MARKET ANALYSIS REPORT

A GLOBAL EXPORT MARKET OVERVIEW FOR BRITISH COLUMBIAS RASPBERRY INDUSTRY

 TABLE OF CONTENTS

EXECUTIVE SUMMARY ....................................................................................................................... 3

PURPOSE ........................................................................................................................................... 5

INTRODUCTION ................................................................................................................................. 5

GLOBAL RASPBERRY PRODUCTION .................................................................................................... 5

GLOBAL TRENDS ................................................................................................................................ 6

GLOBAL FROZEN RASPBERRY EXPORTS................................................................................................ 7

GLOBAL FROZEN RASPBERRY IMPORTS ............................................................................................. 8

GLOBAL COMPETITION IN THE FROZEN RASPBERRY MARKET ............................................................ 9

Serbia ........................................................................................................................................... 9
Poland ......................................................................................................................................... 10
Chile ............................................................................................................................................. 11
British Columbia .......................................................................................................................... 11

GROWTH POTENTIAL OF FROZEN RASPBERRY MARKETS .................................................................. 12

European Union .......................................................................................................................... 12
Australia ...................................................................................................................................... 13
Asia .............................................................................................................................................. 15

NEXT STEPS MARKET DEVELOPMENT ACTIONS .............................................................................. 21

APPENDICIES

A British Columbia & Canada: Domestic Raspberry Exports .................................................... 22

B Market Profiles ...................................................................................................................... 26

2
 EXECUTIVE SUMMARY

British Columbia (B.C.) produced 80% of the raspberries grown in Canada and accounted for 97% of the $11
million worth of raspberries exported out of the country in 2010. More than 90% of the raspberries exported
from B.C. are frozen, and nearly all of these are destined for the U.S. market. As a result of increasing
competition in the U.S., the Raspberry Industry Development Council (RIDC) has indicated the need to look at
other export markets to identify future growth opportunities. The purpose of this study is to help the RIDC
identify these high-growth markets and provide them with the necessary background information to form the
foundation of an export marketing strategy.

Global raspberry production is estimated at 400,000 500,000 tonnes annually, with the majority being
produced by Russia, the U.S., Serbia, Poland, and Chile. It is estimated that Russia produces about 100,000
tonnes, while the U.S., Serbia, Poland, and Chile all produce between 60,000 75,000 tonnes annually. With a
five-year production average of nearly 9,700 tonnes, B.C. accounts for about 1.9-2.4% of global raspberry
production. B.C. production is so small that it is a price taker on the global market.

Serbia, Poland and Chile are considered B.C.s leading competitors in the global raspberry market. Serbia is a
strong competitor in the European market, where over 98% of the countrys frozen raspberry exports were
destined in 2010. Of the roughly 61,000 tonnes of frozen raspberries exported out of Serbia in 2010, about 30%
were sent to Germany, 25% to France, 10% to Belgium, 10% to Austria, and 3% to the United Kingdom.

Poland is Serbias biggest competitor in the European market, where about 90-95% of Polands frozen raspberry
exports are destined each year. Of the roughly 40,000 tonnes of frozen raspberries exported out of Poland in
2009, 38% went to Germany, 11% to Belgium, 7.5% to the Netherlands, 6.5% to France, 6% to Sweden, and 5%
to the U.K.

Chile is a strong competitor in the U.S. market accounting for 72.4% of the countrys frozen raspberry imports
in 2010 but is now expanding its focus to markets in Europe, Asia and Australia. Of the 46,151 tonnes of
frozen raspberries exported out of Chile in 2010, 45% were destined for markets in Europe, 33% to the U.S.,
10% to Canada, 6.1% to Australia, 1.5% to New Zealand and 1.4% to Asia. Chiles world-class reputation for fruit
and wine exports, combined with relatively lower costs of production, makes it B.C.s strongest competitor in
the frozen raspberry market.

Although the U.S., Germany, the U.K., France and Japan are the worlds leading raspberry consumers, these
markets are intensely competitive and offer lower growth opportunities relative to some newer raspberry
markets. This study has found that the highest-growth prospects for B.C.s frozen raspberry exports exist in
Australia, South Korea, Taiwan, China, Hong Kong and India.

Australia benefits from a strong, growing economy with a GDP per capita that is nearly 40% higher than
Germany, the U.K. and France. As well, the average Australian consumer spent nearly 45% more on fruits than
consumers in Europes main raspberry markets in 2010. Australia imported 638,752 litres of frozen pulped
raspberries and 6,608 tonnes of frozen non-pulped raspberries in 2010, an increase of 69.6% and 83.6%
respectively since 2005. B.C. exported 8.4 tonnes of frozen raspberries to Australia in 2009.

South Koreas increased focus on health and wellness combined with a decreasing availability of farmland is
driving demand for imported fruits. As a result, frozen raspberry imports climbed over 500% over the past five

3
years, reaching 830 tonnes in 2010. B.C. currently exports between 20 and 80 tonnes of frozen raspberries to
South Korea every year.

Taiwans frozen raspberry imports climbed 155% between 2004 and 2009 as a result of increased demand from
western-style coffee shops, ice-cream parlours and food processors. Taiwan imported 107 tonnes of frozen
raspberries in 2009, with nearly two-thirds coming from China. With the exception of 1 tonne of frozen
raspberries exported to Taiwan in 2008, B.C. has had no impact on Taiwans frozen raspberry market.

The sheer size of Chinas consumer market makes it an attractive destination for B.C. agri-food exports.
Although China has invested heavily in raspberry production over the past decade and production levels are
reported to reach 13,000 tonnes, the country still imported more than 2,300 tonnes of frozen raspberries in
2010. Due to poor management, quality control and harvesting processes on raspberry farms in China, it can be
expected that demand for higher-quality raspberries coming from outside the country will increase as Chinas
capacity to process raspberries continues to grow.

Hong Kong benefits from a strong economy where the average disposable income is more than ten times as
high as the rest of China. Hong Kongs large expatriate population and strategic location as a gateway to the
mainland China market makes it a lucrative destination for B.C.s raspberry exporters. Hong Kongs frozen
raspberry imports have climbed nearly 800% between 2005 and 2010, from 10 to 89 tonnes. B.C. doesnt
currently export frozen raspberries to Hong Kong, but the market offers opportunities to serve the growing
demand for frozen raspberries from Western-style health-food and bakery outlets.

With the second largest population in the world and one of the fastest growing economies, India offers many
opportunities for B.C.s agri-food exporters. Although red raspberries have only just begun to make their
impact in India, frozen raspberry imports climbed from 9 to 23 tonnes between 2004 and 2009. As disposable
incomes rise and consumers have the capability to purchase healthier foods, demand for raspberries and
raspberry products can be expected to grow.

