What the World Wants from Australian Wheat. Dr Ken Quail General Manager Technical Services

Transcription

1 What the World Wants from Australian Wheat Dr Ken Quail General Manager Technical Services

2 The Study Joint funding from GrainGrowers and DAFF Desk Top study Customer interviews Domestic market International buyers/users Stakeholders report Branding

3 Project Objectives Identify changes since deregulation Describe customer attitudes Identify market trends Listen to customers and provide feedback Develop a generic promotion platform

4 Customer Survey Australia - 13 companies International Markets - 31 companies South East Asia North Asia Middle East Italy Survey and interview Company background Wheat supply Wheat requirements Technical support

5 Domestic Industry Wide range of purchasing options they have control of purchasing Support for classification system Quality assurance and traceability Concerns expressed over on farm storage

6 Asian Foods Australian wheat is preferred for the production of traditional Asian foods Noodles Chinese Steamed buns Dumplings Flat breads

7 Benefits of Australian Wheat White seed coat mills to produce whiter flour with less visible bran specks Low moisture good value and good for storage Flour colour makes bright creamy noodles and white bread Colour stability noodle colour remains constant Noodle texture APH proteins and ASWN starch properties

8 Things to Improve Continuity & consistency of supply The mills have customers too! Real costs in storage and blending Bread making quality US & Canadian wheat used in preference

9 Things to Watch Cleanliness foreign material and screenings on the increase Containers variability within and between shipments standards Pesticide residues Logistics moving wheat to port & port congestion

10 Other Factors Export standards defined, communicated and enforced Information not considered adequate US Wheat Associates benchmark Competition is good but it can be confusing Technical support not considered adequate US and Canada benchmark On-farm QA driven by domestic market Genetically Modified Wheat

11 Market Comparison Japan Indonesia Bread Noodles Cake Home Other Con: 45 kg/hd/yr Pop: 127 million Tot con: 5.4 million tonnes Bread Wet Noodle Instant noodles Biscuits Home Fried Food Con: 18 kg/hd/yr Pop: 243 million Tot con: 5.1 million tonnes

12 Japan Australia 19% of market, approximately 1 MT APH and ASWN Premium market USD 0.35 billion Japanese Govt controls wheat purchasing and pricing Deregulated purchase of APH Substitution with US Northern Spring Expected to deregulate remaining wheat supply Domestic supply GM Food safety

13 Indonesia Approximately 50% market share 2.3 MT APH2, AH2, APW and ASW - USD 0.5 billion Open trade -one company with over 50% market share Australia has a major freight advantage Bakery represents growing consumption and higher value GM Food Security

14 Recommendations Payment for quality send clear messages to grain producers Variety declaration and testing Crop production & quality information Grain Certification programs to give markets confidence Technical exchange to develop markets Promotion maximise the value of Australian wheat

15 The Australian Wheat Brand A trustmark representing quality, certainty and safety Integrity of Australian wheat grades Increase the proportion of Australian wheat sold to high value markets Clean, White and Dry

16 Generic Promotion

17 Take Home Message There will be a strong and ongoing demand for Australian wheat Target high value markets The right quality - matching expectations Consistent delivery Effective information and technical support A new wheat brand to drive product and service improvement

18 Acknowledgements Work on What the World Wants from Australian Wheat is a jointly funded project of : GrainGrowers and the Department of Agriculture, Fisheries and Forestry Thank you Coauthors: Prof Gordon MacAulay, Dr Michael Southan, Georgie Aley and Olivia Avis More information can be found at by downloading What the World Wants from Australian Wheat: Update 2010.