SOUTH Australia will actively pursue the Asian market for export of its crisping and seed potatoes.
Outcomes from a Potatoes South Australia in-market supply chain analysis into the market potential in Malaysian and Thailand were delivered at an event in Adelaide last week.
The industry body received $35,000 through the SA Department of State Development in addition to $10,000 committed by Primary Industries and Regions South Australia and $15,000 through the South Australian Potato Industry Trust to explore the business possibilities between the state and Asian nations.
Potatoes SA CEO Robbie Davis said the report made clear that a coordinated approach would benefit the industry the most.
"What we want to do is look at certain markets were our product, our potatoes, are actually the ones which are acquired by these markets, not the ones we think they need," Ms Davis said.
"We realised that if everyone gave a little bit, collectively, the result would be much better."
Ms Davis said Thailand was identified as a market for both seed and crisping potatoes, while Malaysia has a demand for crisping potatoes.
Also coming through the analysis was the importance of marketing on the quality front, not price.
"We know we can't compete on price with those markets but we are the best in the world and they want premium quality," Ms Davis said.
SA minister for agriculture, food and fisheries Leon Bignell was at the recent celebratory event and agreed the region's high profile potato reputation should be at the forefront of making Asian inroads.
"Premium is where we need to be. We're not going to compete on price, but we are going to compete on coming from a State where we have some of the toughest regulation in the world," Mr Bignell said.
"We want to grow as a State, we want to create more jobs. We think that there is already one in five people who work in South Australia employed by the agribusiness sector.
"We think in agriculture is where we are going to back winners."
SA minister for investment and trade Martin Hamilton-Smith said the growth markets were identified in a Federal Department of Agriculture report entitled Export Strategy for Australian Potatoes 2014-2019.
"The program’s goals will align the ASEAN region’s demand for quality produce with the supply of potatoes, the world’s fourth largest traded commodity, from SA," he said.
“This project will involve supply chain mapping to provide intelligence for Australian producers and exporters for the development of long term export plans.
"It will also involve Asian market mentoring, where Thailand and Malaysia market specialists will provide ongoing cultural, business and regulatory support."
South Australia is the nation’s largest producer, with farm gate production worth more than $206 million.
Ms Davis said the next step will be to write a strategy from the outcomes.