In order to successfully compete in the high growth markets identified in this study Australia, South Korea,
Taiwan, China, Hong Kong, and India the B.C. raspberry industry will need to conduct more in-depth, country-
specific market research to provide insight into how the frozen raspberry market is structured in each of these
markets, who the key players are and which value-added product categories have the strongest prospects for
growth using raspberries as an ingredient. B.C.s raspberry industry may also benefit from more product/sector
specific market research on opportunities that exist for exporting processed raspberry products such as jams,
dried fruits, juices, wine and yoghurts.

4
 PURPOSE
Building upon the market-information needs identified by the Raspberry Industry Development Council (RIDC),
the B.C. Ministry of Agriculture, with support from Agriculture and Agri-food Canada, conducted this study to
help British Columbias raspberry growers remain competitive in the global frozen raspberry market.

The purpose of this study is to help the RIDC identify which markets provide the strongest opportunity for
growth for B.C.s frozen raspberry exports, and to provide them with the necessary background information to
form the foundation of an export marketing strategy.

INTRODUCTION
B.C. currently sends more than 95% of its raspberry exports to the United States, and yet only represents 0.3%
of U.S. fresh raspberry imports and 21% of U.S. frozen raspberry imports.1 Although demand for fresh
raspberries is still increasing in the U.S. market, the frozen raspberry market is highly competitive and the RIDC
has indicated the need to look at other export markets to identify future opportunities. 2

This report begins by providing an overview of the worlds leading raspberry producers and the top importing
and exporting countries of frozen raspberries. The report then reviews the relative strengths and weaknesses
of B.C.s top competitors in the global market: Serbia, Poland and Chile. The report concludes with an analysis
of the markets where the strongest growth opportunities exist for B.C.s frozen raspberry exports, followed by
suggestions for capitalizing on these opportunities.

This study was funded through the Growing Forward Trade and Market Development for the Canadian Agri-
food and Agri-based Products Sector Program.3 This program aims to facilitate industry success in global and
domestic markets. Through industry-led marketing strategies, a Canada branding strategy, market intelligence
and services for exporters, and actions to maintain and improve market access, the program helps equip the
sector to seize market opportunities and address emerging challenges.

GLOBAL RASPBERRY PRODUCTION

Despite producing about 80% of the raspberries in Canada, B.C. is still a relatively small player in the global
raspberry market. In 2010, B.C. produced 7,632 tonnes of raspberries, at a farm gate value of $12,936,000.
Canada produced 9,566 tonnes of raspberries, at a farm gate value of $24,467,000.4 Although B.C. grows about
10 different varieties of raspberries, the majority are of the Meeker variety. Most B.C. raspberries are
harvested from late June to mid-August.

The global production of raspberries is estimated at 400,000500,000 tonnes annually, with the majority being
produced by Russia, the U.S., Serbia, Poland and Chile.5 6 7 B.C. accounts for about 1.9 2.4%* of global
production. B.C. production is so small that it is a price taker on the global market. B.C. could stop producing
raspberries and the price on the global market would be unaffected.

*
Based on B.C.s 5-year production average of 9,690 t and world production estimates of 400,00 500,000 t

5
The lack of reliable data available on annual production levels in Russia affects the ability to accurately calculate
world production, but it is estimated that the country produces more than 100,000 tonnes annually. It is
assumed that most of Russias raspberries are consumed internally so the countrys influence on the global
market is very limited.8 9

The U.S. produced nearly 73,000 tonnes of raspberries in 2010, about 40% of which was destined for
processing. Of those raspberries that are processed about 30% are Individually Quick Frozen (IQF), 30% are
processed into juices, 20% are pureed, and the remaining 20% are block frozen. 10 Most U.S. processing
raspberries are of the Meeker variety and are harvested from mid-June to late August.11

Serbia produced about 70,000 tonnes of raspberries in 2010. 12 Only 10-15% of Serbias raspberries are
consumed domestically, while the other 85-90% is further processed or frozen and then exported. Between 90-
95% of Serbian raspberries are of the Williamette variety and are harvested from late June to July.13

Poland produced about 65,000 tonnes of raspberries in 2010. 14 The main varieties grown in Poland include
Polka and Polana. Polka is an early primocane cultivar which is harvested between late July and October, while
Polana is a late variety which is generally harvested between mid-August and September.15 16

Chile produced about 60,000 tonnes of raspberries in 2010. The majority of Chiles 19,000+ growers operate
small-scale farms with an average 0.8 hectares of productive land.17 Due to the small farm sizes, about 95% of
the raspberries in Chile are harvested manually. Chile has traditionally concentrated on fresh berries, as its
harvest occurs during the winter season in the U.S., but now the majority of exported raspberries are frozen.18
2007 estimates indicate that less than 5% of the Chilean crop is consumed domestically, while the rest is
destined for export markets.19 About 85% of Chilean raspberries are of the Heritage variety and are harvested
from November to May.20

Other top raspberry producing countries include the United Kingdom, Mexico, Spain, Ukraine, France and
Germany. Generally, these countries are either serving large domestic markets or are exporting the majority of
their raspberries fresh to the U.S. or markets in Europe.21 22

GLOBAL TRENDS
Over the past decade there has been a steady increase in demand for fruit and fruit-based products as
consumers seek out healthier options in their diets. Raspberries have benefited from this trend, but are also
seeing greater competition from other berries such as blueberries that have received tremendous
promotion as superfruit because of their disease-fighting nutritional benefits. It can be expected that global
demand for raspberries will continue to grow, but most growth will likely come from processors looking for
fruits to use in value-added products alongside more expensive superfruits.23 Beverage concepts are expected
to dominate the future for healthy nutrition and functional foods, as consumers increasingly look for
convenient, single-serving products that taste good and are easy to consume.24

Due to the short shelf life of raspberries, most traded raspberries are sold in frozen blocks and are treated as a
commodity product. As a result, prices for frozen raspberries can fluctuate a lot from year-to-year as they are
influenced greatly by exchange rates, import duties, weather conditions, and supply and demand. With the
large increases in production from low-cost producers in Eastern Europe and South America, it can be expected

6
 that high competition in current markets for frozen raspberries will continue to be a challenge for B.C.
exporters.25

Outside of the traditional fresh and frozen raspberry markets, raspberries are also being used in other products
such as teas, artificial sweeteners and fruit wines. Tea producers have developed several herbal tea varieties
that incorporate raspberry leaves and are marketed for their health benefits; alternative sweetener producers
are extracting sugar alcohol from raspberries to develop the sugar substitute Xylitol; and wineries are creating
raspberry fruit wines and using raspberry juice to create raspberry-flavoured grape wines.26

GLOBAL FROZEN RASPBERRY EXPORTS

B.C. exported over $11 million worth of raspberries in 2010, accounting for 97% of the value of Canadas total
raspberry exports (See Appendix A). Of the 5,631 tonnes exported from B.C. in 2010, 91.1% of those exports
were frozen and only 8.9% were fresh.27

B.C.s primary export market is the U.S., which received over 96% of the provinces raspberry exports in 2010
(5,416 t) almost all of which were frozen. Secondary markets for B.C.s frozen raspberries include Japan and
Korea, which received 66.9 and 38.6 tonnes respectively in 2010.28

Chart 1: B.C. Domestic Raspberry Exports All Raspberries

25,000,000

20,000,000
Quantity (Kg)

15,000,000

10,000,000
Value ($)

5,000,000

0
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Value of Exports ($) Quantity of Exports (KG)

7
Most exporting countries do not differentiate between raspberries, blackberries, mulberries and loganberries
when collecting customs trade data. However, considering raspberries account for the majority of the export
trade in these berries, the aggregated statistics in Table 1 provide a good representation of the worlds top
exporters of frozen raspberries.

