PMAC weekly update 6th to 13th May

1. Government agencies: ICPR Changes; Another fruit fly found in NorthcoteClimate change research funding on offer ; First confirmed myrtle rust case on West Coast; WTO Notifications

2. New Zealand News: Bilateral relationship with China; Progress on the Governments trade policy; Strong Asian market for New Zealand apples; Radfords brings technology to the market floor; Early fruit challenges Seeka; Seeka updates early guidance after lower than expected crop yield; Apple growers dodge Brexit bullet; Labour inspectors visiting Bay of Plenty kiwifruit businesses; Hi-tech CA boosts growers revenues; Research & Development Tax Incentive; Updated | Privacy Bill; Common fruit flies in Australia developing resistance to insecticides

3. International news: GAIN reports; European growers and agri-cooperatives join

European election debate; Hong Kong: Pesticides found in organic vegetables; US escalates trade war amid negotiations; Comment on Kenya from the chief editor of the Economist; Air cargo faces headwinds; The Best Vegetable Restaurants of the World; China: Fruit imports exceed exports for the first time; JD.com unexpectedly leaves Australian scene; More fruit and vegetables, less burden to Earth; USA: Number of food recalls down; US: FDA states that unannounced testing of frozen berries will help prevent illnesses; Canada: E. coli outbreak linked to romaine lettuce caused death of two-year-old child; Website lends support to organic growers; The health benefits of green peas; Ozone reduces the risk of foodborne pathogens in overseas shipments; Edible protein coating on perishables as a solution for food waste

Editors Comments The number of articles that refer to the International trade environment are higher than usual in this weeks update. There are summaries of two speeches delivered by Minister Parker . One on New Zealand’s relationship with China and the other on the progress under the Government’s Trade policy. If you are interested in the Governments approach both are worth reading. Not surprisingly both talk about increased protectionism and reduced expectations for world trade.

On a more positive note there are reports about the high demand for New Zealand apples in Asia and the potential for growth in the Kenyan economy. Also for those who are looking to invest in research MPI has just opened its fund for Climate Changes Research and the Government is soon to consider legislation that will provide tax relief for those organisations that invest in research provided by recognised organisations. .

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Of interest in the Food safety space is news of the US Government’s testing frozen berries to establish the level of risk posed by this category and news on the EU’s Regulation on Transparency in Food Chain Risk Assessments( a Gain report)

1. Agency news

1.1. ICPR changesThe ICPR for Malaysia has been updated with the addition of the port of Kota Kinabalu as an approved port and some additional detail about other ports already approved for imports. Importing Countries Phytosanitary Requirements (ICPRs)

1.2. Another fruit fly found in Northcote Another Queensland fruit fly has been found within the current Northcote controlled area, bringing the total to 8 over the past 3 and half months. Biosecurity New Zealand is stepping up it’s on the ground efforts in the suburb, and will begin placing bait on fruit trees to attract and kill adult flies, in particular females.

The current restrictions on the movement of fruit and vegetables remain in place, and trapping and the collection of fallen fruit in some of the controlled area will continue, says Biosecurity New Zealand spokesperson Dr Catherine Duthie. “While it is concerning there has been another detection, it still doesn’t tell us that there is a breeding population. What it does is raises the potential that Queensland fruit flies remain in the area, albeit at very low levels.”

The latest finds will mean an expansion of the B Zone in Northcote; and the establishment of a new A Zone with a radius of 200m around the new detection, along with the associated restrictions on the movement of fruit, vegetables and green waste. The controlled area of 1.5 km will be expanded toward the west from the latest detection

“Our teams on the ground will continue removing fallen fruit from backyards in the A-zone, and placing bait on fruit trees,”. “The bait is made up of a protein to attract adult fruit flies, and a very low concentration of insecticide to kill the flies. It’s similar to how people bait wasps in their backyards.” “The baits are toxic to fruit flies. We have taken every precaution to make sure the baits are safe around people and animals.”

