FROM THE EXECUTIVE
From the Executive ...
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This breakthrough was more than seven years in the making and provides Australian marketers with a massive price advantage on Californian almonds .
Peter Hayes , ABA Chairperson and Tim Jackson , ABA CEO |
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THE almond industry will jump into the New Year with a new advantage in one of its most important markets following confirmation that the Australia-India Economic Cooperation and Trade Agreement will come into force on December 29 . Part of this agreement is a 50 % tariff reduction on the first 34,000 tonnes of shelled and inshelled Australian almonds exported to India annually . This breakthrough was more than seven years in the making and provides Australian marketers with a massive price advantage on California almonds . It is expected that the demand for Australian almonds in this market will surge significantly . India has been a key market for Australian inshell sales for almost 20 years , but this decision will also open up the potential for kernel sales . As the table highlights , the potential to grow sales in the Indian market will be significant for the industry . We have retained a respectable market share but inshell availability due to the wet weather in 2022 and the premium paid for the same product in China , has weakened supply . This new quota could change the dynamics significantly and add a new dimension to the export market share , which currently sees China sales representing more than 50 % of all exports . The industry is most appreciative of the work done by the DFAT negotiating team headed by the various Trade Ministers and chief negotiator Frances Lisson on firstly securing the China free trade agreement and then landing a 50 % tariff reduced quota in India as an encore .
In A Nutshell - Summer 2022 Vol 23 Issue 4
Australian almond exports to India since 2016 ( tonnes )
The volume of Australian almonds exported to India is expected to increase significantly on levels from the past five years , thanks to a tariff reduction .
Bee lockdown still in place
Although the industry ’ s pollination season in August is but a distant memory , the ongoing border lockdown on NSW beehives remains in place . Despite ongoing representations at various levels of government , we are yet to secure a resolution that allows for the interstate movement of NSW hives . The varroa incursion in Newcastle that sparked the lockdown on June 22 is an ongoing issue , with two new hot spots outside the designated red zone detected late in November . No varroa mites have been detected beyond north-east NSW coastal region where containment lines remain in place . Ongoing discussions between the biosecurity agencies in Victoria , NSW , SA and Queensland have been put on hold until more detail around the latest two hot spots is provided . The ABA will maintain a proactive approach in supporting protocols that minimise the risk of varroa mite spreading but facilitates the movement of beehives through the almond growing districts . All eyes are on those orchards which could not source enough bees to pollinate crops with the recommended beehive stocking rates . The ABA has launched an informal study where hive numbers in these orchards will be matched up with yields from next year ’ s harvest to assess the impact . If the yields remain on par with other seasons it might provide growers with sufficient evidence to reduce their hive stocking rates , while low yields , should they eventuate , will allow the industry to quantify the losses of the beehive border lockdowns .
Flood mitigation
The high rainfall and flooding throughout the Murray Darling Basin have cast further uncertainty over the yield potential of the 2023 crop . Normally at this time of year the ABA releases its first crop estimate for the new season . Some areas in the Riverina have been saved from orchard flooding but have had to either boat or fly in staff to operate their properties such as been the extent of the flooding on roads and local services . There are also pockets of orchard flooding that will result in tree deaths , but in the main it appears that keeping irrigation and other infrastructure above water levels and still connected to the power grid has been the biggest challenges during the big wet . As a result of ongoing challenges , the first 2023 crop estimate will be delayed until next month to allow time