World Blueberry
Acreage & Production
February, 2013

By Cort Brazelton

© 2013

North American Blueberry Council

2012 World Blueberry Acreage & Production Report

Page 3 of 76

Introduction ........................................................................................................................................................... 4
Methods and Objectives: ..................................................................................................................................... 5
Themes and Megatrends for 2012 ...................................................................................................................... 7
North America ...................................................................................................................................................... 9
South America ..................................................................................................................................................... 25
Europe .................................................................................................................................................................. 34
Mediterranean & North Africa ......................................................................................................................... 45
Southern Africa ................................................................................................................................................... 48
Asia & The Pacific .............................................................................................................................................. 49
The Pacific ........................................................................................................................................................... 50
Asia ....................................................................................................................................................................... 52
Global Highbush Blueberries............................................................................................................................ 59
Global Wild/Lowbush Blueberries .................................................................................................................. 64
Global Crop: All Highbush and Wild Blueberries Combined ..................................................................... 66
Global Figures: Global Overview of Key Data.............................................................................................. 68
Predictions: Global Highbush Crop Predictions ........................................................................................... 70
Conclusions ......................................................................................................................................................... 73

Cort Brazelton

© 2013 North American Blueberry Council

2012 World Blueberry Acreage & Production Report

Page 4 of 76

The greatest challenge in generating this year’s report, especially when attempting to effectively forecast
what we as participants in the blueberry world can anticipate, is keeping up with the rate of change in the
industry. The pace of change in global blueberry consumption and production makes it extremely difficult
to use today’s or yesterday’s perspective to effectively predict tomorrow’s reality. Global consumption
patterns, technology, logistics, production trends are all in rapid flux and transition.
There are many examples of this challenge playing out in recent years. One poignant example is the
supply/demand relationship. We as an industry have been consistently wrong in predictions about
price and demand curves because of a tendency to use past consumption patterns to predict the
interface with tomorrow’s anticipated production. History is generally the most valuable tool for
predicting the future, but this can also be a dangerous exercise.
For the last ten years, any effort to compare the future production curves to current demand led most to
conclude that disaster was on the horizon. Yet this did not come to fruition. Why?
The reality is that consumption is changing as fast if not faster than the supply side. There is no
evidence yet that this will change.
Example – Chile today is developing a processed industry. Many in the industry have predicted this trend
and also forecast that this product would compete with North America’s processed production. The first
part of this prediction has proven to be true. Chile now has a processed industry. But the second
assumption is beginning to show some flaws. Chile is indeed becoming a player in the processed industry,
but the market for the product is global. North America represents a potential customer, but the Asian and
European markets are just as attractive if not more interesting for the Chilean processors. Predictions on
supply side trends have generally been accurate in the case of Chile, while projections for the market
dynamics have largely missed the mark.
Highlights and the 1 Billion Pounds Mark
2012 marks the first year that the global blueberry industry produced over 1 Billion lbs. of Highbush
blueberries, both fresh and processed. Blueberries reached new market and consumption channels in 2012
with the launch of fresh blueberries in McDonald’s oatmeal, advertised and featured nationally in the US
(kudos to Naturipe). Per capita consumption has increased in traditional blueberry markets and new
markets continue to discover blueberries. Some new markets are starting to hit their stride and blueberries
are becoming a ‘must have’ item for many consumers. Demand is finally starting to grow in mainland
Europe and Asia, especially Germany, China and South Korea. People everywhere have discovered
blueberries. Acreage continues to grow in most existing regions and is being planted in new frontiers.

Cort Brazelton

© 2013 North American Blueberry Council

Their willingness to provide information.47 acres in a Hectare and 2. Please note. as they tend to represent the most reliable sources. where it is today and ultimately to speculate as to where it is going. Stanislaw Pluta Steven Taylor Dr. Our thoughts go out to them as they seek to recover from this disaster. The earthquake in the Tohoku region followed by the Tsunami and nuclear meltdown at the Fukushima power plant had a devastating impact on many growers and their families and friends. there are approximately 2. Disclaimer: Collecting. in order to achieve a better understanding of where the blueberry industry has been.Page 5 of 76 2012 World Blueberry Acreage & Production Report Considering the Japanese Blueberry Industry: The Japanese blueberry industry has undergone unique hardship in the last 2 years. A special thanks to those who made these special contributions both anonymously and publicly. both macro and micro in scale. Li Yadong Manuel Romero Mario Flores Mark Villata Narandra Patel Yaman Ozkan Pedro Carrasco Patricio Tellechea Peter McPherson Ridley Bell Rod Cook Shaopeng Chen Sonia Dierking Dr. In some cases they are quoted. Takato Tamada Taku Inoue Thomas Payne Todd Mauritz Trevor Mckenzie Winn Morgan Cort Brazelton © 2013 North American Blueberry Council . The author requests understanding for any omissions. The data and analysis presented in this document is therefore not intended to portray precise snapshots of what is in the ground and what was produced. I would like to express sincere gratitude for your help! Andrea Pergher Andres Armstrong Antonio Alamo Bermudo Brian Bocock Brian Caster Cal Lewis Claudio Rodgers David Brazelton Dave Trinka Dollar Qian Debbie Etsell Denny Doyle Federico Beltran Molina Fernando Munzi Greg Furniss Holger Brandt Jerry D’Amore Joe Leduc Jorge Andres Varela Leon Driesven Dr. Methods and Objectives: Industry Experts Key Contributors: The following contributors made especially important contributions to this report in the form of data and industry intelligence.204 pounds per Kilogram. all production and acreage data in this report are provided in pounds and acres. in others generally referenced. or perhaps more appropriately. For metric references. The acreage and production figures provided vary widely from very accurate to simplistic best guesses and originate mostly from individuals and parties active in those regions. The following people have made significant contributions to this year’s report and have agreed to be mentioned. thoughts and reflections are what makes creating this report worthwhile and what delivers the greatest value to those who rely on this document to help guide their decision making. Without a doubt there are regions with commercial acreage and production that have been neglected in this report. synthesizing and presenting data on a sector as diverse and dynamic as the global blueberry industry begs for a disclaimer. a request for forgiveness. but rather to draw attention to trends. errors and other weaknesses in this report.

and other purchasers were interviewed to ensure their perspective and input was included. Thank you for your contributions. growers. service providers and handlers from production regions around the world are forming organizations to share information. has been vital to the generation of this report. there are new sources of information. Rather than broadcasting a form survey as in previous years. opinions and interest in Cort Brazelton © 2013 North American Blueberry Council . this author made a continuous concerted effort during frequent travels in North America and abroad to discuss and interview regular consumers about their awareness. Blueberry committees and organizations can now be found on every continent and in most major growing areas. food companies. buyers for supermarkets. largely online. Thank you to all who took their time to be interviewed and particularly their willingness to be open and share their knowledge. Data and intelligence from these groups. production data and intelligence. The information shared in these conversations and interviews were invaluable to improving the amount of key intelligence available to the industry via this report. Surveys: Targeted surveys were sent to industry members around the world to collect acreage data. Industry Organizations: Increasingly. this report would be incomplete. Thank you to the FAS contributors to the project. Interviews with Industry Leaders: There is no replacement for person to person interviews. consultants in marketing. experience and insights. which are beginning to focus on issues and stories which interest the industry. Although many trade publications still tend toward general treatment of basic market issues. track production and address issues pertinent to their realities.2012 World Blueberry Acreage & Production Report Page 6 of 76 Anonymous Contributors: For reasons of confidentiality and/or privacy. Thanks to technology. extended interviews are now possible not only over the phone but in video conference and through voice over internet protocol. insight and intelligence was invaluable. some contributors requested anonymity. Interviews with Buyers and End Users: Without the input of the final purchasers who deliver the product to the consumer and have a significant impact on decisions regarding products. to name a few. Consumers: Though not performed on an organized level in consumer research groups and consumer attitude surveys. Media: The quality of media reporting on the blueberry industry has improved in recent years. Their willingness to provide data. Care has been given to not disclose sensitive information that is meant to remain private. and their service to the industry. Special thank you to those who help get our product to consumers and a willingness to take the time to share insights. Fresh Fruit Portal/Portal Fruticola based in Santiago and Fresh Plaza have proven particularly useful in the pursuit of quality industry intelligence and leads on trends and data. As a result. the FAS can be an excellent source of information on what is happening abroad in an industry. promotion and pricing. USDA FAS: In addition to helping US agricultural companies abroad. more time was spent targeting each source and the areas of their expertise. Thank you to these organizations for their help and support. both published and provided upon request. Thank you to the many contributors who took the time to fill out surveys and provide their input. promote consumption.

the ‘hard data’ available is from the previous year. Production and Acreage. any applicable narrative summary or conclusions. the Mediterranean and North Africa. Large Production Regions: Each section evaluating core production geographies will follow a standard format: Data Review. packaged foods companies. and special narrative sections will be added when deemed appropriate. Their responses corresponded surprisingly well with the information provided by participants on the supply side of the business in the market. Europe. while narratives address both their 2011/12 season and the 2012/13 season to date when this report was published. often reaching new consumers Food Safety and Traceability: o Becoming a ‘deal-breaker’ in the market place. and leading handlers and retailers o Trend is beginning to divide weak from strong. Geographies: ‘Compartmentalization’ by geography will stay the same consisting of North America (with Mexico and Central America included in N. South America. Asia and the Pacific. Review Summary. New sections will be added providing addition information in figures. the compartmentalization by geography will continue and be followed by global overviews. Themes and Megatrends for 2012 ▪ Consumption and Demand Increasingly Global: ▪ ▪ ▪ o Production is growing in new and existing growing regions o Consumption is growing in new and existing markets Global Production Growth Accelerating: o Acres planted in the last decade are coming into production and beginning to realize their potential o Fresh and Process volumes have grown rapidly New Uses Driving Consumption Increase: o New products and packaged goods using blueberries continue to be introduced o Arrival of new products in the fresh ‘ready to eat’ (RTE) category are beginning to reach the market. especially with food service.Page 7 of 76 2012 World Blueberry Acreage & Production Report blueberries. Format Readers of previous reports will note a simplified structure in this year’s document. and a review of trends for the region. Southern Hemisphere Data: As the 2012/13 season in the southern hemisphere is still underway in most countries. professionals from amateurs Cort Brazelton © 2013 North American Blueberry Council . Smaller Producing Regions will be given a general review. America). Southern Africa. Regional Overview. Generally. Therefore southern hemisphere countries have their 2011/12 data collected.

even when there are considerable barriers due to crop shrinkage and quality issues o Driven by labor concerns o New technologies and varieties reportedly leaving beta stage Pests Go Global: o SWD (Spotted Wing Drosophila) now in Europe. North America and Asia o Widespread desire for coordinated global effort on SWD Free Trade and Market Access: o Market access.2012 World Blueberry Acreage & Production Report ▪ ▪ ▪ ▪ ▪ ▪ Page 8 of 76 Labor Worldwide: o Issue is not isolated to US and Europe – labor availability is increasingly a challenge in developing countries as well as the developed world – it’s a global issue o Many different attempted solutions to the issue (Canada vs. new products and marketing efforts o Communication and awareness of key issues is more rapid and more frequent o Producers increasingly empowered by availability of information o Use of new technology permeating agriculture as in any other industry Cort Brazelton © 2013 North American Blueberry Council . Chile) o Labor issues helping to drive growth in new production regions as the crop migrates to parts of the world where labor is still comparatively more available (the move to Mexico and new developments in Peru and Morocco is not just driven by timing and costs. US vs. it’s driven by labor availability) Drive For Mechanization: o Increasing eagerness in many regions to mechanize fresh harvest. EU vs. tariff reduction and promotion critical to continued industry growth o Chile leading the global industry o US comparatively behind on increasing international trade in its crop and securing market access o BC industry keen on shipping to India o “Establish beach heads” a common theme in interviews Professionalization and Scale: o Rate of professionalization in the blueberry industry observed to be increasing as blueberries become a high value commodity crop and leave the ‘niche stage’ o Established companies in the business are growing rapidly and achieving scale previously unprecedented – note recent mergers and acquisitions o Newcomers to the business are under pressure to grow and partner much faster than historical norms in order to compete with established players Information Availability: o Market data in real time is increasingly available to participants all along the supply chain o Data driven decisions increasingly common in promotions.

and annual variations more dependent on weather • • • • Northeastern process production increasing Northeast acreage increases limited due to land availability Southeast is second largest production region after the west Southeastern production increased by 60% between 2008 and 2010 and by 17% between 2010 and 2012 • • • • • • • Southeast 2010-2012 production volume increase was diverted almost entirely to process Southeast acreage increased by 77% between 2005 and 2012 Georgia’s rapid growth continued Mexico and C.Page 9 of 76 2012 World Blueberry Acreage & Production Report North America Data Review: North America had another record harvest in 2012 both in Highbush Blueberries and in Lowbush (see Wild/Lowbush section). America is the smallest but most rapidly growing region of North America Mexico production grew from an estimated 2 to 12.075 acres to 123. has grown by an average of 20% every two years since 2008 • • Both Fresh and Process volumes grew significantly North America’s acreage has increased 74% between 2005 and 2012 from 71. increases are gradual.635 total acres • • • • Fresh has led growth. process diversions remains at or near a 60%-40% balance. with fresh leading Michigan and Midwest crop down considerably from previous years primarily due to weather Midwestern fresh diversion down in 2012 due to weather challenges Midwestern acreage has expanded by 20% since 2005 Northeastern production is steady.000 acres Cort Brazelton © 2013 North American Blueberry Council .5 million pounds between 2008 and 2012 Mexico is fresh focused Mexico acreage grew by over 1600% between 2005 and 2012 from 180 to over 3. while process has also increased Western and Southeast regions lead in production and acreage growth Western Region in 2012 represented more than half of North America’s production Western production nearly doubled between 2008 and 2012 and is growing by a range of 40-50% every year • • • • • • Western acreage more than doubled between 2005 through 2012. fresh and process. The following points are worth considering when reviewing these data below: • North America is the world’s largest production region. growing by 133% Western fresh vs. representing roughly 60% of the global Highbush crop • North America’s total production.

050 1.0 142.400 10.950 4.055 1.150 1.000 17.200 88.949 5.0 75.4 599.200 1.2 9.685 159.790 6.120 11.275 1.500 50.1 53.200 36.165 22.2 1.3 - 300 300 300 320 1./Louisiana 2.0 New York 1.560 10.500 7.410 5.0 Washington 2.230 1.120 5.0 875 950 1.0 0.6 Others 1.595 30.0 65.300 21.200 1.088 52.500 18.0 19.2 257.400 23.0 40.0 35.400 9.2 83.070 12.200 16.4 1.300 21.450 32.840 40.500 6.5 Miss.1 1.8 Southern Mexico 120 350 530 1.500 19.360 35.100 1.800 7.300 3.0 55.1 180 545 805 1.0 8.120 8. North America Cort Brazelton © 2013 North American Blueberry Council 95.730 10.8 - 2.5 0.200 21.0 Oregon 4.663 3.100 28.200 6.500 3.3 - 2.200 3.0 350 530 550 550 550 0.000 6.7 - 15 15 18 20 0.140 2.635 342.2012 World Blueberry Acreage & Production Report Page 10 of 76 Production and Acreage: (Denominated in Millions of Pounds and Acres) North American Highbush production figures are based on the fall 2012 NABC reports with some additional modifications to reflect other industry intelligence and analysis of USDA Cold Storage data.000 3.880 11.1 Others - - - 450 500 0.550 1.370 3.500 30.250 1.020 25.0 115.9 40.1 2.9 18.3 5.332 43.2 Indiana 850 850 900 950 990 1.6 .0 71.516 6.250 2.5 - 0.3 Southern 18.260 1.500 29. North American Acreage Growth.000 12. Canada 1.450 1.050 1.9 - 1.075 85.9 22.425 23.2 0.5 52.300 2.2 52.0 6.0 71.3 Georgia 7.0 36.815 3.458 8.9 Midwest 20.0 3.1 60.7 New Jersey 7.040 51.597 108.947 35.450 3.1 - 0.3 9.000 1.678 8.2 12.450 22.500 9.8 - 1.850 24.640 31.0 North Carolina 5.0 10.000 1.9 301.1 141.405 21.931 123.617 British Columbia Western Michigan Nova Scotia Northeast Florida Arkansas Texas Guatemala Mexico & Cen. Am.960 8.800 3.850 4.4 0.3 - 0.8 E.300 1.820 11.300 25.170 46.0 California 2.3 0. 2012 Crop NORTH AMERICA GROWTH Acreage 2012 Production 2005 2007 2008 2010 2012 Fresh Process Total 13.0 80.982 5.800 14.985 34.2 Northern Mexico 60 180 260 295 650 2.350 2.234 7.0 35.0 9.900 7.3 9.5 71.

8 491.2 0. Am.20 1.9 141. North America 257.0 0.8 43.00 Oregon 18.00 56.00 1.80 2.00 115.00 110.00 - 1.70 1.2 1.00 1.00 65.30 1.0 55.60 44.00 0.2 120.80 - 1.2 60.6 North American Production & Use Comparison: 2008 .5 86.1 163.00 9.4 0.6 114.00 34.5 114.2 8.3 9.5 213.00 1.90 - 1.10 2.0 142.00 50.070 12.9 415.7 46.Page 11 of 76 2012 World Blueberry Acreage & Production Report By Region: North American Acreage Growth.30 2.5 60.20 Washington Western Michigan Process 40.2012 NORTH AMERICA PRODUCTION 2008 Production Fresh Process Total Fresh Process 35.00 28.10 2.9 31.9 72.9 301.850 24.9 Midwest 20.0 2001 86.7 Northeast 9.00 6.3 0.9 75.500 29.1 60.50 23.00 46.00 75.088 52.947 35.00 90.5 45.450 32.50 99.4 61.3 159.300 25.075 85.7 227.332 43. Canada 3.5 52.0 35.6 120.00 6.30 - 2.00 49.400 10.400 23.1 53.25 1.1 60.00 8.00 42.50 49. Total Production 1995 56.560 10.9 75.10 3.685 159.0 142.9 41.200 88.635 342.9 0.30 Nova Scotia 1.3 599.60 Others 0.9 83.30 1.405 21.1 54.00 0.1 50.6 194.165 22.2 5.20 0.595 30.8 60.6 302.05 1. 2012 Crop NORTH AMERICA Acreage GROWTH TOTALS 2012 Production 2005 2007 2008 2010 2012 Fresh Process Total Western 22.00 40.20 0.2 357.00 1.8 104.6 45.30 40.931 123.00 75.2 83.8 35.00 27.0 2005 2007 2008 2010 2012 95.00 34.20 52.4 599.00 2012 Production Total British Columbia Fresh 2010 Production 45.4 Southern 18.425 23.7 47.5 52.1 162.00 28.1 141.00 32.00 35.1 104.2 Mexico & Cen.90 1.4 New Jersey Northeast Cort Brazelton © 2013 North American Blueberry Council .3 301.0 1999 74.8 33.6 0.25 52.00 New York 2.00 12.50 3.4 70.90 40.1 245.6 71.2 0.90 2.9 301.3 9.25 1.597 108.2 180 545 805 1.663 3.00 8.2 83.0 2.5 33.00 36.30 - 0.0 8.2 51.730 10.4 75.00 Total Indiana 2.640 31.0 1997 55.9 65.5 195.0 12.8 92.6 North American Production Growth NORTH AMERICAN PRODUCTION GROWTH Western Midwestern Northeastern Southern Mexico & Central Am.10 3.6 213.20 0.30 1.880 11.2 63.80 27.7 39.040 51.00 26.00 54.50 53.90 Midwest 47.30 4.40 0.80 E.00 30.2 46.00 35.7 70.00 80.00 55.50 30.617 95.0 2003 81.90 - 1.2 12.2 54.8 30.00 71.5 71.80 0.2 47.1 93.6 163.9 245.00 14.90 77.00 California 13.60 25.10 3.6 66.