Table 1: Global Frozen Raspberry* Exports

COUNTRY Unit 2007 2008 2009 2010 07-09 Growth 09-10 Growth
Poland t 77,419 825,242 74,585 -- -3.7% --
Serbia t 78,143 61,601 73,884 -- -5.5% --
Chile t 59,968 59,787 48,551 63,800 -19.0% 31.4%
Netherlands t 13,738 21,502 18,497 -- 34.6% --
Belgium t 21,410 20,224 16,456 -- -23.1% --
China t 13,280 12,418 10,174 12,630 -23.4% 24.1%
Austria t 9,862 6,024 9,252 -- -6.2% --
Germany t 9,586 10,180 7,907 9,121 -17.5% 15.4%
United States t 6,368 5,445 4,721 7,211 -25.9% 52.7%
Canada t 4,919 5,888 3,019 5,719 -38.6% 89.4%
Source: Global Trade Atlas (March 2011)

GLOBAL FROZEN RASPBERRY IMPORTS

As with exports, most importing countries dont differentiate between raspberries, blackberries, mulberries and
loganberries when collecting customs trade data. Table 2 highlights the top importers of frozen raspberries
based on these aggregate statistics.

Table 2: Global Frozen Raspberry Imports

COUNTRY Unit 2007 2008 2009 2010 07-09 Growth 09-10 Growth
Germany t 81,406 82,500 77,657 85,798 -4.6% 10.5%
(Customs)
France t 37,540 36,498 33,687 36,656 -10.3% 8.8%
(Customs)
United States t 29,553 29,824 25,421 35,801 -14.0% 40.8%
Belgium t 26,978 23,537 21,726 -- -19.5% --
Netherlands t 21,005 21,052 21,049 -- 0.2% --
United Kingdom t 20,115 17,521 15,509 15,021 -22.9% -3.1%
HMRC
Austria t 17,452 14,204 14,733 -- -15.6% --
(Customs)
Canada t 10,907 8,448 9,345 10,487 -14.3% 12.2%
Poland t 4,405 5,398 6,592 -- 49.6% --
t 4,864 4,634 4,931 6,608 1.4% 34.0%
Australia L 257,439 385,576 456,958 638,753 77.5% 39.8%
Source: Global Trade Atlas (March 2011)

*
Includes exports of blackberries, mulberries, loganberries and currants.

Includes imports of blackberries, mulberries, loganberries and currants .

8
 GLOBAL COMPETITION IN THE FROZEN RASPBERRY MARKET
B.C.s top global competitors in the frozen raspberry market include Serbia, Poland and Chile.

SERBIA

Serbia is a strong competitor in the European market for frozen raspberries, where over 98% of the countrys
frozen raspberry exports were destined in 2010. Of the roughly 61,000 tonnes of frozen raspberries exported
out of Serbia in 2010, about 30% were sent to Germany, 25% to France, 10% to Belgium, 10% to Austria, and 3%
to the United Kingdom. Although still a very small share of overall exports less than 0.5% frozen raspberry
exports to Asia have increased over 400% between 2005 and 2010, rising from 44 to 228 tonnes. 29

Chart 2: Serbias Top 5 Frozen Raspberry Markets 2005-2010

20,000

15,000
Metric Tonnes

10,000

5,000

0
2005 2006 2007 2008 2009 2010

Germany France Austria Belgium Netherlands

Due to a lack of processing technologies, Serbia consumes very small quantities in local juice and puree
products and instead exports most of its broken and frozen raspberries to other European countries where
firms process the raspberries for re-export. Serbian farmers face challenges selling their fresh berries to
brokers, processors or cold storage plants due to the lack of official standardization and classification systems,
and poor infrastructure.30 As a result, about 95% of Serbias crop is exported frozen.31 The Willamette variety
that is grown in Serbia is very good for freezing and has excellent processing characteristics, which makes
Serbias frozen raspberries adequate to meet the requirements of the countrys main buyers in Germany,
France, Belgium, Austria, and the U.K.32

About 90% of frozen raspberries that are exported from Serbia are IQF and packed in a standard five-layer
carton box, which contains four plastic bags of 2.5kg net weight. The lack of machinery and technology in the
country affects the way raspberries can be packaged for export, as most Serbian firms do not produce
packaging material of adequate quality for the EU market. If buyers from other countries require raspberries to

9
 be packed in a specific size or style of packaging for retail purposes, they usually supply the packaging and labels
to Serbian processors. 33

Serbia is a strong competitor in Europe because of low transportation, labour and land costs which enable
exporters to compete strongly on price. However, the lack of machinery, technology and adequate
infrastructure in Serbia, combined with its relatively low food-safety and quality-assurance standards, highlight
the countrys key challenges to expanding its share of the global raspberry market.

POLAND

Poland grows about two thirds of all soft fruits produced in the EU for the processing industry.34 The country is
well situated in Europe to export its raspberries to processors in other European countries, where about 90-95%
of the countries frozen raspberry exports are destined each year. Of the roughly 40,000 tonnes of frozen
raspberries exported out of Poland in 2009, 38% went to Germany, 11% to Belgium, 7.5% to the Netherlands,
6.5% to France, 6% to Sweden, and 5% to the U.K.