Detailed maps of the controlled areas and a full description of the boundaries, and full information about the rules are at: MPI Fruit fly webpage 

1.3. Climate change research funding on offer

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MPI is calling for applications to the 2019-2020 funding round for the Sustainable Land Management and Climate Change (SLMACC) Research Programme. Each year’s funding prioritises one or more research theme topics. For the 2019-2020 round these are:

Research Theme 1: Impacts of climate change and adaptation Research Theme 2: Extension of climate change research

Applications must be received by 3pm on Friday 14 June 2019. Projects can run for 1 or 2 years.Full article available here

1.4. First confirmed myrtle rust case on West CoastMyrtle rust has been detected for the first time on the West Coast on a young pōhutukawa plant, on a commercial property in Greymouth. The fungus has been spreading rapidly across New Zealand since the first case was identified in 2017. "To help us monitor the impacts on our precious myrtles in our national parks and reserves, MPI is asking for everyone to keep an eye out for myrtle rust and report it on inaturalist.nz . Monitoring may identify natural resistance to the disease in some plants which would then allow us to mitigate the impacts in the longer term." Full article available here

1.5. WTO Notifications Please find attached the most recent WTO notifications from countries that are considering changes to their plant import requirements for specific products. If you have any concerns about the notifications being presented please contact Plant.exports@mpi.govt.nz so that they can potentially make a submission to the notifying country. Changes notified over the last week include:

Chinese Taipei regulations for the import of Growing media used for plant planting and Plants, plant products and other regulated articles

The embedded file for the last week (which has links through to the original

notifications)is available here

2. New Zealand News

2.1. Bilateral relationship with China

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This article provides a summary of the Trade Ministers speech to the China Business Summit, 2019. It refers to his trip to China and talks about the importance of New Zealand’s relationship with China.

His visit had three key objectives: To learn more about the Belt and Road Initiative to identify opportunities for

mutually beneficial and transparent cooperation; To support New Zealand businesses with an interest in China; and To engage with senior Chinese political and business leaders to advance issues

that matter to both countries.

The Minister talks about the places he visited and meetings held. Inclded in this section are specific mention of engagement with an Alibaba company and JC.com and their promotion of New Zealand Food and Beverage.

Part of the speech covers the Belt and Road Initiative . He notes President Xi said that China wants to pursue an open, green and clean BRI and that, in pursuing BRI cooperation, implementation should be transparent with zero tolerance for corruption. President Xi also wants to broaden the BRI to look at other aspects, such as how they can improve their business environment. China is making successful efforts to improve its World Bank Ease of Doing Business ranking.

With the Belt and Road Initiative being broadened beyond infrastructure to include a much wider range of policy initiatives, it should be easier for us to identify areas of common interest. We can then include some of these in our Belt and Road work plan. It was clear, within China’s dynamic and changing environment, the New Zealand story, focused around provenance, product authenticity and product integrity resonates strongly with the new Chinese consumer.

The speech also covers the uneasy global trading context and finishes by noting that Global growth is projected to slow from 3.6 per cent in 2018 to 3.3 per cent in 2019, before picking up slightly to 3.6 per cent in 2020. Trade disputes between the US and China are part of this broader geopolitical context. But, within our region, the balance of risk and opportunity remains. The overall prosperity of the Asia-Pacific region is real. It is growing, and it is of great benefit to New Zealand.

The balance of the article refers to increased international protectionism and concludes by saying we need to maintain and grow our relationship with China Full article available here

2.2. Progress on the Governments trade policy A second speech by the Minister of Trade and Export growth is titled “The state of New Zealand trade policy” . It was delivered to the New Zealand Pacific Economic Cooperation (NZPECC) AGM, in Wellington.

