Industry: Chestnuts
Gross value of production |
$1.7 m |
Number of growers |
100 |
Number employed |
30 |
Seasonal Employment |
350 |
Current annual production |
490 tonnes |
Hectares under production |
>400 |
1. Description of Product:
Fresh Chestnuts
2. Location of the Industry:
70% of Australian production is produced in North East Victoria. There are 100 growers located in Ovens Valley upstream of Myrtleford (a major producing area), Buckland Valley, Stanley, Kiewa Valley, Buffalo River, King Valley and at Tolmie.
3. Employment and Labour Requirements:
a. Number of Producers:
100 producers of commercially viable operations. All growers have other sources of income from farm or non farm activities.
b. Number Regularly Employed:
Labour requirements are variable depending on size of property, but estimates equivalent to 20-30 full time seem reasonable.
c. Harvest Requirements
Harvest requirements are approximately 20 people for 6 weeks for every 25 ha. The industry therefore requires between 300 and 350 people for a 6-8 week period.
4. Annual Production:
Average yields of 0.6 tonnes/acre are achieved because not all trees are producing to maximum, some varieties are low yield and some trees are prone to disease. Growers estimates the North East region produces 70% of Australian total production of 700 tonnes, ie 490 tonnes produced within the region. This estimate does not included undeclared farm gate sales.
5. Value of Product:
Average value of product is $3.50/kg. Total production of 490 tonnes therefore valued at $1,715,000.
6. Production Trends Over the Next Five Years:
a. Projected:
Industry growth is projected to be 20% pa over next 5 years. Few new growers are expected to establish but existing planting's will mature and increase productivity.
b. Potential:
1. In the past, and this has affected the growth of this industry, the prices obtained have been high and there is a perception that this is a low input crop requiring relatively low investment costs, low chemical input, low labour input and easy part time management requirements.
2. However the opportunity in the industry is based on other factors:
(a) Introduction of newer more suitable varieties with good flavour, better peeling qualities and longer storage capacity.
(b) The industry is more aware of specific market requirements and varieties are being selected to meet consumer demand.
(c) Growing conditions in the North East are ideal and for export market the promotion of a 'clean green' image is a major advantage.
(d) This product adapts well to the gourmet and multicultural markets within Australia.
(e) Some growers believe there is great potential in the development of value added products for Australian market and more specifically through careful packaging and presentation to the Asian market.
Extracted from the Bright Report
