According to a new Rabobank report, global demand for Zespri kiwifruit is forecast to rise to 300 million trays by 2028. To keep up with demand, the report said significant investment would be required in the post-harvest segment (PHS) to boost production capacity in the years ahead.
As this would result in major capital expenditure, kiwifruit growers were urged to ramp up capital planning discussions with PHS providers and banks. The report, The Time for Capital Planning is Nigh – Funding the Expansion of New Zealand's Kiwifruit Post-Harvest Infrastructure, was written by Rabobank senior horticultural analyst Hayden Higgins, who outlined what New Zealand growers would have to do to meet this demand.
"The production of New Zealand-grown Zespri kiwifruit will need to increase to around 225 million trays over this period with the balance coming from Zespri's global supply programme grown under licence outside of New Zealand."
The required lift in production of New Zealand-grown kiwifruit represented a 46 per cent increase on 2019 volumes, Higgins said. "While the industry is currently doing everything it can to optimise existing infrastructure and expand production capacity, Zespri indicate they expect between $700 million and $750 million of capital expenditure will be required to handle 225 million trays of kiwifruit by 2028."