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The Minister provides an overview of the current trading climate and the threats to gobal stability. He notes that After apparent recovery in the last few years, which saw global growth peak at close to 4% in 2017,  the IMF has recently downgraded its global growth forecast three times in the last year– now to just 3.3% over 2019.  Political uncertainty around Brexit, global trade tensions, and softened global demand undermine Europe’s outlook while China’s growth is also expected to level off through the year. Trading figures with the IMF expecting a 0.4 percentage point drop in trade growth (from 3.8 to 3.4) over 2019.    

In the last two years we have seen the highest increase since 1995 in protectionist measures – a 30% increase.  Four hundred measures in the first six months of 2018.  Taking the broader definition of Non-Tariff Measures as a whole, all regulations in Asia Pacific Economic Cooperation (APEC) countries alone increased by 74%, from 814 in 2004 to 1414 on 2015 according to research from NZIER. The cost to New Zealand exporters of these NTMs was US$5.9 billion. 

In this more challenging environment, an active and successful trade policy is indispensable for a small open economy such as New Zealand.  So how is our trade policy doing? As I touched on last year, and outlined in greater detail in a recent speech to ANZ Capital Markets in March, our strategy is built around six elements.

1. Defending the rules-based system, centred in the WTO that is so crucial to New Zealand;

2. Embedding New Zealand in the emerging regional economic architecture; 3. Supporting regional and global public goods: this means organisations like the

OECD, APEC and the Commonwealth.  I want to come back to APEC later in this speech;

4. Advancing the concept of ‘flexible and open negotiating arrangements’; 5. Developing a Trade for All agenda in consultation with New Zealanders; and 6. Intensifying what we call our ‘Economic Diplomacy’.

The speech systematically looks at the progress made against this strategy notes that he expects recommendations from his “Trade for All” task force later this year, considers progress made and underway with our FTA’s and then talks about China’s Belt and Road Initiative and finally the importance of APEC. Full article available here

2.3. Strong Asian market for New Zealand applesNew Zealand apple producer Golden Bay Fruits is nearing the end of this season’s harvest. Patrick Mielke said. “We have a good quality crop, great taste and with good brix levels brought on by a dry summer, this has also meant that sizes have been a bit smaller than normal though. The actual volumes from New Zealand will be around 10% less than originally estimated.”

The first New Zealand apples are starting to arrive in Europe and according to Patrick initial feedback is positive. “It is early days and domestic apple stocks in Europe have

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been high, but there are always customers who prefer new season fruit from New Zealand.”

The Asian market has been strong, especially for the bigger sizes. Golden Bay have sent 11 containers of their Cherish apples there this season, a big increase compared to one container last year. They expect to increase this to 50+ containers next season when the trees come fully into production. We have sent the apples to China, Vietnam, Thailand, Malaysia, Taiwan and Singapore.” Last year we opened our Singapore office which is going very well and helping to build our brand in South East Asia. Full article available here

2.4. Radfords brings technology to the market floorRadfords Software, a fresh produce software provider in New Zealand, has secured a contract with Australia's Red Rich Fruits which will see its proprietary FreshPack system integrated into a central markets' environment for the first time.The technology will consolidate and capture critical information by tracking the live movement of product between all locations which supply the wholesale markets in two states and supermarket chains direct from two distribution facilities."There are more than 700 businesses alone at the Sydney Markets, mostly taking records by pen and paper for manual data entry. We're bringing technology to the market floor in a useful form. Operators will use tablets to record and capture live information."The Red Rich Fruits' project objectives included saving time and money, improving accuracy and boosting traceability. ".Full article available here

2.5. Early fruit challenges Seeka Seeka is well through its SunGold kiwifruit packing and reports the season is challenging due to a long, hot and dry summer. The weather has meant fruit maturity was bought forward, however early softening was a risk for some fruit according to Michael Franks, Chief Executive of Seeka. The company has completed about 70 percent of the SunGold work. Mr Frank stated that the company struggled initially as many seasonal workers were still doing other work in Hawke’s Bay leading to a labour shortage. Seeka will know in the next four weeks or so how the overall harvest season is stacking up and the timing should fit in with more detail on the sale of remaining Northland kiwifruit blocks, which are being sold with long-term agreements to supply the group’s packing business.Full article available here

2.6. Seeka updates early guidance after lower than expected crop yieldSeeka Limited updates the market on current year guidance, following lower than expected crop volumes across Australia and New Zealand. The effect is industry wide, and reflects unseasonably hot and dry growing conditions which have led to a smaller size profile and total crop volume in both Australia and New Zealand.

