New Zealand is a major player in the global cereal market, with a wide range of breakfast cereals being exported to destinations all over the world. The country’s agricultural exports – including cereals – have seen a steady increase in recent years, making it an attractive commodity for exporters.
In 2022, New Zealand’s export of cereals, flour, starch, and other related food products amounted to approximately NZ$505 million, according to the United Nations COMTRADE database on international trade. Displaying an upward trajectory since 2019, this number is expected to be relatively stable in the years to come. This comes on the back of consumers who are increasingly choosing cereals as a convenient and nutritious option for their morning meal. From traditional oats and cornflakes to more exotic options like quinoa and chia seeds, these cereals are popular in countries like Australia, China, and the United States. These are among the top export destinations for New Zealand’s agricultural products.
The global appetite for New Zealand’s cereals is well and strong. However, exporters may also face challenges in the face of this. In this blog, we discuss the best ways to stay on top of this competitive market.
1. Understanding the market
Begin by researching the market and understanding the preferences of consumers in the destination country. This may include conducting surveys or focus groups to learn about the types of cereals that are most popular, as well as packaging and labelling requirements.
Additionally, free trade agreements (FTAs) can help exporters in New Zealand by reducing or eliminating tariffs on their goods when exported to other markets. This can make New Zealand's cereals more competitive in those markets, potentially leading to increased exports and economic growth for the country.
2. Forging strong ties
Having strong relationships with customers and suppliers is good for exporters of cereals in New Zealand for several reasons. It helps to build trust and confidence in the products that are being exported, which can be especially important in the cereal industry, where customers are often looking for high-quality, sustainably sourced products.
By building strong relationships, exporters can demonstrate to their customers that they are committed to meeting their needs and providing high-quality products. Also, strong relationships with suppliers allow exporters to have access to a reliable source of raw materials and other inputs for their products. This can help to ensure that production is consistent and that there are no disruptions to the supply chain.
3. Sealing in the freshness
One of the biggest challenges when it comes to shipping cereals is maintaining the product’s freshness and ensuring it remains within its shelf life. This is especially important for cereals which are made with perishable ingredients – such as those containing nuts or dried fruits. To overcome this challenge, it is crucial to choose the right packaging material and storage conditions to keep the products fresh during transit.
For exporters, there are several ways to prevent spoilage. First is to carefully select the packaging material for your cereals. This will depend on the different types of cereal being exported and the destination country. For example, if you are exporting cornflakes to China, you may want to use sturdy packaging to prevent the flakes from breaking during the overseas shipping process. Once you have chosen the right packaging, the next step is to find the right distribution partner to handle the overseas shipping of your cereals. This could be a logistics service provider like DHL Express, which has a global network of warehouses and distribution centres to ensure your products are delivered safely and on time.
