Published on : Jul 29, 2014
Demand for beverages and high value foods in Asia are driving the food and beverage industry in New Zealand. Also there is high demand for dairy products, seafood, meat and processed foods in the Asian economies which fuel the give an export boost to the economy of New Zealand.
Asia has a rapidly growing market for food which in turn is highly beneficial for New Zealand’s export market. The demand for dairy nutritionals, innovative foods and infant formula mainly comes from East Asian economies and China. Also, there is a growing market for New Zealand’s high-value food category exports like avocadoes, beer, chocolate, honey, alcoholic spirits, chilled salmon and sparkling wine.
It has also been observed that due to factors like high incomes, branded luxury and conspicuous consumption there exists significant demand for wines in Southeast and East Asian economies.
In the global market for wines, France holds maximum share in the market. On a comparative note, it was inferred that New Zealand can match up to the standards of France when it comes to wine production but that would entail higher investment in new product development, innovation and marketing in all of Asia.
Furthermore, New Zealand needs to diversify the products in the global wine market.
According to the primary industries minister of New Zealand, the total revenue generated by wines and other categories of food products is about NZ$1billion. For New Zealand, the growing export markets for processed foods, aquaculture, honey and avocadoes are East and Southeast Asia.
The government of New Zealand has invested significantly in the food and beverage industry to drive diversification, innovation and productivity in the area of exports.