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In New Zealand now that Seeka has packed approximately 97% of its expected SunGold harvest, and has packed approximately 33% of its expected Hayward, and accordingly is in a better position to estimate the full year earnings. Based on the volumes to date, the company now estimates that the full year crop packed by Seeka will be 8.3% on average lower than its pre-season estimates.

Seeka advises that it continues to negotiate the sale of the remaining Northland orchards with secure supply arrangements in place. It expects to complete and settle those sales within the current financial year. Any further sales may have positive upside to earnings and the market will be updated as sales occur. Accordingly, the Company advises that it expects to complete the year within its debt policy of net debt between 1.5 times and 2.5 times EBITDA. Full article available here

2.7. Apple growers dodge Brexit bullet Apple exports have dodged the Brexit bullet with British Prime Minister Theresa May buying further time until the end of October to get backing for her plan. However, Hastings-based Mr Apple Chief Executive Andrew van Workum says any hold-ups will come too late to disrupt New Zealand apple exports and that they will have well and truly cleared British customs by the end of October. Most apple exports are landing in late September and early October. Full article available here

2.8. Labour inspectors visiting Bay of Plenty kiwifruit businesses Labour inspectors are visiting Bay of Plenty kiwifruit orchards this week to make sure workers are being paid at least the minimum wage as well as looking to see employers are keeping accurate and complete records displaying their compliance. Inspectors are from the Ministry of Business, Innovation and Employment. Labour Inspectorate Regional Manager Kevin Finnegan said the inspections were part of a regular visitation programme. Those in breach can be fined up to $50,000 with companies being fined up to $100,000. Last year a Bay of Plenty company was ordered to pay more than $30,000 for failing to pay the minimum wage and illegally deducting money from a worker. Mr Finnegan reports that employers are expected to get the basics right Full article available here

2.9. Hi-tech CA boosts growers revenuesClever new technology that elevates cool rooms into a state-of-the-art controlled atmosphere chambers is helping growers from Hawke’s Bay make the very best of their crops.It is not just about chilling fruit, it is about controlling the air conditions inside the cooler to hold it in the best possible state until market conditions are optimal; which could be any time over the 12 months after the crop has been picked.

The system essentially puts the fruit into a state of suspension. "Fruit breathes in a similar way to us, drawing in oxygen and expelling CO2. By carefully managing those two elements, we can effectively put the fruit into a state of hibernation,"

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Two of the critical moments in fruit growing that have a major impact on sales and therefore income, are choosing harvest time and then being in a position to choose the time to go to market.Hillmac had installed 42 CA rooms at two sites in the Hawkes Bay . ""Using it means that when you put your fruit into your cool room in its optimal state, just off the tree, you can be confident that when the best time comes to sell it, it will be in a condition that is vastly superior to cool room-only fruit." Full article available here

Bits and pieces

2.10. Research & Development Tax Incentive This year the Government is working to introduce a new tax incentive for businesses conducting research and development, the research and development tax incentive  (RDTI). The RDTI will give businesses a 15% tax credit if they spend a minimum of $50,000 per year on eligible R&D. Businesses spending less than $50,000 may still be eligible, so long as they are using an approved research provider to carry out their R&D. The Taxation (Research and Development Tax Credits) Bill is about to go before Parliament for its Second Reading. If passed into law, the RDTI will take effect from the beginning of a business’s 2019/2020 income year. Learn more