80 16.1 141.00 71.2 47.10 2.60 - 0.50 1.50 - 1.50 - 0.4 186.50 3.1 141.2 5.50 - 0. A major contributing factor to this ‘hot’ market was the lack of any significant overlap between the major producing regions.00 40. but prices hit record highs posting average 12x12 pint prices of $18-22 during the traditional peak volume weeks of July.2 2.5 Mexico & Cen.05 - 0. New Jersey and Michigan were both weeks earlier than normal years.00 36.05 - 0.1 53.50 0.0 - 5.20 9.5 114.00 1.2 257.00 - 1.75 2.0 142.2 12. Am.0 - 5.6 66.8 92.80 15.7 39. Am.0 8.10 Others - - - 0.6 2012 North America Overview: The weather leading in to North America’s spring was anything but ‘normal./Louisiana Page 12 of 76 2010 Production Fresh Process Total Fresh Process 9.4 599.30 Southern 49.1 60. By May however.2012 NORTH AMERICA PRODUCTION 2008 Production 2010 Production 2012 Production Fresh Process Total Fresh Process Total Fresh Process Total Western 77.60 4.00 North Carolina 20.2 84.00 0.50 0.00 4.05 2.00 10.2 12.90 1.5 229.60 0.0 Total North American Production & Use Comparison by Region: 2008 .9 88.75 - 2.30 Georgia 16.2 257.50 39.0 12.1 36.75 Southern Mexico 1.5 86.7 Northeast 52.00 8.10 0.05 0.3 0.1 54.8 303.2 8.8 120.6 Texas Mexico & Cen.20 - 4.30 - 0.00 19.50 2.30 5.4 599.1 36.9 88.15 9.2 51.00 15.2 83.50 0.4 188. North American fresh volume was 40% up from 2011.50 11.1 163.50 27.50 0.9 Midwest 47. fresh pricing was ‘on fire’ as John Shelford put it in his July 27 report.3 9.9 301.2 - 2.00 0.60 - 1.8 120.00 30.5 52. North America 229.3 75.00 15.2 - 2.65 Guatemala 0.4 186.9 31.50 7.3 342.3 342.50 28.1 50.9 25.00 36.8 104.3 75.10 - 0.75 - 0. North America Total 2012 Production 415.70 3. With an early finish to the Chilean season and disruptions in the lower southeastern crop.0 188.4 415.00 35.0 12.00 8.3 491.3 159.50 1.50 - 0.2 5.5 213.00 - Arkansas 1.2012 World Blueberry Acreage & Production Report NORTH AMERICA PRODUCTION 2008 Production Fresh Process Florida 9.50 - 1.50 Miss. and the Pacific Cort Brazelton © 2013 North American Blueberry Council .00 56.2 84.3 491.8 303.00 31.3 0.2 Northern Mexico 0. there was a product flow disruption that some contributors faulted for lower pricing during the ‘early’ Southern Highbush deal.00 3.’ with patchy freezes across the lower southeast (see southeast section below) and a highly advanced Michigan crop due to abnormally early warm weather in late winter and early spring.4 Southern 49.1 53.6 120.80 3.00 20.9 25.5 60.

but new creative fresh products that didn’t exist a few years ago. a new channel in the food service industry is being opened up not just for processed blueberries. When the dust settled after the season. Fresh demand in 2012 was truly unprecedented with record volumes and pricing accompanied by new uses as well. This dynamic played out particularly strong in Michigan and the Pacific Northwest. Fresh RTE Blueberries at McDonalds: A major milestone was passed in 2012 with the introduction of fresh RTE (ready to eat) summer blueberries to the McDonald’s breakfast line up throughout the US. particularly the Midwest. The impact of the 2012 processed market instability marked a new paradigm – a refusal of packers to carry all of the inventory and pricing risk in an unsure processed market. but most all high value produce items in 2012. Early efforts are underway in the USHBC to take a more coordinated industry effort to combat the pest. Drought hitting the US. the lack of ‘home garden bounty’ and local North America Acreage Increases produce supply in many regions of the country increased the demand for produce from regions less affected by the climate issues.Page 13 of 76 2012 World Blueberry Acreage & Production Report Northwest was somewhat later than average. and other industries are also beginning similar efforts. according to multiple contributors. The quality issues caused by the drought also invariably pushed fruit with quality issues into the processed channel. it is widely believed that the increased awareness of blueberries caused by the ‘McDonald’s Blitz’ immediately increased demand and consumption throughout all sectors of the industry. undoubtedly played a role in the demand for fresh blueberries as well. Also worth Cort Brazelton © 2013 North American Blueberry Council . However. with weather issues in many growing regions such as rains in the Southeast and drought in the Midwest and significant capacity issues playing out in the Pacific Northwest. Many contributors believe this landmark development did more than move additional volume during the summer months. Concerns about the arrival of this pest were voiced widely by North American contributors to this report. the frozen inventories grew considerably. road sign and promotional campaign featuring the fresh blueberries at McDonald’s. the primary processed growing regions. With a nationwide television. The processed market was less buoyant in 2012 as the season began with higher inventories and an apparent market ‘hangover’ from the high prices that producers and sellers demanded in 2011. The lack of overlap between the different regions in the 2012 season kept volumes reasonably metered despite a record crop. The lack of any clarity of frozen market pricing led most processed packers to avoid posting firm ‘dock’ prices. ‘coffee shop’ conversations indicated that less fruit would go to the processor. SWD: The spotted winged drosophila continued to cause issues in 2012 with growers scrambling to control populations. With a short Midwest blueberry crop and also importantly. It was not uncommon for packers to offer a small installment upon reception of a grower’s fruit with a commitment to work in good faith to achieve good returns for the grower when buyers actually began purchasing and receiving product. The drought undoubtedly played a role in high fresh prices not just for blueberries. there were record volumes in cold storage. During the 2012 season. Thanks to efforts by Naturipe.

labor availability and above all water limiting growers’ abilities to expand. in the San Joaquin valley and new coastal California ‘evergreening’ production. due in large part to a more predictable climate and higher investments in inputs and in crop 2012 North American Highbush Production . Competing with North Carolina and Georgia on costs and freight has been a challenge some years in the east coast market. the Western States and BC now represent half of the North American Highbush blueberry production. Growth in acreage slowed significantly starting in 2008 with the global financial crisis. any forecast clearly reflects that the Western Region of North America is now and is likely to continue to be the largest Highbush blueberry production region in the world. moved more product and delivered blueberries to new consumers. California Although growth has slowed in California. Taking into account these realities and the additional fact that much of the acreage in western North America is still young. The vast majority of this more recent growth has specifically been in early low chill Southern Highbush blueberries. New growth in California has been led by a more concentrated group of growers and companies. has meant the processed channel has become part of the California business Cort Brazelton © 2013 North American Blueberry Council .2012 World Blueberry Acreage & Production Report Page 14 of 76 noting is the delivery of fresh blueberries to a group of consumers who do not represent the traditional demographic of blueberry consumers. during which period the acreage of California more than doubled. Their main ‘play’ has been on earlier southern varieties and in new production systems. These developments have brought California into the market much earlier than just a few years ago. The west has accomplished this milestone with only 40% of the acreage of North America. primarily existing players focused on expansion. The program increased blueberry awareness during peak season. This. The production increases experienced since 2008 largely reflect the acreage boom concentrated between 2004 through 2008. The processed option has also come to play a role in the previously ‘fresh only’ industry. As the crop has grown. it has not halted in the Golden State. harvest cost dynamics. Average yields have shown to be higher in the west and also less variable than other regions. although there have been some inroads.Western Region 2012 North American Highbush Acreage Growth . and this trend looks set to continue.Western Region protection. as well as changes in pricing vs. quality demands have increased alongside the challenges in labor. both in publicly available and private genetics. The West As mentioned in the data review above.

let alone marketing their fruit. the lack of alternative crops and other drivers mentioned in this and previous reports. good land and water. The steady and rapid growth in the region has been driven by many factors – a leadership position in the IQF industry. The 2012 season saw the concerns about packing and processing capacity finally start to catch up with the industry. Processed production has also Cort Brazelton © 2013 North American Blueberry Council . Many packers. such as delays in adopting critical food safety and traceability protocols and a focus solely on yields rather than yields and quality in some cases. The issue is compounded by the absence of significant capacity expansion among leading packers. The most standout example of this issue is in the Pacific Northwest. Interviews with these packers reveal a major driver for lack of increased capacity – the lack of fidelity among the grower base which may or may not deliver fruit. This issue is playing out strongest in the Northwest but is also underway in much of North America. market recognition for quality especially in processed fruit. partnership and controlled acreage to address this issue which brings into question the longevity of the business model of independent and non-aligned growers throughout the northwest. Packing Capacity: There are indications across the country that packing capacity is not keeping up with the increases in volume. Capacity was the bottleneck in 2012 in the Northwest. of blueberry production. The limitations of current packing and processing infrastructure stood out most during ‘Duke season’ in Oregon. 2012 was the first year that Washington State’s fresh production was near on par with its processed production. more predictable weather. Pacific Northwest 2012 marked the year the Pacific Northwest surpassed 250 million lbs. higher average yields. Indeed. shippers and receivers have chosen to increase wholly owned. it is difficult for a receiver to truly anticipate what type of volume will move through their facilities in the future. The first is simple: many growers have increased acreage without clear plans for packing. This represents one quarter of the world’s total Highbush volume. These advantages and dynamics aside.. both states have made considerable strides in becoming fresh market players. and a number of companies with more aligned commission based models are growing. This problematic dynamic does not apply to all cases. Historically processed blueberry focused. Vertical integration and a move away from outside growers is becoming increasingly common. the entry of large professional tree fruit companies from Central Washington. In a processed and fresh industry still dominated by the old habits of ‘dock prices’ whereby the packer assumes the market risk by purchasing fruit from the growers and growers shop price. and a combined production of estimated 147 million lbs. This misalignment of incentives creates a number of other distorting influences. they form along with BC the largest blueberry producing block in the world. This trend is anticipated to continue before it improves for a number of reasons. Washington and BC with many packers turning volume away or fruit waiting much longer than is ideal to be packed or processed. the Northwest has grown fast and is experiencing some growing pains. With both states producing over 70 million lbs. California did make contributions to the processed Highbush market in 2011 and 2012. Though much smaller than the states to the north. however the reasons for the bottleneck are clearly more imbedded in the traditional business model now being challenged by models more aligned with the market and systems which ultimately deliver what consumers are looking for. The states of Oregon and Washington had records in 2012.Page 15 of 76 2012 World Blueberry Acreage & Production Report model.

as well as ‘crossover’ from growers in British Colombia seeking more affordable and available land. Expectations among growers in BC are high and lower pricing down from the highs of 2011 raised unease among growers.2012 World Blueberry Acreage & Production Report Page 16 of 76 continued to increase in the Northwestern states while fresh production growth has been break-neck. there are challenges to continued expansion. the BC Blueberry Growers Association is hopeful to obtain funding to pursue these export markets and expand promotion. tariffs are an issue and local Korean growers are eager to Cort Brazelton © 2013 North American Blueberry Council . BC growers are very concerned about SWD in their fields and more equally worried about returns in the 2012 season. With limited local labor. As the current industry leaders in IQF processed blueberry production and marketing. In 2012 there was a coordinated effort by local residents in many BC communities to ban bird cannons used to prevent bird damage during harvest season. The leading growth regions in these states can be found in the Willamette Valley of Oregon. and becoming rising players in fresh blueberries. Much of the growth in Northwestern Washington is driven by both ‘local’ growers and vertically integrated grower/packer/shippers. but with young acreage coming into production it is anticipated to continue to increase in production. This is just one example of the impact of urban encroachment on the BC farming industry and the increasing difficulty in growing the industry there. albeit at a slower pace than Oregon and Washington. and land prices are some of the highest in North America for blueberry ground. having obtained market access before the season. A bright spot in British Colombia vis-à-vis its southern neighbor is the availability of labor solutions. Urban encroachment is an increasing issue in BC farming regions. these two states along with BC are poised for continued growth. with a long history in berries. Productivity in BC remains comparatively low versus its neighbors to the south. British Colombia retains the largest growing state or province by acreage in North America and the largest single producer by volume. The Willamette Valley of Oregon. cherries and other intensive fruit crops who. Much of the acreage in these states is young. continues to grow rapidly with new plantings by existing growers. and with production increases anticipated. especially during Duke season was. an issue in 2012 as well. Market access to both China and India is an area of focus for the BC industry. volumes are comparatively small. The growth in the tree fruit growing regions of central Washington is led primarily by professional growers of apples. the BC blueberry industry benefits from functional agricultural labor policies of the Canadian government which allow growers to legitimately bring in labor from other countries for harvest and for more extended work when needed as well. Oregon Fresh to South Korea: Worth noting for 2012 was Oregon’s first commercial activity in fresh exports to South Korea. Skagit and Whatcom counties in the Northwest of Washington and the newer growing regions of Central Washington. Although acreage growth has been rapid in BC. have expanded to scales which in some cases dwarf those of their neighbors to the west of the Cascades. as mentioned above. Packing capacity. now surpassing Michigan. new growers leaving less desirable crops and outside growers and investors from other regions of the country. seeing opportunities in blueberries. Although the protocols are not simple. Some contributors pointed out that Canada’s immigration policy may be one of the great advantages of BC industry.

the Pacific Northwest looks poised to continue the trend as the vanguard of adopting new varieties. Indonesia. making it possible to report actual variety distribution by acreage. This is particularly the case to Asia. Draper. and 3. 7. Liberty. Industry organizations such as USHBC and NABC will need support to achieve these outcomes.6% of total acreage. Elliott. rate of new variety adoption and overall product quality. market access for fresh blueberries to Korea for the state of Oregon marks a milestone in growing exports for the west (see below on exports). Considering current projections for the western crop and the North American crop in general. leadership in processed marketing. and Duke follow with 26. Jersey still remains the most widely grown cultivar and represents 31. With the Chinese market poised to be a world leader in blueberry demand in the next decade as well as rapidly growing middle classes in highly populous markets such as India.5%.2%. 16. predictable crop. the Western Region of North America has unique advantages in the global export market. Draper. Liberty and Aurora came into mature production in 2012 with Draper in particular standing out for its ease of harvest and large high quality firm berries. Bluejay. Michigan is one of the longest standing production regions. Duke. Elliott.3%. coordinated promotion efforts to increase awareness of blueberries. After the states of New Jersey and North Carolina. The state of Michigan does an excellent job of tracking acreage and the variety distribution. According to Dave Trinka. Many fields of the newer Michigan State University varieties Draper. Beyond access and tariffs. Acreage in Michigan has continued to grow incrementally. Replanting has also picked up in recent years as acreage of older varieties such as Jersey are being replaced by newer cultivars such as Duke. The challenge for the west remains an issue of market access. Tariffs are often a challenge in countries where fresh market access has been obtained. Cort Brazelton © 2013 North American Blueberry Council . Liberty and Aurora. a standout example being South Korea where Chilean processed and fresh blueberries are subject to significantly lower duties and tariffs than Oregon fresh and US processed blueberries. a focus on growing exports will be critical. respectively. Rubel. its high yields. Rate of New Variety Adoption: The Pacific Northwest has clearly taken the lead in adopting new genetics among higher chill growing regions. With new varieties from public and private programs being introduced and planted commercially in 2013.5%. These five cultivars represent 85% of MI acreage. The Midwest Michigan: The state of Michigan remains by far the largest producer in the Midwestern region and the state itself has been a world leader in production volumes of both fresh and processed blueberries for many decades. tariffs and promotion. Pacific Rim Export Opportunities: With its geographic position conveniently located on the Pacific Rim. Meanwhile Bluecrop.Page 17 of 76 2012 World Blueberry Acreage & Production Report compete. their health benefits and other opportunities in the crop are critical to sustain and increase growth. Bluecrop. and Nelson. fresh market access is critical for continued growth. the varieties whose acreage increased since 2006 are Aurora. Taiwan and elsewhere in Southeast Asia.

Contributors reported increases in the establishment of frost protection systems throughout the state which overtime look likely to improve the security and predictability of the crop. the Northeast is led by a single state. replanting efforts and investments in crop protection and improved management and production systems look poised to impact long term production trends. New Jersey has long dominated those markets when in production. Northeast New Jersey: Similar to the Midwestern region. Historically a fresh focused state with its close proximity to the highest consuming markets on the northeastern seaboard. The amount of irrigated acres continues to increase and both drip and sprinkler systems are being installed in the same blocks in recent years for improved irrigation and frost protection. combined with intense summer heat pushed the Michigan crop earlier and diverted much of the fresh crop to the process channel due to quality issues.Midwestern Region The rate of replacement of the variety Jersey continues to increase. which adds to the percentage of MI acreage with freeze protection. Despite production disruptions in recent years. The production potential of Michigan has clearly increased along with other states. John Shelford has publicly expressed a belief that Michigan could potentially realize production in some years as high as 125 million lbs. Trinka reports that roughly 500 acres of Jersey were removed since 2003. The difficult weather events of 2012 both reduced Michigan’s crop and also drastically reduced its position in the fresh market. stand out as a stark contrast to higher producing years. Organic and synthetic mulches and fertigation are being used on more acres than a few years ago. The drought of 2012 which most greatly impacted the central US.Midwestern Region Page 18 of 76 2012 North American Highbush Acreage Growth . Cort Brazelton © 2013 North American Blueberry Council . Net acreage increases occurred in most blueberry-producing counties throughout Michigan in 2012. The most recent weather challenges in Michigan. Also noteworthy in Michigan is the continued expansion of new blueberry plantings into more northerly locations in the state. Michigan’s crop faced setbacks multiple times since a high mark year in 2008. the founding region of the Highbush blueberry industry – New Jersey. Michigan growers’ increased acreage. following a common trend in other growing regions.2012 World Blueberry Acreage & Production Report 2012 North American Highbush Production . reported above. as growers seek to replant with more productive varieties. New Jersey blueberries are a call item among customers during the season. and bumper crop years are likely for the state in the near future. Wind turbines have also been installed on many farms.

