are hopeful that we can regain market share, but it will take time, and the longer we are out, the harder it will be.”
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