Big cost of cherry export disaster offers N.Z. lesson

Press, 26 February 1986, Page 20

Big cost of cherry export disaster offers N.Z. lesson

By

ALAN GOODALL

NZJN Tokyo The first attempt to open an export market for New Zealand cherries is estimated to have lost Japanese importers 35 million yen ($350,000.) The importers yesterday charged New Zealand cherry shippers with being too greedy for profits and shipping too late.

They complained that cartons of perishable fruit, some of it already decaying, arrived in Tokyo on the eve of long holidays. However, they agreed that if New Zealand had learned from the "cherry disaster” it might succeed at a second attempt. The failed exports have embarrassed New Zealand’s official representation in Japan, led by the Ambassador, Mr Roger Peren, who got an appointment with the Japanese Prime Minister, Mr Nakasone, specially to present a gift of New Zealand cherries.

The cherry disaster of Christmas is being investigated by the New Zealand Embassy in Tokyo which is still to release a report. Tokyo fruit traders are less reluctant to speak out — and their comments are uniformly criticial of the New Zealand industry. The Japan Fresh Produce Import Trade Association, known as Nisseikyo, is considering a report from an investigating expert who returned at the week-end from New Zealand.

Nisseikyo represents the four firms that imported about 18 tonnes of New Zealand cherries in December-January. New Zealand had planned to send about 100 tonnes but importers stopped the ■trade.

Nisseikyo’s secretarygeneral, Mr Kazu Osada, estimated, that the .17 tonnes imported in seven air shipments cost Yen 70 million ($700,000.) Importers lost betwen 30 and 40 million yen ($300,000 to $400,000.)

Mr Osada said New Zealand growers wanted too much money. They figured that because Japan has no cherries in winter, consumers would pay enormous prices. The first cargo landed on December 19 costing $47.50 a kilogram including insurance, freight and custom charges. The second, two days later, .cost $5O and a third the next day, $3O.

“Even American cherries cost only $5 and sometimes $3,” he said. “People will not pay too much.”

A Tokyo importer, Mr Hitotsugu Chikazawa, said he was amazed when a New Zealand exporter asked for $lOO a kilogram.

“Nobody can move cherries at that price,” he said. “The price was simply too high.” Quality is the second complaint of Mr Chikazawa, senior executive of Sumisho Foods.

"The first cargo arrived in good condition, but the second was bad,” he said. “The last shipment we took contained decayed and mouldy fruit.”

Mr Minoru Matsuura is another leading Tokyo importer shocked at the price and quality of the New Zealand experiment. “The most expensive fruit in Japan is the musk melon, selling about $25 a kilogram,” he said. “But these New Zealand cherries were even dearer than musk melon.

“Everyone was so excited about these first

cherries coming in mid- d winter. Too excited. They 1 expected too high a 4 price.” Mr Matsuura, who re- J presents Tokyo Seika < Boeki, a leading trader, -i 'said the Japanese side o also lack experience with " out-of-season cherries. d

“I am not happy with this experiment. We lost h money because costs were too high,” he said. ■<

“If New Zealand is to - establish a market for cherries, we will have to talk this thing through. I: will go down to meet growers and shippers in ' April or May. If we can come to better arrangements, I will try again.” Mr Osada, who co-ordi-nates the buying side through Nisseikyo, urged f .New Zealand to consider carefully the time of shipment Cherries must ar- ; rive by Christmas to be * .saleable before the long ’ New Year holiday season, he said.

Several air cargoes had arrived just before the markets closed for holidays and one came after the festival season when consumers had already lost interest

AU importers agreed that a second attempt should be made to crack Japan’s winter cherry market/ To prevent a second cherry disaster they warned that growers would have to be more price realistic and more careful with quality and • shipment times. — Copyright, N.Z. Japan News.