Varieties such as Bluecrop and Elliot are simply not well suited to mechanization nor do they meet the quality demands of the market according to contributors. which is clearly a major competitive advantage for growers. which retains a respected niche position as a producer of high quality blueberries in the Northeastern marketplace. The vast majority of New Jersey’s production increases over recent years have been driven by the replanting of higher yielding varieties and the introduction of improved field management systems with higher inputs. Most of the crop damage was to Georgia’s Southern Highbush.Northeast Region Increasing acreage in New Jersey remains difficult as available land for blueberry production is reportedly very limited. Nova Scotia and Quebec have all reported incremental growth. This was especially the case in Georgia and North Carolina. The arrival of tropical storm Debbie in June of 2012 disrupted product flow considerably. continues to grow. Contributors interviewed indicated that machine harvest for fresh is becoming a critical tool in New Jersey amid challenges in labor availability. albeit smaller than many other growing regions and concentrated in very few hands. The proximity to market of New Jersey makes this option more viable than in other states. and the need to deliver improved quality while addressing the labor issue remains a key focus. Late winter freezes damaged the Florida crop north of I4 and in southeast Georgia. Despite the difficult weather.Northeast Region 2012 North American Highbush Acreage Growth . These weather events help explain the significant diversion to Cort Brazelton © 2013 North American Blueberry Council . North Carolina followed with an ‘on par’ season with moderate volume increases. 2012 North American Highbush Production . both Georgia and Florida saw production increases in 2012. Production in these areas is largely driven by more local consumption with the exception of Nova Scotia. The processed industry in New Jersey. Rabbiteyes in Georgia fared better and escaped much of the frost. pushing larger volumes into the processed channel with a higher percentage of lower than A/B grade. The heavy rains in the second half of the season upset harvest throughout the southeast. There is also increased interest in newer varieties being reported in New Jersey as growers seek to extend their season with higher quality fruit after Duke harvest is finished. Other producing states such as New York and the Canadian provinces of Ontario. which was destined for the fresh market.Page 19 of 76 2012 World Blueberry Acreage & Production Report 2012 was reportedly a good year with good yields and high demand for fresh blueberries. Southeast The 2012 season in the Southeast was preceded by some concern about the impact of cold weather.

2012 North American Highbush Production . Some contributors expressed concern about Georgia’s Cort Brazelton © 2013 North American Blueberry Council . The average grower in Florida remains small.Southern Region Florida: Florida acreage targeting early spring production continues to grow steadily. North Carolina. although the yields in these two areas remain very low due to young acreage and low input practices. the region’s production increased due in large part to breakneck planting in recent years. Florida and Mississippi/Louisiana fill out the bulk of the acreage for the region.Southern Region 2012 North American Highbush Acreage Growth . With the amount of planted acreage more than doubling since 2003 in the Southeastern states. Indeed it is very common for new varieties to be in very high demand before they have been seen in small scale commercial production. Georgia’s Southern Highbush industry has come to play a major role in the spring market of North America. In some years when Florida is late and/or Georgia early these overlaps can pose a challenge. the region is now the second largest in North America after the Western Region. although a number of larger growers and farming companies have entered the business in recent years and have come to represent a growing portion of the annual crop. Georgia: The acreage and growth in the state of Georgia is notoriously difficult to track. but also increased the rate of replanting. Georgia’s offering in the North American market has been placed in 3 primary categories with the early Southern Highbush playing a lead role in the fresh industry and the fresh Rabbitteyes and processed Rabbiteyes representing the other two categories.2012 World Blueberry Acreage & Production Report Page 20 of 76 process despite the lack of clear market prices while fresh demand was high. the historical founder of the region. Florida growers remain some of the most passionate in the pursuit of planting new varieties. The explosive growth of acreage in the Southeastern US has been nothing short of incredible in the last decade. The industry would benefit greatly from this exercise. High mortality due to high disease pressure and frequent disease transfer from vegetative propagation systems has also limited yields. remains the second largest producer and possesses some of the highest yields in the region.200 planted acres for the 7 states included in this report. as there is currently no official survey of plantings. Average yields in Florida remain quite low due to difficult growing conditions and the prevalence of fields using management systems that utilize less of the technology and inputs found in other competing regions. The largest state and fastest growing acreage by far is Georgia with nearly half of all 32. Even with difficult weather. In a ‘normal’ year the Georgia Southern Highbush crop follows Florida’s crop to keep volumes steady. and production data is based on estimates. All acreage and production data for the state of Georgia contained in this report is based on best estimates by contributors and the averaging of those estimates when there are discrepancies.

which are not genetically or climatically predisposed to concentrated ripening. The University breeding programs have made an aggressive move towards focusing on mechanized harvest and a number of equipment companies have actively sought to introduce machines that can deliver improved quality and lower losses. North Carolina’s 2012 season was described by contributors as a success with spring freezes in Georgia leaving room for North Carolina’s early crop in the market. In summary. short photoperiods and low or no chilling hours. the state of Georgia has a strong position in the market and looks likely to continue its position as the largest producer of blueberries in the Southeast led by its Rabbiteye plantings. This is particularly important to many who recognize that they will face increased competition in the coming years from hand harvested blueberries from developing industries like Mexico. These new fields utilizing new genetics and modern production systems in North Carolina are achieving some of the highest yields in the industry. during a market with declining prices is indeed a challenge. especially amidst labor challenges. Northern Mexico’s growing regions in Baja. Mexico/Central America Mexico’s Highbush blueberry industry. has become a focus in the industry. even of early southern Highbush which has very low concentration of its ripening. but is a passion of many in the Southeastern industry. which began in the late 1990’s with the first commercial trials. North Carolina: North Carolina meanwhile looks to be undergoing a transition of its own as the region’s growers. Replanting continues in the state as new varieties prove themselves in yields.Page 21 of 76 2012 World Blueberry Acreage & Production Report continued planting of older Rabbiteye varieties. Central Mexico represents a new frontier in blueberry horticulture with farming systems being developed for low latitudes. machine harvest. although there were also challenges with spring rains. seek to expand their season and replant with new varieties while utilizing new production technologies proven in other parts of the world. Sonora and Sinaloa involve more traditional ‘evergreening’ systems at latitudes more akin to existing Southern Highbush growing regions. In general the North Carolina crop was excellent after a mild 2011/12 winter. quality and efficiencies. This undertaking will take time. Machine harvesting Southern Highbush. many of whom are multi-generational and of a larger scale than the average in other states. Varieties such as Legacy and San Joaquin have become increasingly interesting for growers as they seek to increase yields and efficiencies. Proximity to market also continues to play to North Carolina’s advantage. For this reason. Some contributors expressed concerns about the long term viability of the processed Rabbiteye business in North Carolina. Hail was also an issue during a portion of the 2012 harvest. allowing the increased use of machine harvesting for fresh when necessary. Meanwhile. has finally begun to leave its infancy and is on the path to becoming a player in the North American and Global market. and there are few other crops which offer such a viable alternative. Labor and Machine Harvest in the Southeast: Labor availability remains a major concern throughout the US and especially in the Southeast due to high competition for workers and a difficult political climate in some states. Northern Mexico looks increasingly to show potential to Cort Brazelton © 2013 North American Blueberry Council . North Carolina also enjoys an extended harvest season starting in May and harvesting Rabbiteyes into July and even August. This report divides the Mexico industry roughly into 2 categories: the North and Central regions. Georgia growers appear unlikely to change current trajectories as returns remain attractive on their rabbiteye fields.

Mexico shows long-term potential. There remains a great deal to be learned in Mexican blueberries. It will be many years before predictable large commercial volumes. Central Mexico has confirmed its ability to consistently supply blueberries in the winter and spring months and experimentation is well underway to develop systems which allow for fall production cycles as well. Michoacán and Colima. Concerns about underperforming fields. The entrance of Mexico to the North American deal will likely cause waves and some Cort Brazelton © 2013 North American Blueberry Council . begin to arrive from Mexico. It does not however. Jalisco.2012 World Blueberry Acreage & Production Report Page 22 of 76 supply blueberries from late winter through the spring months. variety selection. Sinaloa. and most importantly crime and security. With the exception of some processed Highbush Blueberry exports from the Pacific Northwest. and the varieties that will be planted in the coming years. Politics. lead in exports. Most of the key growing regions are also located in areas that face security challenges. Conclusions: North America Leads Global Production: North America remains the undisputed leader in global blueberry production both fresh and processed. however. will inevitably be very different from what can be seen today. Mexican blueberries are likely to become a “closerfresher” counter-seasonal alternative for North America. the territory is still in its pioneer stages. and the ability of the existing post-harvest infrastructure to meet the needs of the growing community and the market are on track to increase before they subside on the supply side. The rapid expansion of acreage in recent years has and will continue to bring challenges. With a truck from Guadalajara to New York City traveling a similar distance to that of a truck from Portland. and it is important to remember that despite rapid growth. as we will see in other sections. with consistent quality. OR to the same destination. are a major barrier to doing business in Mexico. and the innovative culture among Mexican berry growers. The horticultural systems that will be utilized. Given the potential for a high-quality product. North America’s growth in production has largely been driven by internal demand. 2012 North American Highbush Production Mexico & Central America Region 2012 North American Highbush Acreage Growth Mexico & Central America Region The leading production regions of blueberries in Mexico are the states of Baja. labor for fresh harvest. North America serves North America today.

Page 23 of 76 2012 World Blueberry Acreage & Production Report displacement in the next decade as well. often weekly. “the frozen inventory movement thus far has been nothing short of incredible”. Meanwhile. 2012 North American Highbush Production North America Region 2012 North American Highbush Acreage Growth North America Region Frozen Market to Date: The North American 2012 season ended with the highest USDA Cold Storage inventory on record at 238. Mr.5 million lbs. The rapid growth of the Northwest and the Southeastern growing regions will continue to increase their presence in the market as their volumes go up. the data show that 15% of US consumers are reportedly regular consumers of blueberries. Shelford calculates that at current rates of movement. 52% of US consumers purchased blueberries in 2011. moved in the month of December 2012. To quote John Shelford. Cort Brazelton © 2013 North American Blueberry Council . By November 30th this inventory had been reduced to 196. Also driving this rapid consumption is the continued growth of new products utilizing blueberries both domestically and internationally. Marketing experts who contributed to this report found these data exciting for a number of reasons. lower than the figure for the same month in 2012. According to the report. Much of this movement is being attributed to reasonable pricing on the part of sellers. with only 52% market penetration. the 52% of consumers who purchased blueberries at least once represent a group with whom consumption could likely increase. the May 2013 inventory figures could be as low as 80 million pounds. buying them often when they shop. “the 15% ‘frequent purchaser’ trend indicates the potential consumption level of a ‘convert’”. In the words of one contributor. there remains nearly 50% of the US consumer population with whom blueberries can still be introduced. the Packer’s fresh trends data reported interesting figures on market penetration in blueberries. US Market Penetration – Room for Continued Growth: In 2012.5 million pounds and the January report for the month of December brought news of an industry record – 25 million lbs. on August 31. Please reference the tables in the “Global Figures” section for growth of new products utilizing blueberries. Lastly. Additionally. This record movement from public cold storage brought inventory down to 171. The general conclusion is upbeat: North American consumption has grown considerably and there remains significant room for continued growth in domestic consumption. These figures indicate significant growth in domestic consumption while also revealing the potential for continued growth.8 million lbs.

fresh market access is critical for continued growth. their health benefits and other opportunities in the crop are critical to sustain and increase growth. the potential for growth in international markets is immense both for fresh and processed product. With an average of only 3-4% of the domestic US crop exported annually.2012 World Blueberry Acreage & Production Report Page 24 of 76 The Export Opportunity: Increasing exports will be critical for the long term success of North America’s industry. market penetration at 51% • 2012 Fresh market described as exceptional by contributors • 2012 season ended with record high public frozen inventory • Record movement of processed inventory since close of 2012 season • Significant potential in export markets. a focus on growing exports will be critical. North America Fresh Production by Region North America Process Production by Region North America Trends: • Domestic consumption in the US and Canada continues to grow. Industry organizations such as USHBC and NABC will need support to achieve these outcomes. coordinated promotion efforts to increase awareness of blueberries. Taiwan and elsewhere in Southeast Asia. especially to Asia • New variety adoption is most robust in the west and some regions in the Southeast Cort Brazelton © 2013 North American Blueberry Council . Considering current projections for the western crop and the North American crop in general. This is particularly the case in Asia. Beyond access and tariffs. Tariffs are often a challenge in processed exports and now also in countries where fresh market access has been obtained. a standout example being South Korea where Chilean processed and fresh blueberries are subject to significantly lower duties and tariffs than Oregon fresh and all US processed blueberries. tariffs and promotion. Indonesia. The challenge for the 2012 North America Acreage Distribution west remains an issue of market access. With the Chinese market poised to be a world leader in blueberry demand in the next decade and rapidly growing middle classes in highly populous markets such as India.

New Jersey and North Carolina – often utilizing new varieties and improved production systems • Scale and professionalism increasingly differentiates the leading companies • New Products generating new consumption and demand South America Data Review: South America experienced a record season in 2011/2012 led by the continued volume growth of Chile. • South American Acreage more than doubled from 2005 to 2012. especially in major cities and food service for areas serving tourist industry • Mexico showing early potential to provide extended alternative for the Spring months.960 over 7 years Most of Chile’s acreage growth occurred between 2003 and 2007. growing by over 150% in four years and adding a total of 132.000 acres of Highbush blueberries in the 7 year period • • South America is now the second largest player in the process industry after North America Chilean production growth has been immense since 2008.120 acreage to 33. even amidst some difficult years. especially in the last 2 years South American production grew 136% between 2008 and 2012 and grew by over 77% in the two years between the 2009/10 and 2011/12 seasons. the result of heavy planting in the ‘boom years’ of 2003-2007 • • Chilean acreage tripled between 2005 from 11. has continued to grow while Argentina’s has actually declined. counter seasonal production and potentially Fall windows. The following points are worth considering when reviewing these data below: • • • • South America Acreage Increases South America is the second largest global producer led by Chile and followed to a lesser degree by Argentina South American production represents over one quarter of the global crop South American growth is slowing. Chile’s acreage.9 million lbs. Upcoming regions such as Peru and Brazil are beginning to appear in South America figures. • Labor remains a major concern for fresh growers throughout the US in particular • SWD has reached all growing regions of North America and is a serious concern in the industry • Replanting increasingly common in traditional regions of Michigan..Page 25 of 76 2012 World Blueberry Acreage & Production Report • Mexico developing domestic market for blueberries. planting over 25. and the rate of planting continues to slow • Chile’s production increase has been largely driven by young acres coming in to production Cort Brazelton © 2013 North American Blueberry Council .

03 Brazil 0.1 - 0.13 Colombia 0. With this said.01 0.919 9.00 26.4 6.908 32.13 - 0.8 272.450 1.8 272.01 0.950 Chile Argentina South America 43.900 9.039 33.20 - 0.01 0.3 153.04 0.87 220.03 0.01 - 0.105 4.1 137.620 1.8 5.250 33.4 South America Production & Use Comparison: 2007/08 – 2011/12 SOUTH AMERICA 2008 Production 2010 Production 2012 Production PRODUCTION Fresh Process Chile 68.03 0. despite decreases in planted and harvested acreage • • • Argentina’s acreage has continued to shrink since its peak in 2008 Uruguay’s planted and harvested acreage has also decreased Peru has established commercial plantings in the last 2 years Production and Acreage: South American Acreage Growth.01 0.960 154.12 0.0 18.40 - 0.51 154.68 0. Some of this information is arguably easier to collect in a country which exports nearly all of its production.400 10.5 65. 2011/12 Crop SOUTH AMERICA GROWTH TOTALS Acreage 2012 Production 2005 2007 2008 2010 2012 Fresh Process Total 11. The efforts of the Chilean Blueberry Committee and the Chilean exporters association (ASOEX) have resulted in excellent reports from forecasts to real time information on what is happening on the ground during season.20 45.01 South America 92.9 220.40 0.0 0.18 1.1 Total Fresh Fresh Process 14.120 22.50 3.500 7.20 3.03 23.00 25.410 31.850 1.703 43.2 45.2 1.2012 World Blueberry Acreage & Production Report • Page 26 of 76 Argentina’s production grew considerably between 2010 and 2012.30 14. a note on the Chile narrative: the quality of information available from Chile today is second to none.01 0.13 0.64 Uruguay 1.00 123.650 39.60 0.3 14.64 2.4 87.94 - 0.4 190.1 Brazil - 50 200 250 350 0.51 Process Total Total South America Overview Chile To start.51 65.0 0.20 2.54 109.5 81.02 0.20 0.4 Colombia - 10 15 20 35 0.40 Argentina 22.0 115.5 81.20 24.1 16.38 31.76 5.9 Peru - 40 60 80 780 0.5 Uruguay - 1.640 190.33 Peru 0.14 19.01 4. the amount of information available on the industry is Cort Brazelton © 2013 North American Blueberry Council .700 26.60 2.02 0.4 - 0.

