Onion exports from New Zealand to Indonesia are set to resume without the previously required pre-export methyl bromide fumigation. This development follows successful negotiations to lift the regulation that had been in place since December 2023. The previous requirement had halted exports, which were valued at $45 million, and resulted in significant financial losses for the industry, estimated at $5 million per week.
Assistant Agriculture Minister Nicola Grigg commended the efforts of the Ministry for Primary Industries (MPI) and the Ministry for Foreign Affairs and Trade (MFAT) in resolving the issue. The new agreement is expected to facilitate the export of 10,000 to 12,000 tonnes of onions to Indonesia in 2024, generating an estimated $5 million.
Grigg highlighted the government’s strategy to reduce non-tariff barriers and enhance trade relations, noting the importance of New Zealand’s global trade agreements. She emphasized the potential growth in South East Asia, where horticultural exports made up about 10% of the total last year.
The horticulture sector is anticipated to see a record export revenue of $7.1 billion by June 30, 2024. Grigg reaffirmed the government’s support for the sector and encouraged continued efforts towards growth and market expansion.
Explore the newest supply chain news at The Supply Chain Report. Visit ADAMftd.com for free international trade tools.
#SupplyChainNews #TradeUpdate #ExportNews #OnionImports #HorticultureGrowth