marketing More room to grow
There’s lots of optimism for blueberry industry’s future even as global production and competition increase. By Tamara Leigh
F
or the past decade, the blueberry market has been growing steadily, with acreage expanding rapidly
across the LowerMainland. British Columbia has emerged as one of the largest blueberry producing regions in theworld, and despite projecting a steady downward trend in prices, veteran berrymarketing consultant John Shelford says blueberry production andmarkets still have room to expand. “My personal opinion is that there is a
lot of growth left in the business. As health costs go up, people are becoming more aware ofwhat they eat,” he says. “The growers are going to have to rethink howthey sell. They don’twant to leave any pennies on the table.” “We’re starting to see a corporate
mentalitymove into playwhere growers are looking at their cropsmore like a portfolio – they don’t need to have maximumprice every year, the just want a good return on investment, day in day out. That’s not typical ofmost berry growers,” he adds. Shelford emphasizes the importance
of growers knowing their cost of production, andmaking smart investments to ensure high-quality crops for the lowest possible cost. The key to success in the current environment is keeping a strong focus on profitability andmarketing, both in terms of driving domestic demand and opening newmarkets. “We are all here today because of
profitability. Since 2000,we’ve seen almost nobody go out of business, but don’t be lulled to sleep, guys. As the blue wave crests, our average pricing is going to trend downwards. Youmust think about howtomaintain position as a low-cost-per-pound producer.” Being a low-cost producer requires substantial upfront investment,
10 British Columbia Berry Grower • Spring 2014
Blueberry council executive director Debbie Etsell with B.C. trade
representatives Chat Patil, left, and Dawood Shakir, right, at 'Annapoorna – World of Food India,' one of that country's largest food and beverage industry exhibitions.
particularly in the Canadianmarket, where labour and land costs are significantly higher than in other growing regions. “The lowest-cost producers are often
the highest-input producers. You need to buy the best varieties and irrigation for plants, and haveweed and horticultural controls in place,” Shelford says, emphasizing that variety choice will be increasingly important asmore berries come on themarket and consumers becomemore sensitive to
flavour. “The growerswith the resources to do
it right are the oneswith the highest inputs and the lowest cost per pound. If you care about profitability keep developingmarket investments and become a low-cost producer.” On themarketing side, Shelford
attributesmuch of the current success of blueberries to the industry’s investment in awell-organized public relations programthat allowed it to communicate health research quickly
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16