Chart 3: Polands Top 5 Frozen Raspberry Markets 2004-2009

20,000

15,000
Metric Tonnes

10,000

5,000

0
2004 2005 2006 2007 2008 2009

Germany Belgium Netherlands Russia Sweden

Poland has a strong tradition of growing raspberries and invests heavily in researching and developing new
raspberry cultivars, which has created a strong foundation for the country to grow into one of the worlds top
exporters of frozen raspberries. With a large semi-processing industrial basis and low costs of production,
Poland is Serbias strongest competitor in Europes frozen raspberry market.35 However, like Serbia, Poland still
faces challenges with quality-assurance and food-safety standards. In 2005, Polands frozen raspberries were
identified as the source of six different outbreaks of norovirus infection in Denmark, which affected more than
1,000 people.36

10
 CHILE

Chile is a strong competitor in the U.S. market, accounting for 72.4% of the countrys frozen raspberry imports
in 2010. Although the U.S. is Chiles largest market for frozen raspberries, the share of Chiles frozen raspberry
exports destined for the U.S. has dropped about 10% since 2005. During this period, the share of Chiles frozen
raspberry exports destined for Europe, Canada, Australia, New Zealand and Asia has increased. Of the 46,151
tonnes of frozen raspberries exported out of Chile in 2010, 45% were destined for markets in Europe, 33% to
the U.S., 10% to Canada, 6.1% to Australia, 1.5% to New Zealand and 1.4% to Asia.37

Chart 4: Chiles Top 5 Frozen Raspberry Markets 2005-2010

20,000

15,000
Metric Tonnes

10,000

5,000

0
2005 2006 2007 2008 2009 2010

United States Canada France Germany Netherlands

Chiles fresh raspberry exports declined 90% between 2005 and 2010, from 5,288 to 580 tonnes, while frozen
raspberry exports climbed 13.7%, from 40,573 to 46,151 tonnes. 38 Unlike Chiles other berry industries which
have a strong focus on serving the winter market for fresh berries in North America, the raspberry industry has
turned its efforts towards the export of frozen berries to processors in Europe, Australia and Asia.

Chiles world-class reputation for fresh and processed fruit and wine exports makes it B.C.s strongest
competitor in the frozen raspberry market. Although buyers perceptions of food safety and quality assurance
are fairly equal between Canada and Chile, the latter has the benefit of lower land and labour costs which
enables exporters to be more price competitive.

BRITISH COLUMBIA

B.C.s competitors in the global raspberry market have a clear advantage over B.C. as a result of lower land,
input, and labour costs. The lower costs of production enable these competitors to be much more price
competitive in the frozen raspberry market, which creates large entry barriers in countries where these
competitors are already exporting. However, B.C. benefits from a much stronger perception in the eyes of
buyers relative to Serbia and Poland due to Canadas high food-safety and quality-assurance standards, and has

11
a transportation advantage over Chile when shipping frozen raspberries to markets in Asia. In order to
capitalize on these advantages, B.C. exporters should leverage Canadas reputation for safe, high quality fruits
in new markets where the competition is not as intense as the current top markets for frozen raspberry exports
the U.S., Germany, the U.K. and France.

GROWTH POTENTIAL OF FROZEN RASPBERRY MARKETS

The U.S. and the EU are clearly the top consumers of raspberries, with Japan a distant third. 39 However,
increased interest from consumers in Australia, China, South Korea, Taiwan, Hong Kong and India are creating
new markets that offer great opportunity to B.C. raspberry exporters. Profiles for each of these markets, as
well as the top three frozen raspberry markets in the EU, are included in Appendix B.

EUROPEAN UNION

Germany is the largest consumer of fresh and frozen raspberries in the EU, followed by the United Kingdom and
France.40 As the three largest economies in Europe, these markets are the focus of B.C.s competitors. Import
data shows substantial frozen raspberry imports entering Belgium and the Netherlands from Serbia, Chile and
Poland, but these raspberries are generally destined for further processing in these countries before the
finished raspberry products are re-exported to Germany, the U.K. and France. The following section provides a
brief overview of these top frozen raspberry markets and the challenges that are present for B.C. exporters to
enter these key markets.

Germany is one of the worlds most prosperous countries, where citizens enjoy a high standard of living and
sizeable disposable incomes. With a population of 81.7 million people, Germany is the largest consumer market
in Europe and a top destination for raspberry exports. As a result of an aging population, there is a strong trend
in Germany towards living healthier lifestyles which is driving demand for fruit and fruit-based products. The
average consumers annual expenditure on fruit increased by 27.5% between 2005 and 2010. 41

Despite being the largest importer of frozen raspberries in the world, the opportunities for B.C.s frozen
raspberry exports in Germany are tempered by intense competition in the market. Serbia and Poland have
leveraged their transportation advantage to supply more than 65-70% of the frozen raspberries imported
directly into Germany each year. The remaining imports are primarily coming from Chile, Belgium, China and
Austria. In 2010, BC exported 17.8 tonnes of frozen raspberries to Germany worth $37,689. 42

The United Kingdom is considered the most important fresh berry market in Europe, with consumers expecting
them to be available 52 weeks a year. In 2010, the average consumer bought raspberries 6.2 times.43 Although
the U.K. economy experienced stronger than average growth in the EU for most of the past decade, the country
was hit hard by the recession in 2008 leading consumers to be more cautious about their spending. Despite
this, the berry market in the U.K. is still seeing growth as consumers continue to put emphasis on healthy
eating. In 2010, frozen raspberries outpaced all other frozen berries sold through retail, with a 17.2% increase
in sales to 1,766 tonnes.44

Raspberry production in the U.K. expanded considerably between 2005 and 2009, with the planted area
increasing by 22% to nearly 1,800 hectares and the production volume increasing 31% to 16,000 tonnes. About
80% of these raspberries are grown for the fresh market in the U.K., while the majority of the remaining berries
are used in the production of juice and puree. Most of the IQF raspberries berries sold in the U.K. are imported

12
from Serbia, Poland, and Chile, while the majority of frozen raspberry concentrate and puree is imported from
Poland.45 B.C. does not currently export any raspberries to the U.K.46

France is the second largest economy in Europe and one of the most important food markets in the world. The
country ranks first in Europe and third worldwide, behind the U.S. and Japan, in overall expenditures on food
and related items.47 The governments health campaigns against obesity are contributing to an increase in fruit
consumption that is driving fruit sales and supporting a strong market for frozen raspberry exporters in Serbia,
Chile and Poland.

France is the second largest importer of frozen raspberries in the EU, with more than half of its approximately
31,000 tonnes of frozen raspberries imported in 2010 coming from Serbia. Frozen raspberry exports from
Serbia to France increased 32.8% between 2005 and 2010, rising from 11,495 to 15,261 tonnes. Chile
accounted for about 15% of Frances raspberry imports in 2010, while Poland accounted for about 10%. B.C.
does not currently export any raspberries to France.48

Germany, the U.K. and France are the 4th, 5th and 6th largest economies in the world respectively, and are the
three most important raspberry markets in Europe. 49 While these three markets clearly offer great
opportunities for raspberry exporters, B.C. faces large entry barriers in all three of these markets because of
intense competition from Serbia, Poland and Chile. With a potential free trade agreement between the EU and
Canada on the horizon, B.C.s ability to compete in these three markets may increase and open up new
opportunities for B.C. exporters. However, even with the 14.7% tariff on frozen raspberries eliminated, the low
costs of production and transportation advantages in nearby Poland and Serbia will still make it very difficult for
B.C. exporters to compete on price. As a result, Germany, France and the U.K. can be considered markets with
low growth potential for B.C.s frozen raspberry exports relative to other countries.

