South Africa is set to expand its avocado exports to China following the recent market opening. A 40ft container with 21 tons of avocados has already been shipped to China in 2024. This accounts for a mere 0.03% of South Africa's total avocado exports of 81,012 tons. Derek Donkin, CEO of the South African Subtropical Growers' Association, highlights the potential for growth in the Chinese market, noting its rapidly expanding upper-middle class.
Hans Boyum, commercial director for Africa at Westfalia Fruit, aligns with this view, citing increasing consumer awareness of avocados' health benefits as a driver for demand. "South Africa can position itself as a reliable supplier with a fresher product due to shorter shipping times than those of our competitors," Boyum stated. He emphasized the importance of developing market education and distribution networks, suggesting that China could emerge as a key destination for South African avocados in the future.
Westfalia Fruit's initial shipment served to test the company's compliance with China's import protocols and gauge the market's reception of Hass avocados. "Based on the success of the first container, we have the confidence to increase shipments during the 2025 season," Boyum remarked. While Hass avocados are currently favored, other varieties like Fuerte have gained popularity in some Asian markets.
Boyum pointed out the challenge of building consumer awareness in China, where avocados remain relatively new. South African exporters face competition from established suppliers. He noted, "The Chinese market is sensitive to oversupply, and we have seen significant negative impacts on pricing after sudden surges in supply that are not balanced to market demands."
Logistics, compliance with import regulations, quality, and partnerships are vital for sustained success. Westfalia Fruit focuses on market education, retailer partnerships, and quality control to position South African avocados as a premium product in China.
Beyond China, South Africa has also gained access to the Indian market, though high import tariffs present challenges. Donkin mentioned the need for a trade agreement with India to capitalize on this opportunity. Currently, 95% of South Africa's avocado exports target the EU, the UK, Russia, and the Baltic states, with 2.5% heading to the Middle East.
Source: Farmer's Weekly