2.11. Updated | Privacy Bill Parliament is currently considering the Privacy Bill. The bill repeals and replaces the Privacy Act 1993, as recommended by the Law Commission's 2011 review of the Act. Upcoming changes to NZ privacy law will mean businesses and organisations need to rethink how they collect, process and use the personal info of New Zealanders. Learn more here

Biosecurity

2.12. Common fruit flies in Australia developing resistance to insecticidesNew research has found that fruit flies in temperate parts of Australia are becoming resistant to common insecticides. The study, led by academics from the University of Melbourne found fruit flies living in the south eastern part of the country -including Victoria, New South Wales and parts of South Australia- were evolving resistance to the effects of common sprays. It found fruit flies living in temperate areas were also better at resisting insecticides than those living in more tropical areas.Full article available here

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3. International news

Comment 3.1. GAIN reportsGain reports are from the “Global Agricultural Information Network” and are produced by the USDA. They are designed to provide timely information on the economy, products and issues in foreign countries that are likely to have an impact on United States agricultural production and trade. The information in them is written for USA exporters but the majority is equally relevant to New Zealand. With regard to import regulations for a particular market New Zealand exporters should first check the countries ICPR on MPI’s web site. These are collated specifically for New Zealand product. However the Gain reports often provide additional information that is useful e.g. on grading and labelling, economic profiles. This week see:

a) Angola Country Report This report documents Angola’s technical policies, practices, and import requirements for food and agricultural products. Food and Agricultural Import Regulations and Standards Report_Luanda_Angola_4-30-2019

b) Bangladesh Export Certificate Report 2018This report contains major export certificates that the Government of Bangladesh (GOB) requires Food and Agricultural Import Regulations and Standards Report_Dhaka_Bangladesh_5-2-2019

c) Chile Apples, Fresh, Grapes, Table, Fresh, Pears, Fresh 2019 Fresh Deciduous Fruit Semi-annual_Santiago_Chile_4-24-2019

d) Costa Rica Country Report This report outlines Costa Rica’s requirements for food and agricultural product imports. Food and Agricultural Import Regulations and Standards Report_San Jose_Costa Rica_5-2-2019

e) EU Adopts Regulation on Transparency in Food Chain Risk Assessments During its last plenary session in April 2019, the European Parliament has adopted the draft regulation to increase transparency and sustainability of risk assessment in the food chain.   EU Adopts Regulation on Transparency in Food Chain Risk Assessments_Brussels USEU_Belgium EU-28_5-6-2019

f) France announces end of glyphosate use by 2021  Additionally he announced that France plans to cut pesticide, insecticide and fungicide usage in half by 2025.    France announces end of glyphosate use by 2021 _Paris_France_5-2-2019

g) Germany Retail FoodsGermany is by far the biggest market for food and beverages in the European Union.   Retail Foods_Berlin_Germany_5-2-2019

h) Italy Export Certificate Report Italy, as part of the European Community, has implemented EU regulations for the import of products of animal and plant originThe few products not yet harmonized are subject to Italian national regulations.   Food and Agricultural Import Regulations and Standards Report_Rome_Italy_12-18-2018

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i) Pakistan Exporter Guide Pakistan is a growing market for imported food products since the retail sector is growing. Pakistan has become one of the top 20 markets for U.S. food and beverages products, and the United States is the second leading agricultural supplier in the world. Exporter Guide_Islamabad_Pakistan_5-6-2019

j) Tanzania Export Certificate Report The report specifically provides information on Government of Tanzania (GoT) required certificates for exporting food and agricultural products to Tanzania.   Food and Agricultural Import Regulations and Standards Report_Dar es Salaam_Tanzania_5-3-2019

Regulatory

3.2. European growers and agri-cooperatives join European election debateThree weeks ahead of the crucial European elections, EU farmers and agri-cooperatives, represented by Copa and Cogeca, are launching their manifesto entitled WeFarm4EU, encouraging the whole European farming community to raise their profile and to vote. In a tense European and international political climate, agriculture is a solution to many key social, political, environmental and economic challenges. For the Brussels-based organisations, Copa and Cogeca, a strong Europe cannot move forward without strong agriculture.

