1. Research delivering profitable outcomes for industry – “Putting RDE&M into perspective” John Dollisson Voice of Horticulture & Apple and Pear Australia Ltd

2. Putting RDE&M into perspective A few questions Are the priorities as presented by HIA right for Australian Horticulture? What are the top RDE&M needs from a growers perspective? Will they improve profitability/sustainability? Can they be measured? Is the balance between short and long term right? Is HIA the right vehicle for all the RDE&M programs?

3. A Grower’s (shareholder’s) perspective Your perspective is the way you see something The Oxford English Dictionary defines it “A particular attitude towards or way of regarding something; a point of view” So today I provide a grower’s perspective A story on perspective

4. Grower’s perspective on issues affecting profitability Market price – domestic Market price/export (if access is available) Meeting operational debt Cost of labour Quality/productivity on farm/pack shed Managing supply chain especially big retailers

5. Grower’s perspective on issues affecting profitability Weather/water - (risk mitigation) New technology Farm management skills New variety/seed improvements (premium) Succession planning Biosecurity

6. Growers perspective on issues affecting profitability HIA RDE&MIdeal RDE&M for profit Market price domestic ½ Marketing ½ Private Sector Market price of exports (if access is available) ½ Focus on access/DAWR/DOT Meeting operational debt X Cost of labour X VOH Quality/productivity on farm/post- harvest PMA/VOH Managing supply chain especially big retailers ½ VOH/PMA Weather/water (risk mitigation) ½ New technology Large growers Farm management skills State Government, Private Sector New variety/seed improvements (premium) ½ Private sector Succession planning ½ Biosecurity VOH/PHA/State Government agencies

7. Grower perspective on issues affecting profitability sustainability – Other challenges Fruit and vegetable consumption continues to decline Heart Foundation “only 5.5% of Australian adults had an adequate usual daily intake of fruit and vegetables” Yet one of the most profitable grocery sectors? Snack food growing but not fresh? FTA’s but limited access Importance of value added products

8. Despite views to the contrary fruit & vegetables prices have kept up with of inflation over last 10 years. Key reasons? Change in varieties Change in packaging Same as processed food

9. Correct alignment of HIA and shareholder RDE&M Understanding grower and industry needs Seeking expert opinions on how to improve profitability Need a long term vision 5,10, and 20 years Need to understand the interaction of all aspects of horticulture policy – water, biosecurity, trade & market access, domestic marketing, employment needs, competition etc. Correct RDE&M comes out of:

10. Correct alignment of HIA and shareholder RDE&M 1.Update Macro-Economic Model 2.Development of key issues paper 3.Key Stakeholders Symposium 4.Hold Regional Workshops We need a whole of horticulture strategic plan & follow this process Diagram of proposed VOH planning process 5.Conduct Expert Team Meetings 6.Quantity the potential benefits and cost for each priority 7.Prepare draft report 8.Finalise quantification & documentation

11. Correct alignment of HIA and shareholder RDE&M From which will flow the necessary RDE&M requirements As the overall plan is reviewed so to will the RDE&M requirements VOH to prepare the overall strategic plan

12. Most effective RDE&M future Production and maintenance of the Horticulture Strategic Plan Production of the RDE&M requirements from the plan Prioritisation of these requirements and who should undertake A strong working relationship between VOH/HIA/PMA is the most effective way forward and underway

13. Thank you