AUSTRALIA

Relative to the main raspberry markets in Europe, Australia is still a fairly new market for frozen raspberry
exporters. However, Australia benefits from a strong, growing economy with a GDP per capita that is nearly
40% higher than Germany, the U.K. and France. As well, the average Australian consumer spent nearly 45%
more on fruits than consumers in Europes main raspberry markets in 2010.50

Australia produced about 2,000 tonnes of raspberries on 400 hectares in 2010. Due to the array of climatic
conditions spread between northern and southern Australia, fresh Australian raspberries are available all year
round. Approximately 90% of the raspberries grown in Australia are sold fresh in the domestic retail market,
about 5% are sold through on-farm sales, and the remaining 5% are destined for local fruit processors. The
primary focus of the majority of growers in Australia is the fresh food market, leaving an unmet demand for
frozen raspberries from Australias processing industry.51 A 500 gram box of frozen raspberries sells for
approximately CAD$6.80 in Australia.52

Australia imported 638,752 litres of frozen pulped raspberries* in 2010, an increase of 69.6% since 2005.
Nearly 69% of Australias frozen pulped raspberry imports were sourced from the Netherlands in 2010, while
another 25% came direct from Poland. It is likely that the majority of those frozen pulped raspberries imported
from the Netherlands originated in Poland, Chile or Serbia, but were further processed in the Netherlands
before being re-exported to Australia. 53

*
Australias frozen raspberry import data includes imports of blackberries, mulberries, gooseberries and currants

13
 Chart 5: Australia Frozen Pulped Raspberry Imports 2005-2010

500,000

400,000

300,000
Litres

200,000

100,000

0
2005 2006 2007 2008 2009 2010

Netherlands Poland Chile Belgium China

Australia imported 6,608 tonnes of frozen non-pulped raspberries in 2010, an increase of 83.6% since 2005.
Chile and China were the top suppliers of frozen non-pulped raspberries, representing 51% and 32% of imports
respectively in 2010. B.C. didnt export any frozen raspberries to Australia in 2010, but did export small amounts
of frozen raspberries to the market every year between 2004 and 2009. In 2009, B.C. exported 8.4 tonnes of
frozen raspberries to Australia worth $35,968. 54

Chart 6: Australia Frozen Non-Pulped Raspberry Imports 2005-2010

4,000

3,000
Metric Tonnes

2,000

1,000

0
2005 2006 2007 2008 2009 2010

Chile China Netherlands Poland New Zealand

14
Although B.C.s top competitors are all increasing their focus on Australias frozen raspberry market, the
competitive environment is not nearly as intense as it is in Europes top markets. With a moderately
competitive environment, strong economic growth, increasing consumer expenditures on fruit, and 0% tariffs
on frozen raspberry imports, Australia can be considered a market with high growth potential for B.C.s frozen
raspberry exports.

ASIA

Asia is home to two of the worlds fastest growing economies China and India as well as over 60% of the
entire world population.55 With an increasing percentage of the Asian population moving from rural farms to
urban areas in search of job opportunities, these markets are increasingly in demand of food products supplied
by other countries.

B.C.s raspberry growers are well-positioned to take advantage of emerging opportunities in East Asia due their
proximity to the market and the large population of Asian immigrants in B.C. that have business connections in
these countries. As well, B.C.s Asia-Pacific Initiative* is investing heavily in positioning B.C. as a location of
choice for importers looking to source products from North America to Asia, which has greatly enhanced B.C.s
profile in these markets.

Japan is the largest consumer of raspberries in Asia, followed by South Korea and Taiwan. In addition to these
markets, opportunities for B.C.s frozen raspberries are emerging in China, Hong Kong, and India.

Japan

B.C. exported $296 million worth of agri-food and seafood products to Japan in 2010, making it the provinces
third largest export market behind the United States and China.56 Japan has been the top market in Asia for
B.C. exports for several years, as the country lacks the level of food production that is required to feed the 127
million people living in the country and is closer to Canadas west coast than markets in Europe. As well,
Japanese consumers have a much higher disposable income than in neighbouring countries and have
traditionally paid a premium for Canadas food products due to a strong reputation for quality-assurance and
food-safety. While this competitive advantage is diminishing in Japan because of large investments in food-
safety and quality-assurance programs by Canadas competitors, the Canada Brand Initiative is investing
heavily in consumer promotion activities in Japan to enhance the visibility of Canadian products and increase
demand for Canadian exports.

Frozen raspberry imports into Japan have declined by 5.4% in the past five years, as the country has
experienced a slowing economy, a reduction in disposable incomes, and strong promotion of other superfruits.
Of the 1,953 tonnes of frozen raspberries imported into Japan in 2010, 23.5% were sourced from Chile, 23%
from the U.S., 17% from New Zealand, 13% from France, 12% from Serbia, and 4.5% from Poland. Serbia has
had the largest growth in market share in Japan between 2005 and 2010, rising from 100 to 235 tonnes. During
the same period, B.C.s frozen raspberry exports to Japan dropped 9.3% from 42.6 to 38.6 tonnes.

*
Background information on the Asia-Pacific Initiative can be found at http://www.tted.gov.bc.ca/APTI/Economies/Pages/default.aspx

Background information on the Canada Brand Initiative can be found at http://www.marquecanadabrand.agr.gc.ca/intro/index-eng.htm

Frozen raspberry import data for Japan and South Korea includes imports of blackberries, mulberries, gooseberries and currants

15
 Chart 7: Japan Frozen Raspberry Imports 2005-2010

800

600
Metric Tonnes

400

200

0
2005 2006 2007 2008 2009 2010

Chile United States France New Zealand Serbia

Japans rapidly aging population and the governments implementation of compulsory health checks is
expected to continue to drive demand for healthy foods such as berries. 57 While this could lead to more
opportunities for the use of B.C.s frozen raspberries in value-added processing in Japan, the competition in this
market is growing from Serbia, Chile, and New Zealand. B.C. has a competitive disadvantage when competing
against Chile in this market because of the Economic Partnership Agreement between Japan and Chile that
eliminates the tariff on frozen raspberry imports. B.C. faces a 9.6% tariff on frozen raspberries containing
added sugar and 6% on other frozen raspberries exported to Japan. 58 With a highly competitive environment, a
slowing economy and a continued decline in frozen raspberry imports, Japan can be considered a market with
low to medium growth potential for B.C.s frozen raspberry exports.

South Korea

South Korea has been one of B.C.s top five export markets for agri-food and seafood products for several years,
receiving $79 million worth of B.C. exports in 2010. Like Japan, South Koreas available farmland has steadily
declined over the past two decades which has increased the need for food imports from other countries. South
Koreas total agri-food and seafood imports climbed 30% in the past five years, from $16.6 billion in 2006 to
$21.7 billion in 2010.59

An increased focus on health and wellness is driving demand for imported fruits in South Korea. As a result,
frozen raspberry imports climbed over 500% over the past five years, from 134 tonnes in 2006 to 830 tonnes in
2010. Of the frozen raspberries imported in 2010, 52.5% were sourced from the U.S., 14% from Canada, 13%
from Chile, 9% from France, 8% from China and 3% from Serbia. During the past five years, the U.S. has had the
largest increase in market share in the South Korean frozen raspberry market, rising from 0.7% in 2006.

