Corporate investors would soon be looking with greater interest at Sunraysia’s dried fruit sector, centred on Mildura, according to the head of the industry’s peak body.
Dried Fruits Australia chairman Mark King said processors such as Sunbeam and Australian Premium Dried Fruits were “scrambling” to secure supply.
And he said the arrival of Murray River Organics, marked a shift from smaller producers.
“From the dried fruit point of view, more than 1820 hectares (4500 acres), that’s unheard of in our industry in anybody having that much dried fruit; if you had 80-120ha (200-300 acres) you were a large grower.
“The corporates are moving in to the dried fruits industry, which hasn’t been the case before.
“That’s the way it turns, wine grapes were great, they went down, table grapes are at their peak at the moment, almonds are somewhere at their peak, and I just hope I live long enough to see dried fruits at their peak,” Mr King, of Wentworth, NSW said.
Sunraysia already produced more than 90% of the nations dried fruit and contributed over $2.3 billion in gross regional product.
Mr King said the dried fruit industry looked very healthy, with some of the highest prices ever achieved by growers. “It’s got pressure on it at the moment, other industries are looking to expand and a lot of our growers are aged growers, so if they want to get out, there are opportunities for both almond and table grape growers.
“Some are taking that opportunity, and leaving the industry.”
He said Australia consumed about 40,000 tonnes of dried fruit – sultanas, raisins and currants – a year, but produced 20,000 tonnes.
Half of that was exported and the rest went into the domestic market. “You’re never going to have trouble getting rid of your dried fruit, processors are scrambling to get supply, they are scrambling to get your fruit.”
He said while some growers were thinking of getting out of the industry, it was still expanding.
“They can sell the land, or just keep it, and get rid of the vines,” he said. “I bought my next door neighbours place and that’s they way the industry will expand, properties being brought by neighbours.”
The corporates are moving in to the dried fruits industry, which hasn’t been the case before.
- Mark King, Dried Fruits Australia chairman