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2012 World Blueberry Acreage & Production Report

impressive. Special thanks to the Chilean Blueberry Committee for their quality reports and to Todd
Mauritz for his contributions to the account below of the 2011/12 and 2012/13 Chilean seasons.
2011/12 Chilean Season Summary:
The 2011/12 season in Chile has been characterized as a reasonably good season vis-à-vis other recent
years. A cool spring led to a slow ripening crop compared to 2010-11 season across all regions except
region V up until week 47. By week 49 temperatures increased and weeks 49-52 saw very high
temperatures, especially in the central and center south growing regions near Chillan. This heat wave
concentrated ripening in Chillan to the south, making it difficult for growers to keep up on their harvests.
The heat caused a lot of issues with soft fruit. Thanks to high processed prices, the soft fruit ‘problem’ was
resolved, as much of the fruit that was not suitable for export was diverted to the processed channel. As is
often the case, the south had some rain issues, mostly early and late in their season. The biggest challenge
in the south of Chile came from the ashes dropped by the eruption of the Volcano Puyehue. The blanket
of ashes spread across much of the south and ruined many fields, creating an estimated loss of upwards of
5,000 metric tons (11M lbs) to the industry. Some growers were able to salvage their fruit for processes
through extensive washing of the product, but the economic toll of the volcanic eruption was devastating
for many growers.
The Chilean Blueberry Committee crop estimates for the 2011/12 season were modified twice during the
season. The original preseason estimate was 78,000 tons (about 172M lbs.) for fresh exports. By week 1 of
2012, it was lowered to 73,900 metric tons (162.8M lbs.) fresh and again in week 8 to 70,900 metric tons
(156.2 M lbs.) fresh. Final fresh export volumes from Chile ended the season at 70.100 metric tons (154.5M
lbs.). The diversion by market is reported as being
2012 South America Acreage Distribution
79.43% to the USA and Canada, 16.21% to Europe and
4.26% to Asia and the Far East. The leading reasons
for these gradual reductions from the original estimates
were primarily ash from the volcanic eruption, high
temperatures during the middle of the season, and
some serious rain and hail events in the south. There
were no serious frost events impacting the 2011/12
season (unlike the current 2012/13 season). Only
scattered frost events occurred in very small localized
areas and caused problems in fields without frost protection in November.
Most of the Chilean fresh crop was exported by boat, reportedly 92.6 percent. Air freight has become an
export tool largely utilized in the early season to meet commitments in the markets before the season
reaches full swing and boats can be loaded.
2012/13 Chilean Season to Date:
The spring leading into the 2012/13 season in Chile was generally uneventful, with cooperative weather in
the central to the northern regions where the early harvest realized commercial volumes in November.
Disaster struck from Temuco south to Osorno when an unusually late frost swept across the primarily
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Northern Highbush growing region. There was extensive damage to many fields which were in bloom and
fruit set. This is estimated to have decreased the crop in the south. In the aftermath of the southern
freezes, rains began to fall in the central regions, which is highly uncommon. These December summer
rains devastated the cherry crop and caused serious quality issues in the pack houses. Arrivals of this fruit
were problematic well in to January 2013. These destructive rains were followed by high temperatures in
early January leading to further concerns about arrivals. A great deal of discussion is underway at the time
of the final drafting of this report about the challenge of quality of arrivals from Chile. The Chilean
Blueberry Committee report from week 50 predicted
2012 South American Highbush Production
that mold was likely to be the biggest problem during
the season. Media sources are touching the issue more
frequently. Two opposing forces have arisen in the
Chilean deal. As the market increases its demand for
quality, Chile’s need to ship all its crop long distances
by boat grows, along with the reality of increasingly
erratic weather and other real challenges to delivering
quality fruit (see final comments of Chile section).
In October of 2012, the Chilean Blueberry Committee released its first estimate for the season of 84,900
tons (over 187.5 million lbs.). After the freeze, this estimate was reduced in week 49 to 81,900 tons (180.5
million lbs.). The wide-spread rains, heat and weather issues caused a further reduction in the 2012/13
fresh crop estimate to 72,000 tons (158.7 million lbs.) by week 52. The estimate was increased again in
January 2013 to a range between 175 and 180 million lbs. If these estimates hold true through the season,
Chile’s fresh exports for 2012/13 will represent a moderate increase over the previous years. The lack of
attractive pricing for processed fruit in the 2012/13 season is motivating many Chilean growers to pursue
the fresh channel, even with fruit that poses higher risks for arrivals. Current challenges indicate that the
2012/13 season is on track to be a difficult one for many growers in Chile, driven by quality and arrival
issues. At the time this report was published the quality issues with Chilean fruit arrivals had been an issue
for many weeks. Signs of a cleanup are underway, but much of Chile’s peak has seen serious quality
challenges for the 2012/13 season.
Chilean Local Consumption: With its limited population of less than 17 million people, roughly the
population of the greater Los Angeles, CA area, Chile does not represent a large scale market for consumer
goods. That said, the rising wealthy and middle classes of Chile are increasing their rate of consumption
every year and their demand for blueberries is akin to that of many other products. Even imports of
blueberries during Chile’s ‘off season’ have begun and one can expect to find fresh and/or frozen
blueberries on the shelves when visiting supermarkets in the capital of Santiago. Chile’s market will be
small, but real.
Rise of a Chilean Process Industry: With over 65 million pounds of processed blueberries in the
2011/12 season, Chile has arguably become a player in the processed Highbush industry. With upwards of
80 million pounds anticipated for the 2012/13 season – though this figure may increase due to difficult
weather conditions in the central and southern growing regions during harvest – the North American

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2012 World Blueberry Acreage & Production Report

industry can no longer claim to be the sole actor in the business. For a vast array of reasons ranging from
extensive plantings of varieties unsuitable for fresh maritime export, labor shortages, problematic weather,
extended export and shipping time frames, difficulties in post-harvest management and rising alternatives
such as Mexico with a ‘closer fresher’ product (see North America section), much of Chile’s blueberry crop
simply cannot be shipped fresh.
In the short term, most of Chile’s processed fruit is thus anticipated to be ‘grade outs’ which cannot be
exported fresh. This is notably different than the focus encountered in North America, especially Northern
Highbush regions like the Pacific Northwest, where vertically integrated companies abound that grow,
process and pack solely processed blueberries with a 100% focus on the business. In some cases, the result
is a notably differentiated and high quality product coming from fields designed especially for uses such as
retail IQF and run through facilities especially designed to receive the product and deliver to the target
market. The Chilean industry today, with the exception of 2 known examples, has no farms planted
exclusively for processed. Virtually all of Chile’s processed volume is sourced from product which was not
‘strong’ enough to make the boat trip to the market or did not meet fresh grade for other reason. This
does not mean that there is not high quality processed fruit coming from Chile. It does however mean that
product from Chile today is highly variable.
In the medium to long term, many anticipate a transition in the Chilean processed industry, especially in the
south of the country. As climatic conditions, labor shortages and competition from producers closer to the
markets in the same production window make the fresh business in the south of Chile increasingly difficult,
other advantages of the region do not change. The south of Chile in particular has reasonably priced large
tracts of land, excellent soil, water and growing conditions all leading to high yields and good ‘in field’
quality Northern Highbush blueberries. While the problems above make fresh export increasingly difficult,
the advantages of the region do lend themselves to large scale, mechanized processed blueberry production.
Energy costs still remain an issue in Chile, but a number of companies are beginning to recognize the long
term opportunities in developing professionalized processed industry in Chile, particularly in the south.
Note on Labor in Chile: Labor has become a major challenge in recent years in Chile. With near full
employment and high demand for people in sectors such as mining and services, many people who
traditionally played a key role in harvesting Chile’s fruit crops have now moved on to more attractive
alternatives. The Chilean government is in the initial process of establishing a system to provide work
visas to foreign migrant workers from countries such as Bolivia and Peru. How Chile manages its labor
problems, and the politics of labor (note solutions in the US vs. Canada), will be critical in determining the
ability of Chile to compete globally in the fresh market. This is especially true given the reality that machine
harvest for fresh simply remains too difficult with available technologies, the currently planted varieties are
generally not compatible with significant mechanical handling, and Chile’s distance from the market.
Chinese Market Access for Chile: In June 2011 during a visit by former Chinese vice president (and
now General Secretary) Xi Jinping to Chile, Vice Minister Wei Chuanzhong of AQSIQ signed the entry
protocol documents for importation of Chilean blueberries into China. This event made Chile the first
country in the world to obtain legitimate means of exporting fresh blueberries to China, the world’s fastest
growing market for blueberries. Many years of work by the Chilean exporters association (ASOEX) and
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2012 World Blueberry Acreage & Production Report Page 30 of 76 the Chilean government’s bilateral trade efforts made this landmark event possible. service providers and certainly characters. China market access therefore represents the greatest opportunity and the greatest challenge for the Chilean industry today. for example. China is anticipated to be the single most important market for Chile’s future. Chile’s  Unique  Challenges  Demand  Unique  Solutions Chile’s planting has slowed considerably since the peak growth years between 2003 and 2007. Chile’s rapid growth has brought with it serious growing pains. As the final approval of the treaty and establishment of protocols took time to implement. The production increases in the last 4 years are a result of this extensive planting. Changes in varieties will play a major role in Chile’s competitive future in blueberries. The best of Chile’s growers have some of the highest yields and best in-field quality in the world. Without a doubt. All these factors often lead to problematic arrivals of Chilean blueberries at a time when customer and consumer quality demands are increasing all weeks of the year at the same time that. As Asia is such a critical part of Chile’s future. The Chilean industry has a wide range of companies. the challenge ultimately boils down to a single bottleneck. the other great challenge has come to the forefront – how to ensure quality arrivals of fruit which must travel 40+ days to arrive in the Asian markets. As the phytosantiary and political barriers to shipping Chilean fruit to China have been lifted. Chile’s leading blueberry exporters are some of the most sophisticated. especially as supply to North America comes head to head from emerging producers such as Mexico. Shipments have notably increased. The many reasons for the difficulties aside. specially to China (see section above). there were limited shipments to China in the 2011/12 season that served as trial runs. What separates them from. in the 2012/13 season. informed and professional companies in the fresh produce industry. solving the arrival problems will be more important than ever. Cort Brazelton © 2013 North American Blueberry Council . distance from the consuming markets. suppliers. Improved genetics with excellent post-harvest. their North American and European counterparts is what is being asked of the fruit: a long transit period with over 20 days to the US and over 40 Days to Asia. primarily by air. As anticipated in previous reports. farmers. The question remains how to ensure successful delivery a high quality perishable product to these selective and demanding consumers. Chile faces unique challenges as an industry. mechanized packing and long boat trips a norm and weather is becoming less predictable. the future winners will develop holistic systems which not only address the challenges of today but which deliver greater solutions tomorrow. 2011/12 South American The challenges in North American arrivals with which Highbush Acreage Growth the Chilean industry struggles are only augmented when shipping by boat to the much more distant Asian markets. Labor is in diminishing supply. firmness and flavor characteristics now arriving in the country will help to address these issues for the growers able to reinvest in their future. But varieties alone will not solve the challenges of Chile’s growing pains.

This is particularly the case later in the season when a larger portion of the crop was sent processed. Entre Rios and Corrientes. Volumes continue to grow in the September-October window. high input and labor costs. but it was not a bad year for all. poor initial field design. This is largely a result of three major factors: 1) the adoption of earlier varieties. The region has suffered from difficulties ranging from high bureaucratic costs.’ solutions to the challenges discussed above are likely to arise. Meanwhile Buenos Aires province continues to decline as does Concordia. 2) improved horticultural practices. The diversion of nearly a third of the Argentine 2012 crop to the processed market is believed to have played a major role in the ‘reasonably good pricing’ reported for the season. the volume of Argentine fruit picked in September has tripled. total production continues to increase as remaining fields improve their management systems. In Tucumán the yields were estimated to be 10-25% lower. With heavy rains. Argentina/Uruguay 2012 yields in Argentina and Uruguay were disappointing for many and lower than anticipated. The question for now remains how and when these innovations and solutions will take form. difficult government policies. The acreage in Argentina and Uruguay has persistently declined in recent years due to challenges also addressed in the 2010 report. tornadoes. Growth in these regions has also coincided with the arrival of newer low chill Southern Highbush varieties. almost half that of the 2010 figure and Argentina’s acreage is down more than 30% from its high in 2008. the month which traditionally has the lowest volumes and highest fresh prices. Concerns do persist about the suitability of some of the varieties in Argentina for some processed uses. and hail. particularly retail IQF products. rapid adoption of the wrong uncompetitive varieties early on. As mentioned above. keeping volumes more manageable from weeks 48 and later. and 3) growth in the ‘earlier’ low chill growing regions of Tucuman and Corrientes. Estimated to be above 14M lbs. but in general reception of processed fruit from Argentina is welcome according industry participants. Entre Rios province. new varieties are adopted and the competitive farmers and companies professionalize. growers had difficulty harvesting their crop and meeting quality standards. 2012 also saw a measurable increase in the volume of Argentine blueberries diverted to the processed market. Fortunately for Argentina there were higher volumes concentrated in the month of September. Uruguay acreage is down significantly. the 2012 processed figure is up from 2011 and fully 7 times higher than the 2010 figures. lack of effective management systems in many fields. Cort Brazelton © 2013 North American Blueberry Council .. especially in the growing areas of Buenos Aires. and a host of other issues which have plagued both Argentina and Uruguay since the rapid boom years during which expectations were high and decision were made quickly. Over the last three years. Most new acreage growth in Argentina is concentrated in the Northwest of the country in Tucuman and the new northern growing regions of Corrientes as both have proven more suitable for early season low chill blueberry production.Page 31 of 76 2012 World Blueberry Acreage & Production Report From this rich tradition of ‘fruit people.

Additionally. Most of the current planting is in public varieties on farms near urban centers. all fruit shipped to the US must be fumigated as in Argentina or must undergo extended cold treatment. although there are some commercial plantings under way that show potential. slowly developing blueberry industry in Colombia is interesting in that the growth up to this point is driven entirely by local demand for the fruit. There are also barriers to Peru developing a successful and globally competitive industry. between 4 and 12 degrees. where fruit can be harvested and sold locally. even lower than central Mexico. Cort Brazelton © 2013 North American Blueberry Council . Some growers have realized moderate success and there is an interest in the crop. water. Colombia The small.2012 World Blueberry Acreage & Production Report Page 32 of 76 Peru The development of the Peruvian blueberry industry to date in some ways draws memories of the early frontier work in Mexico over a decade ago. have been underway for a number of years. With the growing potential of low latitude blueberries becoming apparent. Although there has been some fruit harvested in the fields. There are large farming companies in Peru with significant land bases. the Colombian blueberry industry is a local affair. The potential of blueberries as a crop is Peru is still in early evaluation stages. Trials with public varieties. due to med fly quarantines. At this time there are no reported competitive commercial plantings in the world below a latitude of 20 degrees. 2012 South America Fresh Production 2012 South America Process Production Note: The similarity in Fresh and Process distribution is not an error. Peru became a signatory to the UPOV 1991 Convention on intellectual property (IP) and plant breeders’ rights (PBR) in 2011. it is possible that Colombia could one day become a net exporter of blueberries as well. This represents a growing trend in Latin America of local demand for blueberries beginning to have an impact on growth. Peru still faces the same freight and shipping bottlenecks. with varying degrees of success. For the time being. especially Bogota. improving the potential for the country’s growth and access to new varieties in many high-value crops. Though somewhat closer to northern markets than Chile and Argentina. capital and labor available in some regions of the country. implementing global standards for IP protection and enforcement. Farming in Peru occurs at very low latitudes. there is no example of systems in place in Peru for post-harvest and export of blueberries.

In summary. and Chile and Argentina are the only suppliers with any true volume to serve the growing markets. The European and Asian markets present a challenge in ensuring quality arrivals. but faces external challenges to its position and internal challenges to staying competitive • Chile’s fresh market access to China presents a unique and exciting prospect for the industry • In Argentina and Uruguay the industry leaders are consolidating positions and professionalizing • Blueberry production is being explored in Perus • New Varieties will be critical to future success as growers seek to achieve higher yields and efficiencies but also importantly. Conclusions: South America .Looking Forward In today’s market. facing serious structural challenges to remaining competitive – challenges both internal to the industry and external competitive forces such as the ‘closer fresher’ Mexico. especially Chile and Argentina. Meanwhile. The landscape is beginning to change however with Chile.Page 33 of 76 2012 World Blueberry Acreage & Production Report Brazil Like Colombia. New growing regions such as Peru. coupled with steady growth in exports to North America. Major growth is anticipated in exports to Asia and Europe. The complexities of the challenges and opportunities facing the South American industry have never been more pronounced. Colombia and other developing markets in the continent will become key markets for their product. This trend is likely to continue and many of the leading companies in South America believe that within the next decade Brazil. South America Trends: • Chile is the second largest producer of Highbush blueberries in the world after the US • Chile leads South America. better arrivals • Problematic maritime arrivals present the greatest challenge to long term position of South America’s blueberry industry Cort Brazelton © 2013 North American Blueberry Council . Brazil and Colombia are now on the radar with Peru’s large professional producer/exporters eyeing the international off season market and Colombia and Brazil beginning to produce blueberries primarily for local needs. Most plantings are currently concentrated in the south of the country and introduction of new varieties has been limited to the activities of a marketing company licensed to university varieties for the territory. vertically integrated and diversified companies of scale in the industry. the character of the South American blueberry industry is changing. the current leader. South America remains the undisputed leader for counter seasonal blueberry supply. blueberries are increasingly desired among the expanding consumer market. the Brazilian blueberry industry is also driven by local consumption. With its burgeoning middle class and many urban centers with rapidly growing markets for all consumer goods. and North America will increasingly source from Mexico as well as South America. All contributors noted these trends without exception and emphasized their belief that this environment played to the strength of professional. Argentina’s acreage is diminishing amidst a theatre of simultaneous decline and parallel professionalization. Brazil is gradually becoming an important market for other nearby blueberry producing countries.

is predicted to be most important export market in next decade. When reviewing these European data. Germany and Poland. consider the following: • European acreage and production remains small when compared to its total population and the size of its consumer market • Europe’s production growth. though starting from lower figures. Chile and elsewhere in South America • Consolidation is underway in South America.101 in 2012 – an increase of almost 150% • Europe’s leading producing countries are Spain.736 acres in 2005 to 24. has been rapid in recent years growing by 44% from 2008 to 2010 and 21% between 2010 and 2012 • Europe’s rate of acreage growth has been rapid. though also starting from a lower figure. however the bulk of production and acreage is concentrated in a few countries. With the mainland European market beginning to gain momentum.2012 World Blueberry Acreage & Production Report Page 34 of 76 • Asia. contributors anticipate continued growth. Most European countries have some Highbush plantings. especially in Chile – the 2 largest companies in the South American industry began a merger in later 2012 • Currency exchange rates can be problematic in countries like Chile with high value resources such as copper pushing up currency value and thus negatively affecting exporters • Economic development increasing costs and often impacting labor availability Europe Data Review: Europe’s acreage has continued to increase. though its production has been slow to follow. having gone from 9. particularly China. Colombia. especially for Chile • Distance to market and maritime arrivals will be a greater challenge as South American exporters pursue the more distant Asian market opportunities • Blueberry consumer markets are developing in Brazil. followed to a lesser degree by the Netherlands – together the leading 3 countries represent over 70% of European production • • The European process industry remains small Fresh remains the primary channel for Europe’s Highbush crop Cort Brazelton © 2013 North American Blueberry Council .

Page 35 of 76 2012 World Blueberry Acreage & Production Report Production and Acreage: European Acreage Growth.0 - 0.0 - 25 35 35 40 0.954 7.375 7.1 1.2 0.3 1.5 0.900 7.3 Netherlands - 580 600 1.2 8.970 Central & Northern 4.780 24.7 7.615 10.640 27.4 25.100 2.954 4.954 6.1 2.180 1.2 Austria - 100 110 125 205 1.640 27.038 20.2 - 0.2 4.7 0.3 28.4 - 0.9 0.330 Europe 9.8 3.448 6.780 24.9 0.3 - 0.6 0.600 3.063 5.270 3.3 9.645 22. 2012 Crop EUROPE Acreage 2012 Production GROWTH TOTALS 2005 South & Western 1.954 7.334 3.6 7.4 Europe 9.0 Others - 120 140 160 400 0.7 98.8 Spain 494 1.9 22.800 8.615 10.350 37.1 0.705 Cort Brazelton 2007 © 2013 North American Blueberry Council 2008 2010 2012 Fresh Process Total 4.2 1.565 8.736 16.7 Baltics - 250 290 335 450 1.1 0.7 4.448 6.2 - 0.1 0.6 3.101 90.7 49 550 550 670 800 2.2 Switzerland - 50 50 55 130 0.736 16.138 8.2 445 540 600 680 860 4.7 Ukraine - 160 180 190 320 0.4 Sweden - 80 80 90 100 0.6 0.4 Rep.700 6.195 9.195 9.111 24.7 98.4 0.870 2.6 Eastern 3.6 28.3 3.350 37. of Georgia - - - - 16 0.2 Poland 3.7 - 2.334 3.7 99 320 330 480 610 2.270 3.5 Romania - 100 120 130 280 0. 2012 Crop EUROPE GROWTH Acreage 2005 2007 2008 2012 Production 2010 2012 Fresh Process Total France 741 810 840 890 980 3.9 3.3 28.000 3.8 41.6 7.101 90.2 21.6 28.400 5.5 0.330 7.705 18.300 5.8 3.970 4.7 Denmark - 50 50 60 70 0.630 8.138 Eastern 3.050 21.8 41.7 1.630 8.111 24.2 Portugal South & Western Germany Ireland Italy UK Central & Northern By Region: European Acreage Growth.1 3.2 - 1.580 20.9 3.375 7.4 18.000 3.2 .5 0.038 20.