16
 Chart 8: South Korea Frozen Raspberry Imports 2005-2010

500

400
Metric Tonnes

300

200

100

0
2005 2006 2007 2008 2009 2010

United States China France Chile Serbia

B.C. currently exports between 20 and 80 tonnes of frozen raspberries to South Korea every year. In 2010, B.C.
exported nearly 67 tonnes worth $183,720. Despite the growing competition in the market, Korea can be
considered a market with high growth potential for B.C.s frozen raspberry exports as a result of the rapidly
increasing demand for frozen raspberries.

Taiwan

Taiwans importance as an export market for B.C.s agri-food and seafood products has increased substantially
in recent years, with total exports climbing 128% between 2007 and 2010, from $23.8 to $54.4 million.
Although the average disposable income in Taiwan is about 50% lower than in Japan and 25% lower than in
South Korea, the average Taiwanese consumer spends more than two times as much on fruit each year than
Japanese and Korean consumers.60

Taiwans frozen raspberry* imports climbed 155% between 2004 and 2009, rising from 42 to 107 tonnes. Of the
frozen raspberries imported into Taiwan in 2009, 64% came from China, 24% from France and 4.7% from the
Netherlands. With the exception of 1 tonne of frozen raspberries that was exported from B.C. to Taiwan in
2008, the province has not had any impact on Taiwans frozen raspberry market. 61

*
Taiwans frozen raspberry import data includes imports of blackberries, mulberries, gooseberries and currants

17
 Chart 9: Taiwan Frozen Raspberry Imports 2004-2009

80

60
Metric Tonnes

40

20

0
2004 2005 2006 2007 2008 2009

China France Netherlands United States Serbia

About 95-99% of the frozen raspberries imported into Taiwan are destined for value-added processing. The
higher-quality raspberries that come from France are used in cakes and pastries while the lower-quality
raspberries from China are used for making jam. For those raspberries destined for the cake and pastry market,
taste, flavour and consistency of size are the factors most emphasized by importers. However, due to the high
price sensitivity of Taiwanese processors, importers are also very concerned about price so that they can ensure
an acceptable mark up.62

The majority of the frozen raspberries imported into Taiwan go through professional importers who then sell to
major food processors or smaller fruit dealers. The fruit dealers typically service smaller food service
establishments that have product needs that extend beyond frozen berries. These smaller establishments,
typically local bakeries, use the berries for making cakes and pastries that are then sold in the shop front.
Frozen raspberries are not sold through any retail outlets in Taiwan.63

The demand for raspberries in Taiwan is expected to increase as western-style coffee shops and ice cream
parlours continue to spread throughout the country. As a new market with low competition and an increasing
demand for frozen raspberries, Taiwan is considered a market with strong growth potential for B.C.s frozen
raspberry exports.

China

China presents incredible opportunities for B.C. agri-food exporters due to the massive size of the consumer
market, its strong cultural and economic ties to the province, and the countrys inability to feed its 1.3 billion
people through its domestic food production. In 2010, China passed Japan to become B.C.s second largest agri-
food and seafood export market for the first time. B.C.s total agri-food and seafood exports to China grew over
300% between 2005 and 2010, rising from $81.5 million to $328 million.64

18
In 2000, China introduced raspberries from Europe and North America and began experimental plantings in
many areas of the country. By 2010, the raspberry plantings in China were estimated to cover 4,300 hectares
and produce 13,000 tonnes of raspberries. Reports from China indicate that about 90% of the raspberries
produced in China are for the frozen market, while the remainder go to the production of raspberry juice
concentrate. The proportion of raspberries sold into the fresh market in China is negligible.65

Only 3.8% of households have a freezer in China as the infrastructure for frozen products is still in development
and Chinese consumers dont have the space in their house to store extra food. 66 As a result, about 95% of the
frozen raspberries in China are exported.67 Chinas export data for frozen raspberries, mulberries, loganberries
and currants indicates that the country exported 12,630 tonnes in 2010, with 20% going to Russia, 18% to the
Netherlands, 12% to Australia and Japan, and 10% to Germany, and smaller amounts to Turkey, the U.S., New
Zealand and Canada. It is unknown how much of these exports relate to raspberries specifically, but reports
from China have indicated that the majority of Chinas frozen raspberries are exported to European markets. 68

Chinas import data indicates that the country imported 2,312 tonnes of frozen raspberries* in 2010, with nearly
70% of those coming from Canada, 9% from New Zealand, 8% from the U.S., 5.5% from Serbia and 5% from
Chile. However, there seems to be a large discrepancy between Canadas export data and the import data that
China reports. B.C. is the only province in Canada that has exported frozen raspberries to China, with 19 tonnes
going to the market in 2008 and 21 tonnes in 2010. Taking this into consideration, B.C. only represents
between 2-3% of Chinas raspberry imports.69

Although China is increasing its raspberry production and will likely be able to meet some of the future demand
from Chinese processors, reports from within the country indicate that major challenges exist with the
management, quality control and harvesting processes on raspberry farms. These challenges are restricting
Chinas ability to grow the high-quality berries that are required by cake and pastry processors in neighbouring
countries, and have opened up opportunities for B.C.s raspberry exporters within China. As Chinas capacity to
process frozen raspberries continues to grow, it is expected that the demand for higher-quality raspberries
coming from outside the country will likely increase. With the largest population in the world, one of the
fastest growing economies, and an expected increase in demand for berry products to serve Chinas ageing
population, China can be considered a market with high growth potential for B.C.s raspberry exports.

Hong Kong

Hong Kong is a Special Administrative Region of China that is known for its open market economy. All products
imported into Hong Kong are tariff free, with the exception of alcohol, tobacco, gasoline and methyl alcohol.70
Hong Kong is a transportation hub where products are imported from countries around the world and re-
exported to markets in Asia, Europe and North America. This makes Hong Kong an ideal market for B.C.
exporters who are looking to access multiple Asian markets but lack the resources to deal with importers in
each country. Many of the products that eventually make it to Japan, South Korea, Taiwan and China are first
brought into Hong Kong where they are further processed and repackaged for these markets.