For the past 60 years, the Common Agricultural Policy has been the glue that holds the European project and agriculture together. The level of ambition that the future Commission and Parliament show towards European agriculture will be a good indicator of the strength of the European project, as well as the unity of the Member States.”

The manifesto presented by Copa and Cogeca depicts the central role played by farmers and agri-cooperatives, their ambitions and the measures necessary to achieve these objectives. It focuses on four key issues: the future of the sector (WeFarm4Future), the sector’s role in protecting the environment (WeFarm4Planet), in boosting economic growth (WeFarm4Growth) and in ensuring territorial dynamism (WeFarm4Community).Commenting on the next steps, Mr Pesonen said, “Shortly after their election, future MEPs and Commissioners will have to work on fundamental policies for the future of agriculture which go beyond the CAP. Full article available here

3.3. Hong Kong: Pesticides found in organic vegetablesMore than 7 out of 10 samples of the vegetables sold in Hong Kong markets have tested positive for pesticide residues, says the Hong Kong Baptist University. The university’s Hong Kong Organic Resource Centre collected 60 samples of locally and mainland-grown choi sum, Chinese white cabbage and Chinese spinach from wet markets, organic stores and organic farms in 17 districts of the city between September and November 2018.

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43 of the samples, or around 72 percent, contained pesticide residues. Some of those samples with pesticide residues were either certified by mainland authorities or being sold as organic vegetables.Of the 43 pesticide-tainted samples, 35 were found to have exceeded European Union pesticide residue standards, including all of the supposedly organic vegetables. Full article available here

3.4. US escalates trade war amid negotiationsThe United States escalated a tariff war with China on Friday by hiking levies to 25% for $200 billion worth of Chinese goods in the midst of last-ditch talks to rescue a trade deal. But even as Beijing threatened retaliation, negotiators in Washington agreed to stay at the table for a second day, keeping alive hopes of an eventual agreement.

US president Trump, has said he would start the “paperwork” on Friday for 25% duties on another $325 billion in Chinese imports. In Beijing, China’s Commerce Ministry said it “deeply regrets” the US decision, adding that it would take necessary countermeasures, without elaborating.

With negotiations still in progress and no action from the Trump administration to reverse the increase, U.S. Customs and Border Protection imposed the new 25% duty on more than 5,700 categories of products leaving China after 12:01 a.m. EDT (0401 GMT) on Friday.

There are nearly 6,000 products that will now face 25% tariffs if they are imported to the US from China. Theguardian.com made a list of products from China facing 25% US tariff: cauliflower, carrots, leeks, turnips, mushrooms, garlic and onions, dried herbs, including fennel, marjoram, parsley and tarragon, nuts, including almonds, cashews and chestnuts, frozen fruit, dried apples, papayas, cherries and peaches, fresh peaches, strawberries, raspberries and cranberries Full article available here

Business/ Industry

3.5. Comment on Kenya from the chief editor of the Economist Over the past few decades, the global economy has been transformed by the so-called economic miracle in east Asia. In the decades to come, the east of another continent—Africa—looks to be a future growth hotspot. Kenya is the hub of this emerging region, and has been one of the world's fastest-growing economies in recent years.

Kenya received a record US$1.63bn of foreign direct investment (FDI) in 2018, equivalent to 1.9% of its GDP. Notably, this is spread across a range of sectors, including technology, infrastructure, tourism and manufacturing. This is one reason why, despite challenges like corruption, ethnic tensions and skills shortages, the Kenyan economy is

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less crisis-prone than many other emerging markets. Although it has large current-account and government budget deficits, the high level of FDI means that it is not too reliant on volatile portfolio financial flows from abroad. This is one reason that we expect Kenya to create significant opportunities for its own people and for investors in the coming decades

3.6. Air cargo faces headwindsThe International Air Transport Association (IATA) has released data for global air freight markets showing that demand, measured in freight tonne kilometers (FTKs), increased 0.1 per cent in March 2019, compared to the same period in 2018. While this is a significant improvement on the 4.9 per cent contraction in February, in seasonally adjusted terms, demand is still down 1.5 per cent over the past year.