30 0.9 3.42 - 0.00 - 1.20 17.20 0.30 0.00 2.8 3.03 8.4 12.1 31.64 0.10 0.15 Italy 3.8 28.05 0.10 0.1 Eastern 17.60 0.40 0.6 12.73 1.15 - 0.60 0.60 2.01 - 0.01 Others - - - 0.10 1.40 0.10 0.10 0.10 0.1 25.40 Rep.2012 World Blueberry Acreage & Production Report Page 36 of 76 European Production & Use Comparison: 2008 .22 0.40 0.4 0.91 23.6 28.20 - 1.8 28.0 37.8 0.5 81.6 7.50 0.21 19.43 3.66 0.76 0.63 - 17.20 1.1 24.80 Spain 9.30 3.42 0.30 0.6 23.2 24.65 - 0.03 0.7 Baltics - - - 1.2012 EUROPE PRODUCTION 2008 Production 2010 Production 2012 Production Fresh Process Total Fresh Process Total Fresh Process France 2.70 12.44 0.30 - 0.75 0.2 24.0 56.20 - 0.65 2.40 25.10 2.01 0.10 0.8 3.30 3.70 Denmark 0.2 South & Western Germany Central & Northern Total Production & Use Comparison by Region: 2008 .20 0.8 41.63 21.2 Austria 0.97 3.13 0.20 0.23 2.30 0.2 .4 68.1 90.53 0.09 0.20 21.40 3.50 Romania - - - 0.33 16.10 2.8 41.20 - 9.0 37.42 2.20 0.13 - 0.22 0.6 18.6 1.2012 EUROPE ANNUAL PRODUCTION 2008 Production 2010 Production Fresh Process South & Western 12.40 0.22 3.1 24.20 Poland 17.10 0.10 0.2 12.6 1.95 20.56 16.11 0.20 0.22 3.18 0.40 Sweden 0.6 28.20 Switzerland 0.70 24.40 - 0.9 2.30 Netherlands 3.2 31.84 9.00 13.10 1.30 9.70 Portugal 1.70 - 2.9 0.7 98.26 1.10 3.09 0.05 - 0.05 0.28 0.9 Europe 54.86 4.50 2.10 - 1.6 23. of Georgia - - - - - - 0.9 2.50 0.3 28.3 28.0 Central & Northern 24.70 0.4 0.70 Ukraine - - - 0.9 3.60 18.86 18.4 2.4 68.9 0.75 22.8 0.4 2.0 15.20 0.6 Cort Brazelton © 2013 North American Blueberry Council Total Fresh Process 2012 Production Total Fresh Process Total 27.6 18.65 UK 0.10 3.31 0.1 25.6 7.7 98.28 3.2 12.2 26.10 0.55 Eastern 17.00 Ireland 0.1 90.7 10.20 4.9 10.90 22.2 26.4 Europe 54.4 0.0 27.60 0.0 56.4 0.0 15.5 81.71 1.45 0.23 0.50 0.42 - 2.

Companies who invested in early varieties suffered the most in the freezes. While 2012 was not a stellar year in the fields for European growers. which was particularly damaging for precocious evergreen production in the low chill growing areas of Huelva (Andalusia. but the industry on average received excellent prices during the spring shortage. The European deal. exciting developments are underway in the mainland European market. followed by many additional cold days and nights in the spring. prices held reasonably strong through most of the season. Spain) and Morocco (see next section).Page 37 of 76 2012 World Blueberry Acreage & Production Report Europe Overview: As with other global regions in 2012. although other parts of Iberia are beginning to grow. was dealt a tough blow as February 2012 saw heavy freezes across Europe and North Africa after a relatively soft winter. Without a serious peak in production. Southern Europe The clear leader in Southern European blueberry production is Southern Spain. The cold winter and spring weather did much less damage in northern Europe as plants were dormant and at times worked in favor of blueberry growers. February 2012 was one of the coldest European Acreage Increases on record in much of Europe. Europe was not spared from harsh weather events. Spanish growers with frost protection systems were the biggest winners in Europe’s 2012 Southern Highbush season. 2012 European Highbush Production Southern & Western Europe 2012 European Highbush Acreage Growth Southern & Western Europe Iberia The harsh weather is estimated to have cost 25% of all spring production in Iberia and delayed the peak harvest of the Southern Highbush crop 15-20 days. especially the Southern Highbush industry. Acreage growth in France remains less boisterous as French consumption has yet to develop compared to other markets in the northern and central Europe and the UK. as their crop came through the cold much better than other berries. Cort Brazelton © 2013 North American Blueberry Council .

Polish workers also continue to come in to harvest the German crop.2012 World Blueberry Acreage & Production Report Page 38 of 76 In Portugal.80) per hour in 2012). Cort Brazelton © 2013 North American Blueberry Council . producing fruit from the summer months with mid and high chill Northern Highbush (such as Draper and Aurora) and then extending into the fall with some of the newer Rabbiteye varieties with higher fruit quality (such as Ochlockonee). As the climate has become increasingly unpredictable for German growers in the last decade. The last census on seasonal labor showed over 250. Northern Spain has a wide variety of mid and high chill growing regions which are increasing in acreage. Central & Northern Europe Central and northern European blueberry growers had a decidedly better crop year than their neighbors to the south. Increasingly the primary focus of growers in this region is the September-October window with the goal of shipping better quality fresh fruit to the markets than is available from Poland and Central Europe at the time. Similar growth is underway in the north of Portugal.70 ($8. mainland European blueberry growers are markedly optimistic and upbeat about the future. Portugal and northern Spain benefited from the higher chill accumulation and good harvests in 2012. though the limited tools (especially registered chemicals) for combatting anthracnose and mummy berry remain a frustration. Average wages for seasonal workers has increased each year (last data shows an average wage of €6. In general. Predictability and reliability in labor is a challenge in Germany. with most growers focused on mid and higher chill blueberry varieties. many have invested in technology and infrastructure to improve fruit quality and protect their crop. Germany German growers had a reasonably good year with increased volume over 2010. Most of Germany’s production growth continues to be in Niedersachsen and the North and Northwestern regions. the plantings of older higher chill Southern Highbush varieties like Oneal benefited from higher chill accumulation and had good leafing leading into their fruiting season. Virtually all of the growth in Germany is driven by an increase in German demand for blueberries. In the aftermath of the 2012 season. and that number is predicted to be much higher for 2012. although there is some respite from this stress as the EU has taken aggressive steps to allow 2012 European Acreage Distribution free movement of seasonal workers from the new eastern members such as Romania and Bulgaria.000 people working seasonally in Germany in 2009. Northern coastal provinces like Cantabria and Asturias are proving to have potential for very extended supply. Both regions have continued to develop in recent years. They faced an upbeat market undergoing rapid changes coupled with increasingly professional marketing channels.

Competing with lower cost fruit coming from eastern countries is a challenge.Page 39 of 76 2012 World Blueberry Acreage & Production Report Italy The Italian blueberry industry has grown gradually vis a vis other regions. The Italian blueberry industry is led by a larger grower cooperative in the north and another group led by a handful of larger growers. Most of the blueberries sold in Switzerland remain imports. We believe there will be steady increasing consumption in the future. Cort Brazelton © 2013 North American Blueberry Council . Pergher was one of many European contributors who drew attention to concerns about the recent arrival of the Spotted Winged Drosophila (Drosophila Suzukii) in Italy. In general the Austrian market has been a bright spot with increasing consumer demand. the focus of most growers 2012 European Highbush Production today is either the early market or the late season Central & Northern Europe market. but has nonetheless almost doubled in size since 2005. but local production is growing despite the challenges in available land and inputs. Italian growers have a very positive outlook for the future in 2012. pushing retailers to keep quality blueberries available for year round consumption. The primary driver for planting is good demand in the Swiss marketplace with retailers like COOP reportedly eager to expand their blueberry offering. Austria and Scandinavia. led by fresh at the beginning and later probably in processed in other countries where the production is higher. much of the Italian production is shipped to the UK and increasingly to Switzerland. often by utilizing controlled atmosphere storage. though also small. Austria The Austrian industry. Some planting has been underway in Veneto and Calabria. The majority of Italy’s blueberry plantings are concentrated in the north near Verona and Trento (Trentino). Switzerland The Swiss blueberry industry remains small but growing. has a number of advanced and innovative growers who are utilizing high end production systems. even in the summer months. but many growers have found ways to keep their market position through variety selection and product quality. “we are very positive about the European and domestic market. Germany. There are a number of government support programs underway to support blueberry planting as an alternative crop for growers.” On the gloomier side. Mr. To quote Andrea Pergher. Though July remains the peak for production. Although Italian blueberry consumption is growing.

UK growers were disappointed in their yields in 2012 but very happy with prices (see UK market paragraph below). In this demanding and vibrant market. there is an eagerness for improved varieties than what is currently available. the Dutch fruit has continued to be highly competitive in the market with the majority of the fruit shipped fresh. Scotland is worth a separate mention for 2012. Though the growing season can be even shorter than those of the English neighbors to the Cort Brazelton © 2013 North American Blueberry Council . Some of the most innovative blueberry growers in the world are in Holland. quality. packing. as in so many other crops. variety management. UK retailers are famous for their persistent demand for differentiation opportunities. There is an increased trend towards replanting of older fields with some of the Michigan State University varieties. estimated to represent 30-40% of the production in the UK. the longevity of which remains to be seen. listing food miles on clamshells). Many growers interviewed in the last year have referenced their difficult soils and short growing season as a challenge in achieving high yields. With the highest average yield per acre in the Northern Highbush regions of Europe. Highly creative and competitive growers in the Netherlands continue to innovate and develop new systems for all aspects of the crop from field establishment. traceability.2012 World Blueberry Acreage & Production Report Page 40 of 76 Netherlands Of the smaller European countries the Netherlands.g. A visit to a Dutch blueberry farm is often accompanied by some unique surprises. remains the undisputed leader and Central and Northern Europe’s leader in blueberry horticulture. Good blueberry soils are difficult to come by in much of the UK and there are concerns that many of the existing fields are not planted in ideal locations. UK The mainland European market is indeed growing. the UK blueberry growers have built a comparatively smaller but growing local supply especially during the summer months. as the region is starting to become a player in the UK industry. Over the last ten years the UK has grown from virtually no commercial Highbush blueberry production to nearly 800 acres. The largest growing region is in eastern Netherlands between Venlo and Eindhoven. Central & Northern Europe cold chain and distribution. and great interest in new varieties being introduced to the market. but the UK still remains the undisputed leader for blueberry consumption in the continent. transparency to the consumer and sustainability (e. the UK has set the bar for the global industry in what a consumer can expect and what a grower and a shipper can provide to a retailer and their customers. 2012 European Highbush Acreage Growth mechanized harvest. Many farms have opted for growing blueberries in large containers rather than their native soils. For this and other reasons. and an increasing portion machine harvested and shipped to nearby markets. Some are “containerized hydroponics” farms while others look like a traditional farm at first glance but are set up for mechanized applications and harvest in ways one does not often encounter in other parts of the world. containerized production. In many regards.

The UK is the undisputed leader in European consumption and has grown a great deal. the cost of land and labor have risen and the industry is starting to experience some of the same challenges of its western neighbors. Eastern Europe Without exception. The challenge today is. the leading retailers continued to be focused on product quality and were willing to pay for it in blueberries. the Scottish climate allows for effective late season harvest windows. Rains during harvest can also be an issue and tunnels are likely to become commonplace in coming years as they have elsewhere in the UK. water and labor were widely available and costs were comparatively low. By 2007. Additionally. As a developing country after the fall of the Soviet Union. especially thus far since the last report in January 2012. It is early days for the Scottish blueberry industry. This system has favored larger and more professional Cort Brazelton © 2013 North American Blueberry Council . Land. Week on week as compared to 2011. again. Poland had the largest acreage of any European country. Growth is projected to be led by both new local players and operators from the west eager to expand into lower cost regions. UK market pricing has held steady through the 2012 season and have actually increased since the low volume point of September 2012. Another interesting trend in the UK market is that consumers shopped more often but bought less when they went to the stores. as it is arguably part of the plain of Central Europe before the mountain chains which truly separate west from east.Page 41 of 76 2012 World Blueberry Acreage & Production Report south. 2012 blueberry prices in the UK averaged 6-7% higher. there is still room for growth according to Mr. genetics as the varieties currently available for late season such as Elliott are not acceptable for the demanding market they serve. These harsh winter conditions and threat of spring freezes has often limited Polish production. all European contributors to this report anticipate growth in the coming years in Eastern Europe. The demand for quality plays out year round in the English market with retailers paying a premium for quality local UK fruit over polish fruit and also the best counter seasonal product available from Chile. As Poland’s economy has developed. Taylor and other sources such as Kantar. UK Market: In the UK. Many smaller growers also planted. growers must deal with extreme winter conditions. Stanislaw Pluta for his help on information on Poland and other nearby eastern countries. but the growers are on the map and recognized as active players in the market today. A special thanks to Dr. Poland Poland could easily be included in the ‘Central Europe’ category. There is a significant divide between the professional operations with GlobalGAP and other key certifications which allows them to ship fresh fruit to any European market and growers who do not have the benefit of those systems and certifications. Argentina and especially South Africa. Some westerners came in to add to the growth while a number of large producers took significant positions in the crop. meaning that 35% of households buy at least 1 punnet of blueberries once a year. This has played out well for quality counter-seasonal product. Historically it has been presented as part of the Eastern European blueberry industry due as much to the politics and economic realities of the last two decades. In general. Nonetheless. reaching temperatures as low as -40°C some years. Market penetration of blueberries in the UK is 35%. blueberries became one of the popular crops in the ensuing years. especially during the 2000’s.

a lack of knowledge and experience combined with limited resources often leads to slow developing fields with low performance. In a country which less than a Eastern Europe decade ago was a net labor exporter to its neighbors in the EU.2012 World Blueberry Acreage & Production Report Page 42 of 76 producers. A lack of available tools for disease control is making fungal pests like anthracnose a serious issue. like their neighbors. Polish growers. The challenge is finding varieties that are sufficiently cold hardy to make it through the Polish winter and are conducive to machine harvesting for fresh. In recent years Romania has become more active with both new local and foreign blueberry investors. estimated to represent about 15-20% of the production.  Republic  of  Georgia. the long term challenge remains the increasing costs of production. This is reportedly due to a variety of factors. Cort Brazelton © 2013 North American Blueberry Council . The biggest 2012 European Highbush Production challenge is labor. Latvia and Estonia have followed the growth trends of Poland on a smaller scale. most in the European industry to not anticipate most Polish growers to increase average per acre yields in the coming years. The greatest challenge throughout Poland is the extreme winter cold and the spring frosts which limit the crop in most of the country each year. Polish consumption is growing but most of the fruit must still be exported to markets with higher consumption rates. Land costs have increased. Prices for certified fruit in the European markets were quite good in 2012 and most growers report higher yields than 2011. In the whole and in spite of the concerns listed above.  Romania.  Ukraine. Stanislaw Pluta points out a number of other challenges for the industry as well. there is a lack of packing capacity for the anticipated volume in the coming years. Growing domestic consumption in Poland will be important in the coming years. Yields in Poland are notably low considering the planted acreage. Additionally. Baltics. Lithuania. the eastern European countries on the list today are largely newcomers. Trends in increased mainland European consumption and increased processed blueberry usage are all leaving growers hope that there is still a good future in blueberries if they can develop solutions to their current and future challenges. are reportedly optimistic about the future. labor availability and cost of labor is an increasing challenge in Poland. tends to be sold locally. especially near centers of population. Dr. but are still comparatively low. It is predicted that the future of the Polish industry will be similar to that of other countries in the West with machine harvesting for fresh becoming an imperative rather than an option. For the many small growers in Poland. For these and other reasons. The uncertified fruit.  Others… Putting aside the Baltic States and to a lesser degree Romania. While in the short term certifications and traceability are a limiting factor for some growers. Romania’s early development was sparse and the most notable activity was actually driven by foreign investment from a Chilean company.

especially in Serbia. Other crops suffered more. There has been small acreage in the Balkans for many years while notable commercial activity is more recent. more information can hopefully be provided in forthcoming reports. There is also early work underway in processing blueberries in Republic of Georgia. The market for the Ukrainian fruit is primarily domestic and Russia. Some of these trials have been highly successful in the Georgian climate which in the Black Sea region is similar to that of North Carolina or the Sacramento Delta of California.Page 43 of 76 2012 World Blueberry Acreage & Production Report The ‘new east’ is a dynamic mix of new countries with new players and some familiar ones from Western Europe or elsewhere. but also for Russia. The Ukraine has arisen as a potential player in the blueberry industry. particularly in the last 5 years. the Year SWD Arrived in Europe: Another key standout from European contributors this year was the concern about the arrival of SWD across Europe. A number of contributors asked directly what could be done to work more with their North American counterparts on the invader. Cort Brazelton © 2013 North American Blueberry Council . Poland to Spain. There are unsubstantiated reports of government support of large scale propagation and planting efforts underway in Belarus. Reporting for 2012 on this region is spotty and is therefore included in the ‘other’ section of the Eastern Europe category. Some of these companies show potential while other projects remain in question. More information will hopefully be available in future reports. The author strongly advocates increased communication and collaboration on a more international level to share information and cooperate however possible to begin developing solutions for the SWD issue. a major growth market for blueberries in greater Europe with no significant blueberry production of its own to speak of. Again. These early successes are now drawing attention from local and foreign companies looking for a cost effective region to grow fresh fruit not only for the European market. are long time raspberry growers who are looking to balance their risk into another crop. many industries are considering Georgia as a center of activity in the Black Sea. A number of years ago the Government of Georgia began supporting trialing and research efforts to evaluate the potential of blueberries. From the UK to Italy. Many of these growers. the European industry is beginning to take an organized approach to this new and challenging pest. but the impact was noticeable in blueberries. With a young dynamic population and policies friendly to foreign investment. Meanwhile in the Balkans in countries such as Serbia. Croatia and Montenegro. There are some regions in Georgia where even citrus can be grown. blueberries are being adopted as an alternative crop for local growers. As in North America. the Black Sea region and the Middle East. There are professional farming 2012 European Highbush Acreage Growth companies in other crops in the Ukraine and some of Eastern Europe them have begun to take positions in blueberries. Other countries with rumored activity include Hungary and Belarus. the spotting wing drosophila SWD fruit fly did damage to the blueberry crop across the continent. The Republic of Georgia is also showing exciting potential. 2012.