Hong Kong benefits from a strong economy where the average disposable income is more than ten times as
high as the rest of China. Hong Kong has a large expatriate population that purchase Western-style foods and
are looking for familiar foods from North America and Europe. As a result, Western-style food service outlets
that utilize frozen berries such as Jugo Juice have established themselves in the market, and a large portion

*
Chinas frozen raspberry import data includes imports of blackberries, mulberries, gooseberries and currants

19
 of Hong Kongs food service and retail outlets are tailoring their products to meet this consumer demand. A
400 gram box of Sara Lee frozen raspberries sells for approximately CAD$5.40 in Hong Kong.71

Hong Kongs frozen raspberry imports have climbed nearly 800% between 2005 and 2010, from 10 to 89
tonnes. In 2010, 43% of Hong Kongs frozen raspberry exports were sourced from Belgium, 29% from the U.S.,
14% from the Netherlands, 6% from China and 6% from Chile.72

Chart 9: Hong Kong Frozen Raspberry Imports 2005-2010

40

30
Metric Tonnes

20

10

0
2005 2006 2007 2008 2009 2010

United States Belgium China Netherlands Chile

B.C. doesnt currently export frozen raspberries to Hong Kong, but the market offers opportunities to serve the
growing demand for frozen raspberries from Western-style health food and bakery outlets. As a result of this
growing demand, and the regions strategic location as a gateway to the mainland China market, Hong Kong can
be considered a market with high growth potential for B.C.s frozen raspberry exports.

India

India has the second largest population in the world and one of the fastest growing economies, making it a
lucrative market for B.C. agri-food exporters. Currently, B.C.s agri-food and seafood exports to India are
equivalent to about 2% of the exports destined for China or Japan each year. However, in the past five years
B.C.s agri-food and seafood exports to India have climbed nearly 300%, from $1.3 million in 2006 to $4.7
million in 2010. As B.C. shifts its focus towards emerging markets in Asia, it can be expected that the share of
B.C.s exports destined for India will increase.

Wild raspberries grow abundantly in Northern India and the Himalayas, and are generally available in fresh food
markets from December through June. The most common raspberry found in India is the Mysore raspberry,
which are a purple-black colour when ripe.73 Red raspberries have only just begun to make their impact in
India, with 23 tonnes of frozen raspberries* imported in 2009 up from 9 tonnes in 2004. Of these frozen

*
Indias frozen raspberry import data includes imports of blackberries, mulberries, gooseberries and currants

20
raspberry imports, 44% came from Greece, 35% from China, 13% from the U.S., and 13% from Chile. B.C. does
not currently export any raspberries to India.74

As only 7.3% of Indian households have a freezer and 15.3% have a refrigerator, opportunities for selling frozen
foods into the retail market are limited to Indias most affluent cities New Delhi, Bangalore, Greater Mumbai,
Chennai, Hyderabad and Kolkata. However, as disposable incomes in India continue to rise and consumers have
the capability to purchase healthier foods, demand for value-added raspberry products is expected to increase.
As a result of the low competition in this emerging market and an increasing demand for frozen raspberries,
India can also be considered a market with high growth potential for B.C.s frozen raspberry exports. 75

NEXT STEPS MARKET DEVELOPMENT ACTIONS

The RIDC indicated that B.C.s raspberry industry is not currently in a position to expand export capacity or
realign its efforts away from the U.S. market due to stable production levels and a lack of funding for marketing
and promotion. Considering this situation, this study was intended to help B.C.s raspberry industry understand
where the high growth markets are located so that an export strategy could be developed to position the
industry to take advantage of these opportunities over the next few years.

In order to successfully compete in the high growth markets identified in this study Australia, South Korea,
Taiwan, China, Hong Kong, and India the B.C. raspberry industry will need to conduct more in-depth country-
specific market research to provide insight into how the frozen raspberry market is structured in each of these
markets, who the key players are and which value-added product categories have the strongest prospects for
growth using raspberries as an ingredient. B.C.s raspberry industry may also benefit from more product/sector
specific market research on opportunities that exist for exporting processed raspberry products such as jams,
dried fruits, juices, wine and yoghurts.

Once a marketing strategy can be developed for these markets, the raspberry industry would then benefit from
attending some of the flagship food tradeshows in these markets and/or conducting trade missions to meet
with importers and food processors. When B.C.s raspberry exporters have reached this stage, Trade
Commissioners from the Department of Foreign Affairs and International Trade can assist with connecting
members of B.C.s raspberry industry with the appropriate contacts in each of these markets.

More information on how the government can assist B.C.s raspberry industry in taking advantage of these
emerging opportunities in the global market can be found on AAFCs Agri-food Trade Service Website
(http://www.ats.agr.gc.ca/intro/index-eng.htm).

21
 APPENDIX A: BRITISH COLUMBIA & CANADA DOMESTIC RASPBERRY EXPORTS *

TABLE A: CANADIAN DOMESTIC EXPORTS BY PROVINCE ALL RASPBERRIES

Province Unit 2005 2006 2007 2008 2009 2010
ALL PROVINCES $ $18,604,739 $11,720,836 $12,256,844 $26,593,848 $13,306,019 $11,454,365
British Columbia $ $18,450,937 $11,535,772 $12,150,121 $24,560,146 $12,782,170 $11,105,484
Quebec $ $31,536 $1,922 $1,541 $1,831,458 $456,027 $262,889
Ontario $ $30,074 $118,695 $55,344 $44,503 $3,311 $64,071
Nova Scotia $ $11,603 $0 $0 $42,456 $48,809 $21,720
Newfoundland Labrador $ $0 $0 $0 $0 $201 $201
Alberta $ $80,589 $64,447 $49,838 $40,731 $15,501 $0
New Brunswick $ $0 $0 $0 $74,554 $0 $0
ALL PROVINCES Kg 7,785,744 6,412,207 6,674,372 7,112,044 3,842,960 5,765,166
British Columbia Kg 7,644,764 6,300,959 6,566,136 6,472,901 3,693,682 5,630,876
Quebec Kg 18,984 1,101 1,119 543,387 122,282 104,392
Ontario Kg 14,722 26,487 33,741 27,042 552 24,153
Nova Scotia Kg 1,089 0 0 4,292 4,569 5,693
Newfoundland Labrador Kg 0 0 0 0 45 52
Alberta Kg 106,185 83,660 73,376 46,052 21,830 0
New Brunswick Kg 0 0 0 18,370 0 0

TABLE B: B.C. DOMESTIC EXPORTS ALL RASPBERRIES

HS # Description Unit 2005 2006 2007 2008 2009 2010
$ $18,450,937 $11,535,772 $12,150,121 $24,560,146 $12,782,170 $11,105,484
-- TOTAL EXPORTS Kg 7,644,764 6,300,959 6,566,136 6,472,901 3,693,682 5,630,876
$/Kg $2.41 $1.83 $1.85 $3.79 $3.46 $1.97
$ $7,685,312 $3,047,581 $4,437,586 $8,150,717 $3,214,205 $818,098
08102010 Raspberries, Fresh Kg 3,095,383 1,636,691 2,317,082 1,840,237 1,065,113 503,608
$/Kg $2.48 $1.86 $1.92 $4.43 $3.02 $1.62
$ $10,765,625 $8,488,191 $7,712,535 $16,409,429 $9,567,965 $10,287,386
08112000 Raspberries, Frozen Kg 4,549,381 4,664,268 4,249,054 4,632,664 2,628,569 5,127,268
$/Kg $2.37 $1.82 $1.82 $3.54 $3.64 $2.01

*
Canadian exports are reported on FOB basis, which refers to the price of merchandise on the border or at a national port.