Freight capacity, measured in available freight tonne kilometers (AFTKs), rose by 3.1 per cent year-on-year in March 2019. Capacity growth has now outstripped demand growth for 11 out of the last 12 months.

Global trade volumes have fallen by 1 per cent over the past year; global economic activity and consumer confidence continue to weaken; and the export order component of the global manufacturers Purchasing Managers Index (PMI) has indicated falling global export orders since September 2018. Full article available here

3.7. The Best Vegetable Restaurants of the WorldThe 100 best vegetable restaurants in the world were presented at the We’re Smart® Taste Summit in Amsterdam on Monday 6 May. Click here for more information Full article available here

China

3.8. China: Fruit imports exceed exports for the first timeThe Rural Development Research Center at the Chinese Academy of Social Sciences recently published a report titled "China's Rural Development, Analysis and Predictions", which shows that China experienced a rare trade deficit in the import and export of fruit in 2018.

Data from China's General Administration of Customs shows the following:1. China mainly imported fruit from Vietnam, the Philippines, Thailand, and Chile, in that order.2. Cherries, durian, bananas, grapes, and oranges were the five fruits that contributed most to the import value of fresh fruit in 2018.Chinese consumers have become more "selective" as a result of their rising income levels. China's agricultural industry is in the process of upgrading itself, but many agricultural products do not meet the new standards of Chinese consumers who can

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afford to purchase imported fruit instead. The volume of imported fruit is still growing. Full article available here

China may exceed $10 billion spent on imported fruits per year China is increasing its imports of fruits, berries and nuts and may for the first time exceed the mark of $ 10 billion per year. As in the previous year, the main imported commodity in terms of value were sweet cherries. China spent almost $ 0.9 billion on importing this fruits, which was 2% less than last year's record. The peak of cherry imports to China traditionally falls on the Chinese New Year, and about 99% of the total imports of cherries come from Chile. In second place were imported exotic fruits: dragonfruit or pitaya, longan or dragon eye, lychee and rambutan. Full article available here

3.9. JD.com unexpectedly leaves Australian sceneDue to unexpected losses, commerce platform JD.com, has left Australia after only 15 months. JD.com, also known as Jindong, is one of China’s largest e-commerce platforms. The Fortune 500 company has recently wrapped up shop in Australia, after a short 15 months in the country.

JD.com said that despite the closure of its Australian office, there would be no changes to its services or partnerships across the country and New Zealand. A JD.com spokesperson explained: “New Zealand distributors, Rockit Global Limited and Zespri, had partnered with JD.com in April 2019. The NZ fruit exports to China have reached NZ$606 million in the past couple of years. In 2018, NZ fresh-fruit sales grew 80 per cent with its partnership with JD. Full article available here

3.10. More fruit and vegetables, less burden to EarthApril 22 was the 50th World Earth Day. There is only one earth. According to The Lancet, an authoritative medical journal, a transformation to healthy diet by increasing the consumption of fruits and vegetables not only benefits health, but also reduces carbon emissions. The study says current dietary trends, combined with projected population growth to about 10bn people by 2050, will exacerbate risks to people and planet. The report suggest a transformation to healthy diets including a greater than 50 per cent reduction in global consumption of unhealthy foods, such as red meat and sugar, and a greater than 100 per cent increase in consumption of healthy foods, such as nuts, fruits, vegetables, and legumes.

