China is hungry for avocados and South Africa ready to deliver as export deal gets green light

But leading the way with avocados is also a win for China, where health-conscious consumers have a growing appetite for the fruit.

According to Derek Donkin, chief executive of the South African Subtropical Growers' Association (Subtrop), final registration of avocado orchards and packing houses is underway, with the hope that the first shipment will leave next month .

A number of South Africans Major exporters have already established the necessary business contacts in China to be able to export as soon as official requirements are met, Donkin said.

This comes at a time when the South African avocado industry has been expanding in recent years: it has increased by 4,750 hectares (11,737 acres) to a total of more than 18,000 hectares. Donkin said that as the industry grows, it sees China as a huge untapped market.

The avocado export deal to China was first signed last year when South Africa's Minister of Agriculture, Land Reform and Rural Development, Thoko Didiza, met the minister Chinese Foreign Minister Wang Yi on the sidelines of the Brics summit an association of the five major emerging economies of Brazil, Russia, India, China and South Africa.

Access to China is a vital step in driving export-led growth for South African avocados, Didiza said at the time.

China is seeking to become one of the world's leading consumers of avocados, which presents a huge opportunity for the South African industry, Didiza said.

This will have a multiplier effect which will growth in terms of employment, skills and economic development, in particular [in] rural areas of our country where the majority of avocados are produced, she said.

South Africa is a major producer of the fruit, producing just over 130,000 tonnes per year, according to Wandile Sihlobo, chief economist at the Agricultural Affairs Chamber of South Africa (Agbiz). He said about half of that was for export markets.

Currently, it exports its avocados to Europe, the Middle East and the African continent.

China is a new and exciting market, Sihlobo said. South African farmers will benefit from access to [Chinas] growing market.

South Africa is China's largest trading partner on the continent, with minerals such as gold, diamonds, iron ore, manganese and chrome. constituting the majority of its exports. It is also a major exporter of citrus fruits, grapes, apples and pears to China.

Last year, bilateral trade amounted to $55.62 billion, accounting for a fifth of total Sino-African trade that year, with South African exports to the Chinese market accounting for $31.97 billion. .

Agriculture has become the new center of interest China's engagement with Africawith its list of food imports now including avocados, pineapples, chili peppers, cashews, sesame seeds and spices.

02:36

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Lauren Johnston, associate professor at the University of Sydney's Center for Chinese Studies, said demand for lawyers in China is increasing due to a new concerned about their health middle class.

There is likely high demand, with avocados being a superfood, she said, although noting that because the trees have intense water needs, it would be a relatively poor crop choice for China.

Fortunately, avocados are easy to export because they carry little pest risk and are already exported to Western markets, she said.

It is therefore a low-hanging export fruit and a victory for efforts to increase agricultural productivity, increase rural incomes and raise food safety and choice in China, Johnston said.

China has strict sanitary and phytosanitary standards for fresh produce, so it takes a long time to successfully negotiate agricultural export deals. It took Kenyan avocado growers more than two years to comply with Chinese requirements.

According to Johnston, it is likely that China has unmet demand for the fruit, and also wants to pursue its agricultural growth goals and sustainable trade balance issues, so it makes sense to add South Africa to this mixture.

South Africa joins a very small group of countries capable of exporting avocados to this growing market.

Kenya had access exported frozen avocados in 2019, but this caused problems because most farmers could not afford to buy freezing equipment. The deal was renegotiated to include fresh fruit in 2022.

In the meantime, Tanzania has become the second African country to export fresh avocados to China in 2022 under a deal signed during President Samia Suluhu Hassan's state visit to Beijing.

Outside of Africa, the only countries allowed to export avocados to China are Peru (its main supplier), Chile, Mexico, the Philippines, Colombia, New Zealand, Vietnam and the United States. United.

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