ALGA Production and Tree Survey

(Option 1) The 2018 Lychee Production & Tree Survey is included in the October Living Lychee.

(Option 2) The 2018 Lychee Production & Tree Survey will also be forwarded to growers via a Survey Monkey.

Growers have a choice of completing either Option 1 or Option 2, so long as one Option is chosen and returned to ALGA. The Survey Monkey (Option 2) will remain current with auto reminders to growers every few days until it has been completed or until Option 1 has been returned to ALGA.

One of the industry’s main objectives in the 2012 Strategic Investment Plan (SIP) was to achieve an average farm-gate price of $7 per kilo by 2017. This objective was achieved much earlier than originally anticipated with returns to growers increasing in the past 4 years. Industry believes that this trend will continue with the increased interest and demand for fresh lychee from domestic and export markets.

Outcomes that the industry would like to achieve by 2021 (SIP 2017-2021) are:

Outcome 1: Increased capacity and productivity meets growing international and domestic demand.

-The Australian lychee season coincides with the Lunar New Year. If export opportunities to the United States are realised and market access to China is obtained, demand could significantly outstrip current production. To ensure the industry can reliably deliver product to these markets, it is expected that production will need to increase by 50 per cent by 2021. To achieve this level of growth there will be a need for productivity improvements, additional tree planting and the attraction of new growers to the industry.

Outcome 2: Increased domestic demand improves price stability and industry attractiveness.

-Domestic consumption has been increasing with penetration, average spends and purchasing occasion increasing by nearly 20 % in the last 12 months. While exports could potentially provide the most significant opportunities for growth, a healthy domestic market is also required to help maintain price stability and to increase the attractiveness of the industry to potential growers. Marketing initiatives underpinned by quality lychees will help to ensure that domestic demand continues to grow.

Outcome 3: Increased market access and export development improves returns to growers.

-Exports are the lychee industry’s biggest opportunity for growth, profitability and sustainability. Export market diversification is a desired outcome to ensure price and demand stability for growers. Market access to China is an aspirational goal which could dramatically increase demand and prices. While China is the largest opportunity, market access to the United States is a significant new opportunity that needs to continue to be prioritised. By 2021, the lychee industry would like to increase exports to over 50 per cent of production from current levels. If plans for export are realised, and domestic demand continues to increase, the industry expects average prices to increase by $3 per kilogram to $10 per kilogram by 2021.

The data from this survey will assist the lychee industry in achieving these 3 outcomes.