The Problem: New Zealand is a geographically isolated island nation with a significant commodity export economy. The domestic food system is far less understood. Making decisions that bolster the resilience and security of domestic food supply must start with a clear picture of the food system itself.
The Research: This report characterises how the commercial food system within New Zealand works to answer the question, “How do fresh fruits and vegetables get from orchards and market gardens to retailers in New Zealand’s mainstream domestic supply chains?”.
Literature review, interview research and geospatial mapping based on publicly available information are used to build a case study of the fruit and vegetable supply chain. Interviewees were selected to represent growers, wholesalers, marketers and retailers from diverse regions, business sizes and crop types.
Findings: The research identifies supply chain vulnerabilities, including roading and ferry infrastructure, fuel prices and an inconsistent cool chain. The digital infrastructure and information imbalance between growers, wholesalers and retailers is a vulnerability for suppliers, entrenching uneven power dynamics.
In a volatile world, supply chain participants are looking for what they can control. Growers trying to keep their businesses profitable are using strategies to gain premiums and manage their exposure to disruption. Diverse and direct supply relationships and supplier-customer loyalty are strategies being used to build certainty and redundancy into business models.
This research presents a tension between the efficiencies achieved with centralised food distribution and the resilience created through diverse growing regions and local supply networks.
Key Recommendations: Informed by the vulnerabilities of the domestic fruit and vegetable supply chain described in this research, strategic planning is needed to ensure the continued availability of domestically grown food for the New Zealand population.
- A Grower Digital Information Systems project should be stood up by Horticulture New Zealand under the Aotearoa Horticulture Action Plan to develop options to reduce information imbalances in the supply chain, informed by legal advice to stay within the bounds of the Commerce Act.
- A Code of Practice for Fresh Produce Cool Chain Management should be developed in collaboration between NZ Veg, NZGAP and the logistics industry.
- A National Food Security Strategy should be developed, led by Industry groups and focused on a secure food supply for the New Zealand population.
Emily Levenson


