Just because orchards have been cleaned up, doesn't mean they've recovered. Photo / NZME
Don’t be fooled by the view from beyond the orchard or vineyard gate.
On the properties themselves, Hawke’s Bay Fruitgrowers’ Association chief executive Callum Ross says things aren’t nearly as prosperous or idyllic as they appear.
Most of the silt and debris that blanketed the region’s fertile plains following Cyclone Gabrielle has been cleared but, for various reasons, Ross says the real challenges are just beginning.
“That’s the more visual approach and what you see isn’t always what you get, and behind the scenes, there’s always costs and cash flow is tough,” Ross said.
“Cash flow is actually really tough for growers, they’ve got to find money to put a post in the ground and that takes time and labour. Costs for picking are up considerably, so there’s challenges there.
“That comes out of growers’ margins and I’ve got growers who are saying that their margins haven’t increased for four years, but all their costs have gone up.
“We’re going to see [annual council] rates increases in Hawke’s Bay, the cost of fuel has gone up and those costs have to be passed on to the industry and on to consumers.
“We’ve also got Bailey bridges that are going to be around for another 10 years.”
The Hawke’s Bay Regional Recovery Agency has confirmed the full rebuild of the roading network is likely to take a decade, which includes the temporary Bailey bridges.
Ross says the state of Hawke’s Bay’s bridges and roads causes damage to fruit in transit from orchards to packhouses, while the absence of bridges - such as at Puketapu - adds fuel and time costs.
But one of the biggest issues confronting growers appears to be tree stock.
The region lost 61,000 hectares of orchards in Cyclone Gabrielle, says Ross, while trees in many blocks that survived the flood water are now dying.
“Getting the actual plants is a challenge. The next 18 to 24 months, we’re going to see high demand for planting so nurseries are going to be under a lot of pressure,” said Ross.
Cam Taylor, of apple exporter Taylor Corp, said his business used to have a nursery of 150,000 trees.
Taylor Corp decided a year ago to reduce the volume to 30,000, but that’s now entirely insufficient for their post-cyclone replanting needs. Much as he’d like to, Taylor says he can’t click his fingers and magically grow 100,000 more plants.
Ross says that’s a common situation across an industry that, at its best, is worth $2 billion to the Hawke’s Bay economy.
“A lot of orchards are in the process of being replanted or reworked, but it’s going to take time,” Ross said.
“You need two to three years to get production out of a tree and you’ve got the infrastructure around that as well. Posts, wire, that’s all up-front costs.