New Zealand's exclusive avocado access to Australia is under threat, with Mexico and Chile signalling interest in exporting avocados to the country.
Mexico and Chile have made a move to secure avocado supply from Australia after the revised TPP trade deal. Photo: 123rf.com
Australia is New Zealand's number one market for avocados, worth $88 million in sales in 2017 to 2018.
Tauranga-based avocado export group AVOCO said the move from Mexico and Chile stemmed from the free trade opportunities emerging out of the revised TPP trade deal.
AVOCO said Mexico had also signalled interest in exporting avocados to New Zealand.
AVOCO spokesperson Steve Trickett said while success by Mexico to gain market access to Australia and New Zealand was far from guaranteed, it had a watchful eye on supply competition in Australia.
"Growing avocado consumption there is making it an attractive option for other growing nations," Mr Trickett said.
Interest from Chilean and Mexican exporters in Australia's market especially, was a reminder about the industry's need to investigate options further afield, he said.
AVOCO was leading the way on this - through market development in Asia, he said.
"In 2018-19, AVOCO is likely to send about 80 percent of its volumes to Australia and 20 percent to Asia," Mr Trickett said.
"This will ensure long-term retail customers in Australia will be supported while, at the same time, enable market growth in emerging Asian markets, including China."