The proposal has gained widespread acknowledgement and attracted more companies and organisations to get involved. On April 21, Chinese fruit giant Joy Wing Mau (JWM) and WildAid, an international environmental group, officially announced that the two sides had become Shushi Program partners. They will appeal to the public campaign of “More fruit and vegetables, less burden to Earth” and spread the message of positive, environment-friendly and sustainable dieting. So far, Joy Wing Mau is the first fruit company to join the WildAid Shushi programme. Full article available here

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Food safety

3.11. USA: Number of food recalls downFood and beverage recalls initiated by the FDA during the first quarter of 2019 fell 36.5% to 99, the second lowest quarter since the third quarter of 2015 and the third lowest total since at least 2010, according to Stericycle Expert Solutions’ Recall Index. Stericycle attributed the decline primarily to reduced oversight as a result of the government shutdown earlier this year, which stopped or limited many government safety inspections

Full article available here

3.12. US: FDA states that unannounced testing of frozen berries will help prevent illnesses

Federal officials are collecting 2,000 samples of frozen berries produced in and imported to the United States as part of an effort to develop preventive controls against pathogens such as hepatitis A and norovirus. The two viruses caused outbreaks in recent years that sickened hundreds of people across the United States. In some outbreaks retailers sold contaminated berries directly to consumers. In other instances, domestic entities bought imported berries in bulk and used them as ingredients in

The agency reported that the testing program began in November 2018. Results will be posted for public view on a quarterly basis. A final analysis is planned after the review is complete.Full article available here

3.13. Canada: E. coli outbreak linked to romaine lettuce caused death of two-year-old child

The outbreak of E. coli related to romaine lettuce, which broke out in North America last fall, caused the death of a two-year-old boy in Ontario. Canadian and American authorities had reported nearly 100 cases of E. coli patients last fall during the most

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recent outbreak. She had forced the removal of this variety of salad from grocery store shelves. By spring 2018, more than 200 people had become ill and five had died in the United States, while another outbreak occurred in the fall of 2017 Full article available here

3.14. Website lends support to organic growersOrganics specialist Eosta and sustainability group Soil & More Impacts have launched a new website together to assist growers in combatting global farming challenges in a sustainable manner. As farmers across the world face the worsening consequences of a changing climate, Eosta and Soil & More argue that sustainable, climate-smart agriculture is the solution.

The companies have developed the Farming & More open-source platform in order to create a one-stop shop for farmers to find easy-to-use and practical tips. The website is available to all and highlights the best practices required for sustainable farming, including video courses on composting and biomass management; cover crops and mulch management; controlling erosion; biological control of pests and diseases, and crop rotation. Full article available here

Health

3.15. The health benefits of green peasPeas have high levels of antioxidants and are rich sources of minerals like calcium, iron, copper, among others, which enhances the immune system of one’s body. The high fibre makes these green peas a good digestion aid, which improves the metabolism of the body in general. Being a powerful antioxidant that it is, it protects the cells from getting damaged. It is also rich in vitamin C, which gives a boost to the skin. Full article available here

Innovation

3.16. Ozone reduces the risk of foodborne pathogens in overseas shipmentsFresh produce travels the globe to find its way to the end-consumer. The fruit market in particular is very global with about nine percent of all fruits grown being traded internationally. The majority is shipped in refrigerated ocean containers. During the transit process different factors determine the quality of produce upon arrival at its

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destination. “- Temperature, Air flow, Ventilation, Controlled atmosphere and Ozone

The article considers each of these areas and talks in particular about ozone which it claims extends shelf life and reduces the risk of foodborne illness as it sterilizes the container and cargo reducing many types of surface-borne food pathogen risk by as much as 99% in as few as 5-7 days. Full article available here

3.17. Edible protein coating on perishables as a solution for food wasteThis article introduces : A natural and edible coating made of protein that postpones decay of perishable food. The edible biopolymer coating created by Cambridge Crops, can postpone decay of perishable foods like fruits, vegetables and meat by reducing contact with gases and water vapor, thereby slowing down oxidation and water loss. Full article available here

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PMAC weekly update Page 16