Montague looks to export markets to bear fruit

Fruit grower and wholesaler Montague is rebuilding after a challenging 2020, when bushfires, pandemic lockdowns and trade disruptions hit its export business. According to Montague Managing Director, Scott Montague, the company acted quickly in the face of these challenges, using the International Freight Assistance Mechanism (IFAM) to rebuild supply chains to Asia. Montague is working with Austrade to explore new export opportunities in Japan and Korea. It is also forging ahead with plans to open an office in China, one of its most important markets. “We have a clear strategy to expand our business for the future, both here in Australia and internationally – and it’s starting to bear fruit,” Mr Montague said. Montague owns 500 hectares of apple, pear, citrus, grape, stone fruit and cherry orchards. The company also works with 80 growers across Australia. Montague relies on airfreight to transport stone fruit to Asia. Like other exporters, when Australia closed its borders, Montague turned to the Australian Government’s IFAM. This temporary, targeted, emergency support measure is keeping global air links open while the world responds to COVID-19. IFAM has reconnected nine Australian ports to 58 international destinations since April 2020. Montague uses IFAM to export stone fruit to China, Malaysia and Singapore. “Without IFAM ensuring that air links are kept open during the pandemic, airfreight would be virtually impossible for us. Airfreight delivery is over 50% of our stone fruit export business,” Mr Montague said. Montague is also adapting to the new trade environment. It is using sea freight to export citrus and table grapes to Asian markets. “We’ll put stone fruit on the water to China, Canada, Malaysia and Singapore. Table grapes will also go by sea to China, Vietnam, Thailand, Korea, Indonesia, Malaysia and Singapore. Sea freight is significantly cheaper per carton than airfreight. It is a viable option for us as long as vessel schedules are

From orchard to overseas: Batlow apples ready to be distributed around the world by Montague.

maintained,” Mr Montague said. China is an important market for Montague. It started exporting stone fruit to the country after the China-Australia free trade agreement came into force in 2015. Trade disruptions affected exports in the 2020–21 summer fruit season. Despite this, Montague remains committed to China and believes there is significant room to grow. In December 2021, the company will open its first office in China. It is partnering with a firm that has built the Montague brand for five years. “We want to invest in promoting our brand in China. There is a groundswell of acceptance for Australia’s clean, green produce in China. We are keen to increase our investment by fulfilling the demand for our fruit,” Mr Montague said.

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