Germany. Germany leads the new wave of consumption: Blueberry consumption is increasing in Europe and especially in Germany with 2012 being the best year thus far. those retailers are turning to their key suppliers to deliver consistent quality blueberries to their shelves every day. especially higher end retailers in the Netherlands. some European retailers. There remains an advantage for local producers as European consumers will always tend toward local production when it is available. In our newsgroups (consumer attitude surveys) we made with consumers. Blueberries are always the number one product regarding health aspects and everybody knows that they “renew” your body. one contributor stated. Even in the leading market of the UK. Part of this development is attributed to the uptake by retailers of a ‘berry patch’ strategy. an aging Cort Brazelton © 2013 North American Blueberry Council . Finally it appears that mainland Europe is starting to regularly consume blueberries. Blueberries are well seen.” Plenty of Room for Growth: Despite this exciting uptick in berry and especially blueberry demand in mainland Europe. Recognizing the clear opportunity to boost profits. but with near 750 Million consumers. Switzerland and Scandinavia have made a conscious decision to offer the fresh berry category year round. Contributors referenced the growing trend of regional brands and emphasis of the supermarkets on regional production. The trend may offer some protection for growers in places like Germany and Austria from competition from Eastern Europe in the summer months. As especially in Germany people are quite educated about nutrition. market penetration remains lower than the US at 35%. Upon being asked to give an example in an interview. The new wave of blueberry consumption is just starting to arrive in central and northern Europe and there is plenty of work to do. The establishment of the ‘berry category’ in European retailers is clearly catching on and when local supply is not available. Often. blueberries are the lead offering in their promotions. “to get a feeling what high reputation blueberries have in peoples’ minds in German speaking Europe you only have to “Google” Blueberries in the net.2012 World Blueberry Acreage & Production Report 2012 Europe Fresh Production Page 44 of 76 2012 Europe Process Production Conclusions: Mainland Europe Market: A Waking Giant? There is exciting news across the board from contributors on the increasing demand for blueberries in the Continental European market. berries remain the number 5 category. the UK has been the primary driver for increased blueberry consumption. already common in North American supermarkets. There is still plenty to do and plenty of room for growth. Austria. For well over a decade now. compared to the UK where berries are the number 1 category in the produce section.

While off season exports play a major role. Europe’s market must be served during the spring. but there are limits to growth in most the western European countries. there are exciting developments in the European blueberry market. labor and other costs bring in to question the viability of large scale farming to meet European demand for blueberries in the coming years. Additionally regulations.Page 45 of 76 2012 World Blueberry Acreage & Production Report population. summer and early fall from production closer to home. Note the growth of Morocco to serve the European spring and the growth in Turkish acreage. UK and German markets • Poland leads in acreage but average yields are notably low and likely to remain so • Spain leads in productivity • Eastern Countries beyond Poland beginning to develop • European market is very selective in quality and flavor • Lack of available tools and difficult weather in Northern and Eastern Europe respectively have made achieving high yields difficult for many growers • Greatest unknown: If the European blueberry market truly ‘booms’. where will the production growth occur to meet the demand? • New Promotional efforts are working in much of Europe and blueberries are increasingly ubiquitous in advertising and new food products Mediterranean & North Africa Data Review: The leading production area in the Mediterranean and North Africa region today is Morocco. a culture which values health and increasing awareness of the blueberry health message. Cort Brazelton © 2013 North American Blueberry Council . indeed UK consumption is higher during the Chilean season in most years than in the summer months. The large tracts of farmland utilized in intensive horticulture found in the Americas are simply not abundant in Western Europe. The growth of local production in Germany to serve domestic demand provides some insight into the future. Where will the fruit come from? In discussions with contributors about the European industry. conversations about the growth in European demand are inevitably followed by the question of where the increased production will come from to serve this growing market. Europe Trends: • Mainland Europe is beginning to notably increase consumption • The UK remains the primary market for Highbush blueberries in Europe • German acreage growth driven by German demand for local fruit • Netherlands continue to play competitive role a summer supplier for local.

09 0.8 - 0. Africa Total Mediterranean & North Africa Overview: Morocco As outlined in the 2010 report.02 Others - - - 0.2012 World Blueberry Acreage & Production Report Page 46 of 76 Production and Acreage: Mediterranean & North Africa Acreage Growth.0 - 0.10 0. This is also development by local companies.05 Turkey 0. the volumes will follow shortly thereafter.0 Others - - - 2 1 - - - - 215 355 672 1.4 0. Although Morocco’s acreage remains small. the agriculture export sectors are finally coming back to life as the political situation calms.1 Tunisia - - - - 2 0.1 Turkey - - 120 150 220 0. Egypt & Tunisia Two years after the revolutions in Egypt and Tunisia.13 0.2 5.35 0.01 0.2 0.1 0. the industry is growing fast and as the fields in question are quick-to-produce Southern Highbush.10 0. Contributors continue to anticipate Morocco to be an important supplier of spring blueberries throughout Europe in the medium to long term.30 1.10 - 0.1 5.9 - 4.0 2.01 - 0. Africa Mediterranean & North Africa Production & Use Comparison: 2008 . tree fruit.1 5.10 - 0. & N.02 1.10 0.4 0.2012 MED.90 - - - 0.1 - 0.5 Israel - 25 30 35 35 0.45 Israel 0.79 4.02 - 0.30 - 0. AFRICA PRODUCTION 2008 Production 2010 Production 2012 Production Fresh Process Total Fresh Process Total Fresh Process 0.10 - - - 0.1 - 0. Little has happened in these countries in blueberries since the 2010 Cort Brazelton © 2013 North American Blueberry Council .01 0. & N.90 - 4. citrus.5 Morocco Egypt Med.05 - 0.098 5.5 Med. the move to Morocco to grow vegetables.01 0.9 Egypt - 20 25 35 40 0.50 - 0.4 0. 2012 Crop MED. & N. avocados and berries has become a dominant trend in supply strategies for Europe. & N. AFRICA GROWTH TOTALS Acreage 2005 2007 2012 Production 2008 2010 2012 Fresh Process Total Morocco - 170 180 450 800 4. The high costs of farming and labor difficulties in Spain have driven a move by some European companies to develop operations in Morocco.76 0.50 0.10 Tunisia - - - - - - 0.14 0.8 2.10 - 0.

Page 47 of 76 2012 World Blueberry Acreage & Production Report report. The potential of growing blueberries remains noteworthy and commercial trials are underway throughout the country. stone fruit and cherry industries. Discussions about the potential of Turkey occurred in a number of interviews with contributors but activity on the ground remains limited. Turkey: The potential of Turkey both as a production region and a market for blueberries has been mentioned but little activity of any scale has occurred to date. Mediterranean & North Africa Trends: Middle Eastern Market: Market demand in the Middle East is growing. Prices for locally produced fruit are thus very high. Cort Brazelton © 2013 North American Blueberry Council . Tunisian growth in most high value crops is geared toward exports to Europe while Egyptian products are increasingly marketed in a much wider band from Europe to the growing middle eastern markets and even to the domestic market in Egypt. 2012 Mediterranean & North Africa Highbush Production 2012 Mediterranean & North Africa Highbush Acreage Growth Turkey The 2010 report referenced the impact of the Turkish horticulture industry on the table grape. but labor is abundant and the climate highly conducive to low chill blueberry production. Morocco on the Rise: Morocco’s blueberry industry continues to grow and is beginning to deliver commercial volumes to the European market. The plantings at this time are geared toward supplying the local market in the many urban centers in the highly developed country of 70 million people. Awareness of blueberries in the Turkish market is high. a country of 80+ million people with a growing middle class. Water and soil quality can be a challenge in many growing regions in these countries. though tariffs on imports make supplying from outside of the country difficult. but activity is now reportedly increasing with additional trials and some commercial planting efforts underway. especially in the developed urban centers of Saudi Arabia and the UAE. Barriers to entry in the crop are diminishing. Large scale blueberry operations in Turkey have yet to develop and the plantings are still comparatively small and spread throughout the country.

146 3.44 1.05 Others - - - - - - - - - 1.1 - 0.5 Angola - 10 10 2 2 0.20 2. This interest in RSA fruit is likely to drive an increase in activity and the number of players in the coming years. Production and Acreage: Southern Africa Acreage Growth.00 0. Cort Brazelton © 2013 North American Blueberry Council .00 0.1 0.6 Southern Africa Southern Africa Production & Use Comparison: 2008 .124 1. trials in Zimbabwe continue and there are rumors that some commercial activity may be underway there.0 Zimbabwe - - - 1 3 0. Meanwhile.01 0.6 2.10 0.05 - 0.5 3. New players are beginning to enter the industry however.30 3.01 - 0.6 Southern Africa Total Southern Africa Overview: Republic of South Africa At the time this report is being written.00 - 0.2012 SOUTHERN AFRICA 2008 Production 2010 Production 2012 Production PRODUCTION Fresh Process Total Fresh Process Total Fresh Process South Africa 1.120 1. Note the continued acreage and production growth of the Republic of South Africa.50 3.1 Others - - - 1 1 - - - 740 810 910 1.0 0.2012 World Blueberry Acreage & Production Report Page 48 of 76 Southern Africa Data Review: South Africa is the sole commercial producer of Highbush blueberries in Southern Africa. The growing and exporting of RSA’s blueberries remains largely consolidated and focused on quality counter seasonal fruit which has allowed up to now a point of differentiation in the target market of the UK.00 0.5 3.01 - 0.1 0.1 0. Trials in other countries continue.2 2.54 2.1 0. the Republic of South Africa (RSA) remains the only country in southern Africa with a commercial Highbush blueberry growing and export industry.3 3.140 3.10 0.0 - 0. 2012 Crop SOUTHERN AFRICA GROWTH TOTALS South Africa Acreage 2005 2007 2012 Production 2008 2010 2012 Fresh Process Total 740 800 900 1. There has been no news from trials in Angola. The industry remains small but has been recognized in the market for it quality during the Argentinian and Chilean seasons.4 1.5 3.50 Angola 0. though progress can be difficult due to the extreme difficulty in passing through legal and phyto-sanitary barriers to introducing plant material to the country.00 - 0.01 Zimbabwe - - - 0.

Labor reliability can also be a challenge in RSA. the value of the Rand remains a challenge for competitive exporters in the fruit business. Southern Africa Trends: Continued Gradual Growth in RSA: Barriers to rapid growth remain but there is momentum for continued growth. As the market demand has grown. imports from the Northern Hemisphere have continued as mentioned in the 2010 report.Page 49 of 76 2012 World Blueberry Acreage & Production Report 2012 Southern Africa Highbush Production 2012 Southern Africa Highbush Acreage Growth Also worth noting is the continued development of a small but growing domestic market for blueberries in South Africa. the unique growing conditions in South Africa. has shifted from being a small producer to the Acreage leader in the Asia & Pacific territory in less than 5 years. product quality and proximity to Europe. As in other exporting countries with strong natural resource extraction industries like Chile. Japan and New Zealand are the only countries with commercial production in the region Cort Brazelton © 2013 North American Blueberry Council . Asia & The Pacific Data Review: The growth of China’s acreage and production overshadows the data from Asia & Pacific region Asia led by China. China. Australia. its attractive market window. as can bureaucracy. a number of contributors noted that other countries in Southern Africa could one day host commercial blueberry production. RSA Market: South African consumer demand for blueberries continues to grow. New Regions?: Although only trials are underway at this time. Challenges aside. the Middle East and South Asian markets make it likely that RSA will see continued growth.

though from a small base. almost doubling in 2 years since 2010 Australian production has doubled since 2008 Australian acreage has increased by nearly 70% in two years since 2010 New Zealand’s acreage and production have continued with incremental growth Fresh remains the focus for the Pacific region’s production and acreage Some trialing is underway in countries such as Indonesia Cort Brazelton © 2013 North American Blueberry Council . led by Australia Pacific region reported acreage growth has been rapid.2012 World Blueberry Acreage & Production Report Page 50 of 76 2012 Asia & Pacific Highbush Production 2012 Asia & Pacific Highbush Acreage Growth 2012 Asia & Pacific Fresh Production 2012 Asia & Pacific Processed Production The Pacific 2012 Asia & Pacific Acreage Distribution Data Review: Pacific region’s production continues to grow.

08 1.18 Indonesia - - - - 3 0.47 0. Indeed. the primary production period in the country is September through December. demand remains strong for blueberries in Australia and the industry continues to grow. existing producers are seeking to extend their seasons and new players are entering the business.530 2.325 12. the comparatively small market of Australia consumes a surprising quantity of blueberries. the entrance of new players in blueberries has been limited. Prices for blueberries are high in Australia.470 1.01 - - - - - - 6.50 3.450 1. largely in fresh form.2012 PACIFIC PRODUCTION 2008 Production 2010 Production 2012 Production Fresh Process Total Fresh Process Total Fresh Process Australia 4.8 7. As a result.88 5.50 3.66 10.32 Pacifica Production & Use Comparison: 2008 .56 1.730 3. Frozen imports to Australia have been allowed from North America and Chile.13 New Zealand 2.13 New Zealand 1. Some contributors have expressed concern about the long term effects of the high cost structure built in to the industry.982 Pacific 4. The health message is thoroughly entrenched and market penetration is high.Page 51 of 76 2012 World Blueberry Acreage & Production Report Production and Acreage: Pacifica Acreage Growth.4 8.01 - 0.10 4.70 0.7 2.290 1. As most of Australia’s climate is suitable only for Southern Highbush and Rabbiteyes.384 1.28 5.18 - - - - - - 0.00 1. 2012 Crop PACIFIC GROWTH TOTALS Acreage 2005 2007 2012 Production 2008 2010 2012 Fresh Process Total Australia 1.450 1. Supply of fresh blueberries is primarily domestic and from New Zealand due to phytosanitary restrictions on imports from most other producing countries.01 Philippines - 10 10 2 2 - - - 2.01 - 0.290 1. Australia has some of the highest per capita consumption of blueberries in the world. In the meantime. after the UK.50 2.00 1.770 2.1 12.47 0. Competitive genetics have been tightly controlled for most of the industry’s history.60 9.50 3.590 9. Cort Brazelton © 2013 North American Blueberry Council . As demand for blueberries continues to grow and limitations on imports persist.4 10. Northern Highbush is currently supplied from Tasmania and New Zealand. Labor costs in the Australian blueberry industry are some of the highest in the world.4 2.050 1.434 2.08 1.01 0.40 0.90 6.8 14.10 4. if not the highest. as are costs.750 2.6 1.66 10.01 - 0.3 Indonesia Philippines Pacific Total Pacific Overview: Australia With a population of 22 million people.76 14.

NZ has turned to focus on the domestic and Australian market while also seeking to service the quality conscious markets in Asia and the Middle East. Most of NZ’s recent growth has been in the further south for late production. Some planting is reported to be underway elsewhere in the more traditional regions as well. The Pacific Trends: Australian market has some of the highest per capita consumption in the world Demand from Asia is anticipated to impact the NZ and Australian industries Obtaining access to the mainland China market is considered increasingly important for the Australian and NZ industries Asia Data Review: • Asia has one the fastest growth rates in the world if reports are accurate • China is the fastest growing region in Asia • China production has increased by a factor of 6 since 2008. is still familiar with blueberries and as a result consumes a portion of its domestic production. albeit comparatively small Trials continue in other Asian countries Cort Brazelton © 2013 North American Blueberry Council .2012 World Blueberry Acreage & Production Report 2012 Pacific Highbush Production Page 52 of 76 2012 Pacific Highbush Acreage Growth New Zealand New Zealand’s population. The bulk of NZ’s production is exported however. though comparatively quite small. NZ farms tend to incorporate mechanization in ways that are not commonly seen and the focus on quality has helped ensure the industry has a place in the global market. although frosts have been a challenge. As the Chilean industry has come to assume the dominant position it occupies today. The greatest differentiating trait of the NZ industry is their creative and innovative approach to farming the crop. Historically NZ’s exports were geared toward the North American and Japanese markets. if data are correct • China acreage tripled in two years if reports are accurate • Japan production and acreage continues to grow incrementally – new are plantings entering production • • South Korea has achieved commercial production.

20 5.300 2.4 33.8 12.00 0.10 - 0. For this reason the author strongly recommends that China acreage and production data presented in this report be treated as ‘reflective of trends’ rather than hard data.20 0.8 Asia Total Asia Overview: China It is extremely difficult to obtain accurate reports on true commercial acreage and production from China.8 Japan South Korea Asia Asia Production & Use Comparison: 2008 . Similarly in production figures.3 - 0.9 1.3 1.Page 53 of 76 2012 World Blueberry Acreage & Production Report Production and Acreage: Asia Acreage Growth.30 Japan 4.4 8.20 - 0. the 2012 data or both.6 3.135 33.20 1.290 25. There appears to be a widespread tendency for exaggeration in government reporting. While Chinese fresh market demand continues to grow rapidly. if these data are accurate then China’s production increased by nearly 280% in two years.10 5.76 2.90 5.50 - 0.754 4.05 4.2 8.10 0. it does call into question the accuracy of the 2010 data. Additionally.900 8.970 5.00 25.00 7.230 2.30 4.60 6.20 6.0 India - - 60 80 105 0.645 29.2 1.06 3.30 - 0. but also what is planned for the future as present acreage and sometimes production.4 1.05 4.615 5.4 8.275 2.9 2.60 18. then the acreage has increased over 166% in the last 2 years. the limitations on fresh imports to China significantly limit Cort Brazelton © 2013 North American Blueberry Council . If the acreage growth presented in this report is accurate.4 25.090 2. Although this rate of growth is by no means impossible. there exists the challenge of private companies reporting not only what has been executed.60 South Korea 0.2012 ASIA PRODUCTION 2008 Production 2010 Production 2012 Production Fresh Process Total Fresh Process Total Fresh Process China 1.90 0.100 11. This does not necessarily imply however that the world is easily serving this growing demand.0 25.112 1.4 8.4 33.7 0.2 6.50 1.00 3.800 18. One of the dominant themes in discussion with contributors from all around the world for the 2012 report was the enthusiasm for the potential of the Chinese market demand for blueberries.00 India - - - 0. Note: China’s growth in blueberries is led primarily by companies focused on supplying the growing domestic demand – not exports.70 0.40 1. 2012 Crop ASIA GROWTH TOTALS Acreage 2005 2007 2012 Production 2008 2010 2012 Fresh Process Total China 642 3.6 - 40 50 180 415 1.0 7.

Domestic production is growing rapidly as corporations. the central planning involving government and private sector cooperation characteristic of China’s economy is also alive in the Chinese blueberry industry. This trend is an excellent indicator of the image and growing popularity that blueberries have achieved in the country. As logistics and cold chain can be a 2012 Asia Highbush Production challenge in China. in an effort to position their local polity as a leader in Chinese blueberries.6 oz. The final and most unique driver in China is driven by local and provincial governments seeking to support the development of local blueberry industries. generating average worker wages and attracting investment. Less familiar for other parts of the world is the drive to serve metropolitan population centers which are nearby. and reflects the early stages of the developing market. Cort Brazelton © 2013 North American Blueberry Council . reportedly around 7 grams per person. In brief. As blueberries represent to many the pinnacle of high value agriculture endeavors. growers and investors seek to serve the booming market and capitalize on the opportunities the blueberry industry provides. Frozen imports from North America and Chile are permitted and growing each year.) per person. the enthusiasm and awareness of blueberries is growing quickly. but also come in the form of other benefits which reflect the uniqueness of China. positioning a region as a ‘blueberry county’ or ‘blueberry city’ allows the area to be associated with the positive image of blueberries. there is keen interest in adding them to the portfolio for large and successful companies in China. Much of the Highbush blueberry development in China is driven less by agribusiness enterprises and often more by local government initiatives and/or commercial real estate development ventures that incorporate blueberries into their projects. Profits in the Chinese agriculture sector are subject to highly attractive tax regimes and as a result provide an appealing investment. businesses. The first driver for production developing in various provinces is the predictable effort to take advantage of the local growing conditions. Many of these opportunities are not solely in the production and sale of the fruit. where per capita consumption is estimated to be around 46 grams (about 1. The inclusion of high value agricultural crops such as blueberries in land development initiatives often aids in the acquisition of larger tracks of land for commercial and residential developments with provincial governments. The largest blueberry markets in China today are in the largest cities. many blueberry projects in China today are appendages to commercial and residential real estate developments. This regional distribution is driven by a number of factors. Per capita consumption in greater China remains small.2012 World Blueberry Acreage & Production Report Page 54 of 76 availability of fresh product for much of the year in the Chinese market. As a result. producing closer to population centers is a great advantage compared to other countries. As China rapidly develops and the ranks of the wealthy and middle classes swell. Drivers behind regional distribution: Commercial blueberry acreage is growing in numerous Chinese provinces. Beijing and Shanghai. Beyond the economic benefits of developing high value crops in an area through tax revenues.

The monsoon rains are common during the summer harvest season in this region. Most of these areas are truly lower chill regions and planting reportedly consists of Southern Highbush and Rabbiteyes. Shandong province would be the leading candidate. Many growers have invested in tunnels and greenhouses both to protect their crop and achieve earlier production. These growing regions are characterized by hot. Rizhao and Weifang. • Inland South: Of the four regions created in this report. industrial manufacturing and commercial development. The varieties of focus at this time are Duke and Bluecrop. and more by large corporate entities seeking to diversify into agriculture or take advantage of land access for other commercial development via the crop. These types of factors make evaluating China’s true Highbush acreage very difficult. as stated above. Most of the growing in these areas consists of traditional Southern Highbush and older Rabbiteye varieties. Although still very cold in the winter months and beset with challenging spring frost events and hard dry winds. Coastal South and Inland South. Most of China’s largest blueberry operations are headquartered in Shandong province near the cities of Qingdao. It appears likely that much of China’s blueberry growth may be led less by traditional farming companies as in other countries. A number of the leading Highbush blueberry projects in China are led by large and well known firms in technology. These adverse growing conditions have significantly limited the options for which varieties can be grown and the management systems that can be implemented. In 2012 a large private holding company with well-known companies and branding in the technology sector purchased the majority of the shares of China’s largest producer/marketer of blueberries. A number of larger plantings led by commercial real estate companies are underway. Many of these fields are not true Highbush blueberries but rather ‘half highs’ and ‘cultivated lowbush’ (see below and the Global Wild section of the report). Guizhou and Sichuan provinces.Page 55 of 76 2012 World Blueberry Acreage & Production Report New players from other sectors of the booming Chinese economy are also entering the economically and politically attractive blueberry industry. Jilin and the northern reaches of Liaoning province. the author has the least information about this area. Note on ‘Chinese Wild’ and ‘Cultivated Lowbush’: The inclusion of the production figures on the Chinese Wild and Cultivated Lowbush make estimating Highbush acreage and production all the more Cort Brazelton © 2013 North American Blueberry Council . Regional Distribution: Planting distribution in China is difficult to track and reports. the author proposes dividing them into the following categories: Far Northeast. humid and wet summers and extreme winter cold with heavy spring frosts. Northern Coast. A separate group of university researchers led the early development of the industry. • Northern Coast: Consisting of the growing areas in Shandong and coastal Liaoning provinces. vary greatly between sources. The region consists of Yunnan. Shandong and coastal Liaoning are able to grow most Northern Highbush varieties and are able to take advantage of their reasonable proximity to both leading markets in Beijing and Shanghai. their provincial makeup and what differentiates them: • Far Northeast: Consists of Heilongjiang. The following provides a brief outline of these different regions. If China was to have a ‘flagship’ growing region. • Coastal South: Blueberry growing in this region is concentrated in the provinces of Jiangsu. Zhejiang and Fujian provinces. For the sake of simplicity.

As transporting labor to farms where it is needed is not customary in China. a large portion of the blueberry fields in China today are planted on what most in the global industry would consider very marginal sites. Note on land.000+ acres will be planted in China in the next decade making China the ‘world leader in blueberries’. Many government and private reports alike reference claims that 150. this does not necessarily mean that the ideal land and water is available for the projects. This potentially an advantage for exporters. The likelihood that the majority of these acres would be globally competitive in yields. These issues look likely to persist in the coming years. Additionally.000 or more acres planted in the next decade in China.2012 World Blueberry Acreage & Production Report Page 56 of 76 difficult in an already opaque and fractured industry. Also challenging for the Chinese industry is poor plant quality. water. Cort Brazelton © 2013 North American Blueberry Council . The variety mixing issue stems from rapid growth without the presence of an experience professional nursery sector. Chinese Wild and Cultivated Lowbush blueberries are included in the Global Wild section of this report. and eager for imports from countries with reputations for safe food supply. All of these issues combined have led to challenges in Chinese blueberry farms achieving competitive yields and quality. local supply of labor in different growing areas can be a limiting factor. As a result. The same intellectual property issues which pervade the technology. varieties and labor in China: Although blueberries are an attractive crop to develop in many provinces. music or movie industry are a concern in agriculture and blueberries are no exception. Policies of the central government in 2012 Asia Highbush Acreage Growth China dictate that the majority of China’s best land and water be reserved for the production of key staple food crops in the interest of food security. the mixing of varieties and lack of available competitive varieties. Considering the information in the previous paragraphs and the general challenge every industry faces when they undergo rapid growth. Many farming operations encounter limitations on their ability to grow when local communities cannot supply sufficient labor to harvest more acres than currently planted. the term “leader” is likely best to be taken lightly. The absence of mechanization in China’s existing blueberry operations exacerbates these issues. This issue drives retailers and consumers to be cautious with domestic produce. Food safety is a major concern among Chinese consumers. The author believes that it could be possible that there may be 100. even as Chinese production increases. The continued exodus of workers from rural areas to work in the factories near urban centers also limits labor supply. For this reason it is important to recognize that high acreage numbers in China today and in the coming years will not necessarily result in high production numbers. China is simply not a safe place to introduce proprietary varieties and there is little benefit to doing so. although China has a large population and labor is notably inexpensive. cost and quality is a different story. Predictions for Chinese acreage growth are astounding if the numbers are taken literally. the size of farms is often limited by the size of the labor pool within walking or bicycle distance.

the world’s second largest economy and the fasted growing middle and wealthy classes in the world. The arrival of summer monsoon rains stops short fresh production by late June early July. shipments have continued as exporters explore the market. Domestic production in Japan has continued to grow quite rapidly for a country with limited large scale farming. leaving room for summer imports from north America. Contributors who discussed India all generally referenced the opportunity in developing markets for more shelf stable products in India. Per capita consumption continues to grow in the country with an aging population and some of the highest consumer purchasing power in the developed world. thanks to the work of the USHBC and TJP Market Development. demand quality and believe in eating healthy food. The Chinese fresh and process market is clearly not solely an opportunity for counter seasonal supply from countries like Chile. Many of these growers are reportedly still learning the crop and have not yet identified the best varieties and management systems for their growing conditions. although there are reports of small commercial plantings underway. In cities near ports where freezer storage is available. With many Indians returning from careers abroad in North America. they often bring with them a familiarity with blueberries. Considering the continued market growth and the challenges in achieving domestic volumes to meet demand. there has been success reported in shipping frozen product.Page 57 of 76 2012 World Blueberry Acreage & Production Report These limitations on productivity and consistency in quality in China leave room for continued growth in supply via imports. Some production in the northern reaches is timed for after the rainy season. making the growing acreage number all the more impressive for the country. Australia and Europe to work in the growing sectors of the Indian economy. The average size of a blueberry grower in Japan is less than 1 hectare. Planting in India still consists primarily of trials. Cort Brazelton © 2013 North American Blueberry Council . the Chinese market looks to present a significant opportunity for exports from many producing areas if and when market access can be achieved. China has the world’s largest population. Bangalore and Delhi all represent examples of market opportunities. The growing middle and wealthy classes in urban centers such as Mumbai. as the climatic conditions in the largest growing regions is akin to that of Georgia or Buenos Aires province in Argentina. A large percentage of these fields are u-pick. As land ownership is very fragmented in India and there is limited large scale professional agriculture production in the country. Production remains fresh focused and the majority of plantings are in Southern Highbush and Rabbiteyes. Japan Japan has now earned the position of the established blueberry market of Asia. In the two years since market access for North American fresh blueberries has been achieved in India. Chinese consumers are health conscious. A number of these plantings are rumored to be connected to Indian blueberry grower communities in British Colombia and Australia. India India also presents exciting medium to long term potential as a consuming market. as cold chain in the country is limited and retail systems with centralized distribution systems have yet to develop. but possibly from northern Hemisphere countries as well. Growing the fresh market in India is not without its difficulties. India with its growing urban consumer base presents a market opportunity in the coming years. which is quite popular in Japan.

Many local growers sell fresh blueberries directly to consumers not only via local farm stands and u-pick operations. The Korean market has some interesting traits which are unique and worth noting. Many of the growing regions in the world have faced challenges in recent years. and as a result the price of processed Chilean blueberries is lower after applying tariffs than North American blueberries. However. Korean frozen & fresh demand & Tariffs: As domestic fresh production remains limited and fresh imports have also historically been highly regulated or blocked through phytosanitary barriers. Australia was also a key supplier to Japan until recently when Australian blueberry imports became subject to phytosanitary restrictions. Many consumers purchase blueberries in supermarkets as in other parts of the world. than that of other crops grown in the area – has made it difficult for these growers to sell their crop. Tsunami and Fukushima Meltdown: The Tohoku earthquake. but via online sales on their websites. Cort Brazelton © 2013 North American Blueberry Council . but the desire for Japanese blueberries often balances the price differential. likely due to increased uptake – perhaps due to high antioxidant levels. which has halted imports from Australia. similar to Japanese retailers.2012 World Blueberry Acreage & Production Report Page 58 of 76 Consumer awareness of blueberries is very high in Japan and demand for locally produced product when available is extremely high. Many of the farms in the wake of the Tsunami were those of Japanese blueberry growers. Additionally. so have imports. Impact of the 2011 Earthquake. The downstream impact of the meltdown of the reactor has had a negative impact on consumption of blueberries from this region. Fresh market access to Korea is currently limited to Chile and the State of Oregon in the US (see US section on Oregon access to Korea). Many of Japan’s blueberry growers were impacted by the disasters of 2011 and sadly. they have come enjoy a competitive position in the market with lower tariffs. As Chile has entered the processed industry however. Initially this frozen market was served by North American growers and packers. many Korean consumers purchase blueberries via television shopping shows and online purchases both of fresh and frozen blueberries. domestic production has continued to develop. This has been devastating for growers seeking to recover from the damage wrought by the earthquake and tsunami combined with a general economic downturn after the disasters. A number of promotional efforts are underway to promote local Japanese blueberries in schools and elderly communities. As the market has grown. many continue to be so. a large number of blueberry farms were in range of the Fukushima power plant. the US and Canada. but none like the devastation that faced many Japanese blueberry growers. South Korea As South Korean blueberry demand has boomed. The majority of imports to Japan are sourced from Chile. IQF frozen blueberries have become a popular item in South Korea. For example. Chile is a number of years ahead of the US in a tariff reduction regime via a bilateral trade agreement. The publication of studies showing higher levels of radiation in blueberry fruit. but also on a large number of Japanese blueberry growers. Tsunami and Fukushima meltdown of March 2011 had a devastating impact not only on the many residents of communities affected by the disasters. usually seeking out high quality fresh and frozen polybag fruit. Being price competitive with imported product can be a challenge for many Japanese growers. other forms of purchasing are also common.

o This development marks a clear break from the dominance of fresh in recent years • • • Fresh remains the driver for global usage but process is still growing fast The Americas represents 85% of global Highbush production Growth in global process volumes is led by the Pacific Northwest of North America. Some reports indicate that Korean acreage may be much higher than the numbers in this report. with monsoon rains often making harvest and quality difficult. similar to Japan and China. potentially twice as high as reflected in the data. increase over the last two years. Summer production can be a challenge in Korea.3 million lbs. The timing of harvest in Korea begins in late spring and continues through July. 49% went process and 51% was fresh. domestic Korean producers took a competitive position on pricing in response to the arrival of the new imports.demand is on track to exceed domestic supply • Japanese consumption and local production continues to grow • Many growers in Japan still suffering after the disasters of 2011 • South Korean market has become ‘the next Japan’ for exporters • India’s market is likely to grow more gradually until the right blueberry products that fit the needs and limitations of the market can be identified • Asian consumers are often more selective than North Americans about berry quality and flavor Global Highbush Blueberries Data Review: • Global Highbush blueberry volumes surpassed 1 Billion Pounds in 2012 • Global blueberry production growth is accelerating – Global Highbush production grew by 146. During Oregon’s first commercial export season to Korea. Asia Trends: • Demand for blueberries throughout Asia is growing fast and is predicted to accelerate • Asia’s production growth is not on track to meet the growth of market demand • Chinese production is growing. between 2008 and 2010. a near even split. but yields are not likely to reach the norms of other countries anytime soon • Chinese production growth is not likely to increase as rapidly as the acreage increases • China could become the world’s largest market for blueberries in the next decade . is now a player in the global process market Cort Brazelton © 2013 North American Blueberry Council . and nearly 275 million lbs. the Southeastern US and Chile • South America. especially Chile. between 2010 and 2012 • • Global Highbush production increased by nearly 70% between 2008 and 2012 Rapid Growth in Fresh and Process – of the 275 million lbs. Southern Highbush production is concentrated in the southerly reaches of the country.Page 59 of 76 2012 World Blueberry Acreage & Production Report South Korea domestic production is primarily concentrated in the northern half of the country in Northern Highbush varieties.

6 7.617 95.9 669. & N.4 0.1 90.362 162.8 272.3 342.574 231.2 48.3 3.780 24.615 16.705 18.3 6.5 3.1 103.6 752.870 14.473 189.5 38.736 16.8 Asia & Pacific World Acreage World Acreage Distribution 2010 World Acreage Distribution 2012 Note the changes in world acreage distribution between 2010 and 2012 World Acreage Increases 1995-2012 Cort Brazelton © 2013 North American Blueberry Council 357.124 1.1 16.5 Southern Africa 740 810 910 1.5 81.101 68.931 123.4 .950 43.7 98.3 491.2 5.117 37.3 223.075 85.038 20.146 2.6 South America 18.635 303. but is likely to encounter challenges in achieving commercial volumes and competitive supply systems in the near future Global Highbush Acreage and Production WORLD ANNUAL GROWTH TOTALS 2005 2007 2008 2010 2012 North America 71.3 153.0 188.2 0.365 7.098 2.0 2.778 144. Europe and Asian acreage is still growing rapidly Asia is growing very fast from a low reference point.6 4.1 0.0 10.2 22.2 Europe Acreage 2010 Production 2012 Production Fresh Process Total Fresh Process Total Med.027.188 7.4 190.4 9.2 2.4 599. Africa - 215 355 672 1.7 1.6 12.2 257.235 529.597 108.1 5.1 0.703 43.5 81.650 39.039 33.2012 World Blueberry Acreage & Production Report • • • Page 60 of 76 South America acreage growth was static between 2010 and 2012 North America.640 137.

9 669.39 68.35 415.40 190.60 South America 92.20 2.4 Global Highbush Summary & Review: The greatest standout of this year’s global data is the rate of volume increases. Africa 0. The 2010-12 world Highbush volume increase of near 275 million lbs.1 216. & N.65 98.56 Asia & Pacific 12.40 599. The arrival of Chile as a player in the process deal will likely increase the competitiveness in the market.57 7.8 357.5 606.027.43 1. The accelerated production increase is the clear result of the extensive planting over the last decade coming into fruition. Cort Brazelton © 2013 North American Blueberry Council .18 0.06 0.12 World Production 390. This volume growth is unprecedented.40 186. is close to twice the volume increase witnessed in the previous 2 years between 2008 and 2010.10 5.14 90.30 342.10 23.03 115.54 81.33 153.13 137.6 529.50 3.07 16.52 Southern Africa 1.96 56.64 12.7 1.55 2.50 37.27 4.20 257. 2012 World Fresh Production 2012 World Processed Production The rapid increase in processed volumes combined with a large Wild crop in 2012 (see next section) help explain the volatility in the 2012 process market.00 16. Considering the rate of volume increases in both fresh and process globally.22 Med.96 10. 2010 vs. 2012 WORLD ANNUAL PRODUCTION 2008 Production Fresh Process 2010 Production Total Fresh Process 2012 Production Total Fresh Process Total North America 229. lower trade barriers and develop new consumption.16 48.42 0.73 17.11 0.10 0. it will be all the more important for industry organizations and private companies alike to promote awareness of blueberries.30 3.84 272. open new markets.75 303.81 2.6 752.30 491.04 2.3 223.50 81.00 188.23 5.30 6.44 1.Page 61 of 76 2012 World Blueberry Acreage & Production Report Global Highbush Crop and Usage: 2008 vs.81 - 0.20 22.38 Europe 54.

processed and total production. Processed Page 62 of 76 2012 World Acreage Growth by Region World Acreage Increases 1995-2012 The following pie charts compare 2010 with 2012 global data for acreage. Note the shifts which have occurred in the last 2 years.2012 World Blueberry Acreage & Production Report 2012 World Highbush Production by Region 2012 Total World Highbush Fresh vs. 2010 World Acreage Distribution Cort Brazelton © 2013 North American Blueberry Council 2012 World Acreage Distribution . fresh.

Page 63 of 76 2012 World Blueberry Acreage & Production Report 2010 Total World Production 2012 Total World Production 2010 Total World Fresh Production 2012 Total World Fresh Production 2010 Total World Processed Production 2012 Total World Processed Production Cort Brazelton © 2013 North American Blueberry Council .

0 25.0 2. Virtually all major producing regions saw significant increases over previous years.0 0.0 9.7 33.0 6. ‘Down’ lowbush volumes arguably helped hold Highbush pricing up in 2010 for example.5 303.0 40.0 6.0 40.2012 World Blueberry Acreage & Production Report Page 64 of 76 Global Wild/Lowbush Blueberries Global Wild Crop 2008 Million Lbs.0 4.0 60. This is largely due to cooperative weather conditions and high harvest figures amidst a buoyant market for Wild blueberries.7 0.0 0. Fresh Process 2010 Million Lbs.0 45.0 80.0 10.0 61.0 28. North America’s Wild blueberries are increasingly treated as a niche product and sellers have been able to maintain pricing successfully in even with an larger crop and position it apart from Highbush.0 33.3 286.0 PEI 0. North American Wild: North America’s Wild blueberry industry has become highly consolidated with four major companies dominating the production and marketing of the crop.7 0.5 100. Total Fresh Process Total Quebec 2.0 1.0 309.0 10.0 1. A number of contributors to this report noted the significance of this trend.5 China 0.0 Total Wild 2.0 43.5 89. The year to year variability of the Wild crop has led to concern among buyers who need to secure supply for product which utilize Wild and/or smaller blueberries. Total Fresh Process 2012 Million Lbs.0 35.0 0.5 284.0 100.5 179.5 65.0 Nova Scotia 0.0 0. Pricing for the 2012 crop was notably above Highbush. particularly in North America.0 14.0 2.0 25.0 Europe 0. As mentioned in the section below.5 184.0 0.0 15.8 0.6 0.0 9.5 64.8 4.5 90.0 25.0 27. Historically.0 1. Wild blueberries maintained a surprising separation in pricing structure and distinction in the processed market.0 35. Cort Brazelton © 2013 North American Blueberry Council .6 6.0 1.65-$1.5 0.0 78.5 27.0 1.0 New Brunswick 0.0 17. North America is the clear global leader in Wild blueberries.0 30. although Europe and China all have their own wild species which are also harvested for the specialty wild blueberry market. the Wild blueberry crop saw a good crop and experienced high demand largely independent of what was happening in the Highbush processed market.0 10.75 for finished product.0 Maine 0.0 9. reportedly in a range of $1.5 Wild Crop Review: The Wild industry had an exceptional crop year in 2012.0 39. Yet in 2012.8 9.5 0. Wild blueberries are increasingly treated as a niche product.0 0.0 14. Highbush and Wild volumes have had a profound impact on one another’s respective pricing.0 25.0 45.5 0.0 New Foundland 0.0 9. 2012 marked a notable separation between Wild and Highbush markets. Informed contributors to this report believe this trend is likely to continue. especially considering the global nature of the market.7 1. Consolidation among producers and sellers has also had a stabilizing effect on the market and pricing.

Another interesting segment of Chinese domestic blueberry production is the ‘Cultivated Lowbush’ industry. showed that the cold hardy Lowbush and ‘Half High’ cultivars were more likely to crop and survive in the harsh conditions. often as a health product in teas. especially by Jilin Agricultural University. Tracking the European Wild crop is perennially difficult as the fruit is generally harvested by local people who live near the wild patches who then sell the fruit on to brokers. extracts and even cosmetics. Heilongjiang and the continental north of Liaoning the extreme winters have proven a challenge for 2012 Global Wild Overview traditional highbush production. Early trials conducted in the late 1990s and early 2000’s. Many countries.Page 65 of 76 2012 World Blueberry Acreage & Production Report Contributors also predict that acreage of Wild blueberries is likely to continue growing gradually as land continues to be cleared and plantings increased in areas like Nova Scotia. Prince Edward Island and Quebec. Chinese  Wild  and  ‘Cultivated  Wild’ Vaccinium Uliginosum L. Most of these varieties are considered ornamentals in the rest of the world while a few others represent exemplary selections from Wild patches in North America sourced from the USDA germplasm repository in the 1990’s. Ukraine. Germany. or Lingonberries. The Spotted Winged Drosophila is potentially a much larger challenge for Wild than for the Highbush industry. Annual production is largely contingent on the amount harvested from the wild and the impact of winter weather on the crop. dried fruit. it is likely that most of the ‘cultivated lowbush’ production from China is represented in the Highbush production and acreage figures for China. “Lan Mei” is the most common word used for blueberries in China. The fruit is then sold on to brokers who process the fruit or resell it to processors who sell the finished product. The native Vaccinium Uliginosum is often dark redish blue. Meanwhile the Vaccinium Vitis Idaea. are a deep red and also native to the northern reaches of Europe. red or dark blue and often referred to as “蓝莓”(pronounced “Lan Mei”). Because of the mixed information available from China. European Wild The majority of the Wild Blueberries of Europe are commonly referred to as ‘Bilberries’ (Vaccinium Myrtillus) and grow wild in fields and forests of Central. Poland. powders. Cold hardiness. Most of the fruit is now sold domestically. increased likelihood of protection from snow cover (due to plant height) and apparent tolerance of difficult soil and moisture conditions have led to the large scale planting of Cultivated Lowbush (in rows) and ‘Half High’ blueberries. These berries are harvested most often by villagers who live near the forested areas where these species grow. particularly the forested northern provinces of the country. especially Scandinavia. Russia and other eastern European countries have long Cort Brazelton © 2013 North American Blueberry Council . The Wild industry is not without its challenges however. In the far northern provinces of Jilin. especially those in Scandinavia. northern and into the far reaches of eastern Europe. and Vaccinium Vitis Idaea are native to China.

1 137. As the economy was depressed in parts of Europe in 2012.4 1.3 153.87 676.8 272.0 81.4 Europe 54. The harsh winter and early spring freezes of 2012 reportedly had a deleterious impact on the Vaccinium Myrtillus crop indicating that the harvest would have been even larger if there had been more fruit in the wild.0 305.2 million pounds).4 0.2 Med.2 58.6 16. the numbers are more difficult to track.8 648.0 0.1 South America 92.3 11. many people. Fresh Process 2010 Million Lbs.5 3.5 39. Cort Brazelton © 2013 North American Blueberry Council 660.6 2.8 2. Global Crop: All Highbush and Wild Blueberries Combined 2008 . Reports from Poland indicate that the Polish harvest of Wild Vacc.1 0. In Russia.4 190.65 1.1 23.1 392. Total Fresh Process 2012 Million Lbs.81 893. This high harvest in a down crop year is another indicator of the increasing demand for blueberries throughout continental Europe and Russia. were inclined to go to the forests to harvest wild blueberries and capture additional income. Total Fresh Process Total North America 231. but indications are that the harvest was at least an additional 6.0 115. Myrtillus was around 10.2012 Combined Highbush and Wild 2008 Million Lbs.3 3.7 512.336.1 16.9 439.07 936.0 19.80 403.1 0.6 27.0 2.90 2012 World Highbush & Wild Production by Region .1 671. Africa 0.43 533.3 23. especially those living in rural areas.3 16.5 Southern Africa 1.000 metric tons (over 13.) which was primarily destined for the domestic market for confectionary and baked goods (such as the ‘Bilberry Bun’).3 343. The ‘Bilberry Bun’ in Poland and Bilberry preserves of Scandinavia.5 342.2 5.2 0. Ukraine and Scandinavia.4 856.5 81.000 metric tonnes (just over 22 million lbs.1 5. & N.7 141.4 70.62 500.25 Asia & Pacific TOTAL The following charts compare the global division of processed blueberry production first isolating Highbush and then combining Wild and Highbush volumes and grouping them by region.2012 World Blueberry Acreage & Production Report Page 66 of 76 traditions of consuming Bilberries in jams and baked goods.2 32.8 0.1 0.6 46.4 27.5 98.2 2.1 94. Germany and even the UK have a long cultural tradition. often as seasonal holiday foods.6 12.

Processed Production 2012 World Blueberry Acreage & Production Report 2012 World Highbush & Lowbush Processed Production 2012 World Highbush & Wild Fresh vs.Page 67 of 76 2012 World Highbush Processed Production 2012 World Highbush Fresh vs. • Highbush and Wild figures combined reflect an equal division of fresh and process for the 2012 global crop Cort Brazelton © 2013 North American Blueberry Council . in 2012 • The combined Highbush and Wild crop in the Americas surpassed 1 Billion pounds for the first time in 2012. Processed Production Global Highbush and Wild Blueberries Combined – Standout Data: • North America leads global Highbush and Wild production • North America’s Wild and Highbush process crop exceeded 500 million lbs.

0 25.530 2.6 9.000 17.470 1.6 970.645 29.5 154.0 7.900 8.500 18.0 115.3 279.050 17.600 3.1 1.870 2.5 Poland 3.7 642 3.9 22.7 Mexico & Cen.645 13.9 20.120 22.700 6.0 34.2012 World Blueberry Acreage & Production Report Page 68 of 76 Global Figures: Global Overview of Key Data Note in the table below that the countries with the highest production saw significant planting between 2005 and 2010 in particular.3 14. Total FR PR Total United States 57.6 31.0 3.895 67.7 1.248 95.2 Chile 11.5 0.250 33.0 154.5 65.6 18.900 7.063 5.384 1.1 219.300 5. Process .0 619.0 2012 Top Ten Highbush Acreage by Country Cort Brazelton © 2013 North American Blueberry Council 2012 Top Ten Highbush Production Fresh vs.492 86. Am.663 3.500 56.2 21.908 32.0 12.6 21.9 220. 180 545 805 1.020 25.9 716.5 1.4 25.590 5.6 0.400 5.954 4.0 5.2 45.450 1.410 24.6 6.542 135.3 0.800 8.0 Argentina 6.0 17.0 Spain 494 1.9 6.0 90.900 9.3 3.919 9.4 350.0 0.0 26.954 6.9 23.556 214.0 123.7 0.9 192.6 2.5 14.580 18. Also note countries with lower production but which have recently added significant acres.2 12.4 British Columbia 13.7 10.700 26.838 176.8 9.800 3.3 472.1 China Germany Australia Top 10 Acreage 99.400 10.300 21. FR PR 2012 Million Lbs.5 0.572 76.412 151.960 109.670 496.0 50.8 22.3 396.070 5.0 3.275 2.0 65. 2005 Acres 2007 Acres 2008 Acres 2010 Acres 2012 Acres 2010 Million Lbs.500 7.2 19.100 2.065 242.

India. retailers and some shippers. Briggita Low Chill Oneal. Aurora Mid Chill Legacy. Premier New Product Introductions Using Blueberries North America New Product Introductions Using Blueberries Worldwide Foremost Global Trends Consumption and production increasing globally: • European market beginning to grow • New centers of consumption developing around the globe: Asia (China. • Chinese consumption vs. Star. Elliott. Draper. Republic of South Africa • Chile is becoming a supplier in the processed industry. LATAM (Brazil and Mexico). Bluecrop. Ochlockonee.Emerald “No  Chill” Biloxi. Middle East. Russia. Misty. Private Programs RE’s Brightwell. Sharpblue. efficiency. Korea. Jewel. Chinese production – there will be a rough road to success and contributors predict it will take more than 10 years to achieve competitive domestic supply Challenges of Rapid Growth • Many fields in rapidly growing regions are likely to underperform in yields. costs and quality • Rapid acreage growth will not necessarily result in high production in all regions Global Pressure for Improved Quality • Driven by consumer demand.Page 69 of 76 2012 World Blueberry Acreage & Production Report 2012 Leading Varieties Globally Category Variety Names High Chill Duke. Taiwan). Tifblue. Cort Brazelton © 2013 North American Blueberry Council .

the likelihood of more new diseases ‘discovering’ blueberries increases. the driver behind the growth is clear: Chinese consumers want blueberries.2012 World Blueberry Acreage & Production Report • Page 70 of 76 Also driven by new genetics and growing regions which are affecting quality expectations (e. quality. existing maladies can become more of an issue such as anthracnose and mummy berry in Europe. 2) New growing regions in new growing conditions utilizing new production systems and different genetics. ▪ These new growing regions are seizing the opportunities presented by new genetics and new growing systems in areas with available resources and comparative or unique advantages in cost. The best example is the nascent rise of ‘low latitude blueberries’ in countries such as Mexico. Ukrainian. Predictions: Global Highbush Crop Predictions Markets China is likely to be the world’s largest market for blueberries in 10 years European market likely to begin a steady curve of consumption growth Cort Brazelton © 2013 North American Blueberry Council . Though there are many challenges on the production side to achieving competitive quality and yields.g. ▪ Chinese blueberry production growth is driven by strong domestic demand and limitations on imports. • As the number of acres of blueberries increases globally. This is driving new plantings in what can generally be called ‘traditional’ Northern Highbush and mid chill growing systems. fresh blueberries from Mexico vs. Turkish and Middle Eastern consumers are aware of blueberries and want them available just as they are in North American and European markets. boat shipped blueberries from Chile) Pests & Diseases • Continued expansion of the SWD fruit fly issue worldwide • In a global market it is nearly impossible to completely prevent the gradual movement of some pests and diseases around the world. labor. especially fungi and bacteria which attack plants and fruit. ▪ Black Sea Region: Russian. as with any crop. • Additionally. increased regulations limiting available tools for controlling diseases. • Increased chemical resistance is predicted to increase in many blueberry specific diseases New Growing Regions: bringing new solutions to meet market demand This trend is taking shape in 2 forms: 1) New growing region utilizing existing ‘traditional’ production systems and genetics ▪ These new growing regions using traditional growing systems are developing primarily to meet new demand in new parts of the world. resources and/or market proximity.

Winter and Spring months to the Northern Hemisphere Chile will continue to undergo a corrective period. Likely candidates include: Saudi Arabia. Supply Side Anticipate continued rapid volume growth. China will struggle to produce large volumes of fruit at competitive pricing and quality for at least the next 5-10 years Europe’s growth in consumption will require increased supply and drive growth in new or existing regions best suited to deliver Pacific Northwest is on track to lead in the Highbush processed market Wild blueberries will occupy a niche position in the global market Consumption Channels Fresh consumption boom will continue globally New products. Colombia and Chile Expect to see new centers of consumption develop.Page 71 of 76 2012 World Blueberry Acreage & Production Report Latin America will be not only a major producer but an important market. but not necessarily at the rate experienced between 2010 and 2012 Mexico and other low latitude countries like it will become suppliers in the next decade and challenge the positions of regions which supply during the Fall. United Arab Emirates. especially Brazil. will increase dramatically Processed market will become more global and increasingly differentiate by quality – usage will reach new highs if pricing is manageable for buyers. and Russia. Bottlenecks are likely to drive consolidation. Mexico. which are more shelf-stable and require little or no cooling. and producers and quality needs are met Food service will be the ‘next frontier’ in more mature markets Cort Brazelton © 2013 North American Blueberry Council . supply is consistent.

California.0 1.0 80. Predictions for global growth were made in 2007.343.5 8.0 1.377.0 805.0 150.0 115.326.0 1.8 North America 305. This is primarily due to the following factors: 1) Rapid Growth = Underperformance: Much of the acreage planted in the last 3-4 years has been executed quickly and not all is likely to have competitive yields 2) Planting slowing in key territories: Planting is gradually slowing in some of most productive regions (e.0 122. & N.058. Note that the predictions for the next 5 years of growth.0 80.0 15.8 752.0 South America 35.0 5.g.0 2.5 1.2 15.6 938.0 1.0 22.191.6 1.208.0 80.0 56. The details of the 2012 ‘5 year’ projections are outlined in green below the cumulative figures for each year.0 19.453.0 1.5 27.6 620.0 10.0 692.0 3.0 1.0 599.0 690.0 656.9 572.0 1.3 493.3 493.6 5.0 272.0 16.0 64.5 8.8 852.1 1.8 850.0 6.002.2 110.0 13.0 165.7 17.5 2010 Predictions 393.0 300.0 1. albeit trending upward. Africa Southern Africa Asia & Pacific 2011 2012 2013 2014 2015 2016 2017 1.3 606.3 606.8 805.8 440.4 190.8 752.1 130.0 11.0 656.4 1.0 54.6 65.0 105. are not necessarily as pronounced as in the previous 5 years.1 60. 2008.0 735.3 493.8 2012 Predictions 393.0 415.0 153.0 81.4 280. The previous years’ predictions are above it in bold.368.8 2.0 2008 Predictions 393.0 330.0 Europe 42.0 806.0 491.1 Med.0 135.0 Note on 5 Year Growth Predictions: The above table outlines the data behind the graphs predicting global production growth below.0 1.9 606.0 18.0 85.0 0.0 770. Chile.5 0.027.3 493.229.0 350.2012 World Blueberry Acreage & Production Report Page 72 of 76 Global Highbush Crop Predictions by Region World Production Growth Predictions 2005 2007 2008 2009 2010 2007 Predictions 393.3 540.0 98.8 1.083.3 3.0 10.0 48.0 370. 2010 and now in 2012. Argentina) 3) There is no such thing as a ‘perfect season’ – climatic and other disruptions are inevitable 4) Uncompetitive acreage likely to be phased out Cort Brazelton © 2013 North American Blueberry Council .2 5.5 1.0 1.0 358.

Contributors agree that there will be disruptions and challenges. Existing players are scaling up and newcomers to the business arrive every year. Demand & Consumption as Fast or Faster The supply side of the global blueberry industry is indeed changing rapidly. and good and bad years. This presents serious challenges. Romania and the Republic of Georgia and ‘new frontier’ geographies in low latitudes such as Mexico and Peru. Global Consumption is changing and expanding at breakneck paces and in ways that few would have anticipated. Blueberry production is increasing rapidly around the world. New products utilizing blueberries are entering the Cort Brazelton © 2013 North American Blueberry Council . If recent frozen inventory movement is any indicator. companies and investors see in the crop. winners and losers. The enthusiasm expressed in this report should be measured next to the challenges that will come with continued rapid growth. price points will be critical as well as quality. There is certainly plenty of good news. health message. Global production is increasing to meet heightened demand and seize the open opportunities which so many growers. New production regions are entering the industry both in ‘traditional’ growing conditions like China. product awareness and promotion. Established production regions are retooling and professionalizing with new technologies and improved varieties. even with high demand and boisterous markets. That is the unsettling news.Page 73 of 76 2008 World Production Growth Predictions 2012 World Production Growth Predictions 2012 World Blueberry Acreage & Production Report 2010 World Production Growth Predictions Global  Market  Growth  … Conclusions Supply & Production is Changing Fast.

within a decade. fun dynamic image and uniquely endowed with a positive health message.2012 World Blueberry Acreage & Production Report Page 74 of 76 shelves around the world and often in markets where the fruit was largely unknown a decade ago. Ultimately they are happy to be in the blueberry business and involved in a crop which is recognized for its distinctive flexibility and ease of use. To paraphrase the words of so many annual contributors. if not the largest consumer of blueberries. Behind all this remains the open ended questions: What is adequate supply for the growing global market and what is the ideal rate of growth? What type of product does the market of the future really want? Where is it wanted? How will the industry tackle issues such as food safety and traceability? How will different territories deal with labor availability and resource scarcity? Plenty of innovation is underway and many of these problems tend to resolve themselves in time as free market forces run their course. even in the face of the difficulties mentioned throughout this document. Cort Brazelton © 2013 North American Blueberry Council . lustrous. Contributors to this report have expressed buoyant optimism about the future. No doubt there will be some difficult years ahead with growing pains in familiar and not so familiar places. “this is a great time to be in the blueberry industry”.’ while China is on track to become one of the world’s largest consumers. Mainland Europe is finally beginning to wake from its slumber and catching the ‘blue wave.