22
 CHART A: B.C. DOMESTIC EXPORTS CHART B: B.C. DOMESTIC EXPORTS - 2009 MARKET SHARE ($)
FRESH RASPBERRIES FRESH RASPBERRIES
9,000,000 South Korea
6.2%
8,000,000
7,000,000
6,000,000
5,000,000
4,000,000
3,000,000
2,000,000
1,000,000
United States
0 93.8%
2005 2006 2007 2008 2009 2010

Value of Exports ($) Quantity of Exports (KG)

TABLE C: B.C. DOMESTIC EXPORTS RASPBERRIES, FRESH (HS: 08102010)

Partner Country Unit 2005 2006 2007 2008 2009 2010
WORLD $ $7,685,312 $3,047,581 $4,437,586 $8,150,717 $3,214,205 $818,098
United States $ $7,685,312 $3,047,581 $4,437,586 $8,150,659 $3,214,205 $767,225
South Korea $ $0 $0 $0 $0 $0 $50,873
Hong Kong $ $0 $0 $0 $58 $0 $0
WORLD Kg 3,095,383 1,636,691 2,317,082 1,840,237 1,065,113 503,608
United States Kg 3,095,383 1,636,691 2,317,082 1,840,204 1,065,113 484,557
South Korea Kg 0 0 0 0 0 19,051
Hong Kong Kg 0 0 0 33 0 0
WORLD $/Kg $2.48 $1.86 $1.92 $4.43 $3.02 $1.62
United States $/Kg $2.48 $1.86 $1.92 $4.43 $3.02 $1.58
South Korea $/Kg -- -- -- -- -- $2.67
Hong Kong $/Kg -- -- -- $1.76 -- --

23
 CHART C: B.C. DOMESTIC EXPORTS CHART D: B.C. DOMESTIC EXPORTS - 2010 MARKET SHARE ($)
FROZEN RASPBERRIES FROZEN RASPBERRIES
18,000,000
16,000,000 Japan Chile China Germany
1.3% 1.2% 0.7% 0.4%
14,000,000
New Zealand
South Korea
12,000,000 1.8%
0.1%

10,000,000
8,000,000
6,000,000
4,000,000
2,000,000
0 United States
94.6%
2005 2006 2007 2008 2009 2010

Value of Exports ($) Quantity of Exports (KG)

TABLE D: B.C. DOMESTIC EXPORTS RASPBERRIES, FROZEN (HS: 08112000)

Partner Country Unit 2005 2006 2007 2008 2009 2010
WORLD $ $10,765,625 $8,488,191 $7,712,535 $16,409,429 $9,567,965 $10,287,386
United States $ $10,543,992 $8,203,313 $7,045,302 $15,410,397 $9,307,028 $9,730,705
South Korea $ $86,431 $87,991 $114,121 $44,100 $0 $183,720
Japan $ $124,478 $39,084 $344,338 $783,934 $105,899 $132,823
Chile $ $0 $0 $0 $0 $0 $124,033
China $ $0 $0 $2 $61,100 $0 $69,655
Germany $ $0 $0 $0 $0 $0 $37,689
New Zealand $ $7,900 $58,040 $69,682 $0 $81,757 $8,761
Indonesia $ $0 $0 $722 $0 $37,313 $0
Australia $ $2,824 $47,509 $70,453 $106,518 $35,968 $0
Taiwan $ $0 $0 $0 $3,380 $0 $0
Turkey $ $0 $0 $57,178 $0 $0 $0
Netherlands $ $0 $52,254 $10,737 $0 $0 $0

24
 TABLE E: B.C. DOMESTIC EXPORTS RASPBERRIES, FROZEN (HS: 08112000)
Partner Country Unit 2005 2006 2007 2008 2009 2010
WORLD Kg 4,549,381 4,664,268 4,249,054 4,632,664 2,628,569 5,127,268
United States Kg 4,447,763 4,528,529 3,877,590 4,403,047 2,553,984 4,931,803
South Korea Kg 52,500 47,690 80,103 19,051 0 66,928
Japan Kg 42,567 22,736 170,441 169,468 35,538 38,628
Chile Kg 0 0 0 0 0 47,900
China Kg 0 0 2 19,051 0 21,133
Germany Kg 0 0 0 0 0 17,883
New Zealand Kg 5,357 27,135 41,587 0 21,947 2,993
Indonesia Kg 0 0 525 0 8,690 0
Australia Kg 1,194 17,195 45,014 21,007 8,410 0
Taiwan Kg 0 0 0 1,040 0 0
Turkey Kg 0 0 25,582 0 0 0
Netherlands Kg 0 20,983 8,210 0 0 0

TABLE F: B.C. DOMESTIC EXPORTS RASPBERRIES, FROZEN (HS: 08112000)

Partner Country Unit 2005 2006 2007 2008 2009 2010
WORLD $/Kg $2.37 $1.82 $1.82 $3.54 $3.64 $2.01
United States $/Kg $2.37 $1.81 $1.82 $3.50 $3.64 $1.97
South Korea $/Kg $1.65 $1.85 $1.42 $2.31 -- $2.75
Japan $/Kg $2.92 $1.72 $2.02 $4.63 $2.98 $3.44
Chile $/Kg -- -- -- -- -- $2.59
China $/Kg -- -- $1.00 $3.21 -- $3.30
Germany $/Kg -- -- -- -- -- $2.11
New Zealand $/Kg $1.47 $2.14 $1.68 -- $3.73 $2.93
Indonesia $/Kg -- -- $1.38 -- $4.29 --
Australia $/Kg $2.37 $2.76 $1.57 $5.07 $4.28 --
Taiwan $/Kg -- -- -- $3.25 -- --
Turkey $/Kg -- -- $2.24 -- -- --
Netherlands $/Kg -- $2.49 $1.31 -- -- --

25
 APPENDIX B: MARKET PROFILES

TABLE G: EUROPE & AUSTRALIA

GERMANY FRANCE UK AUSTRALIA
401,142 L (Pulped)/
2006 FROZEN RASPBERRY* IMPORTS 79,295 t 32,881 t 19,013 t
3,910 t (Other)
257,439 L (Pulped)/
2007 FROZEN RASPBERRY* IMPORTS 81,406 t 37,540 t 20,015 t
4,864 t (Other)
385,576 L (Pulped)/
2008 FROZEN RASPBERRY* IMPORTS 82,500 t 36,498 t 17,521 t
4,634 t (Other)
456,958 L (Pulped)/
2009 FROZEN RASPBERRY* IMPORTS 77,657 t 33,687 t 15,509 t
4,931 t (Other)
638,753 L (Pulped)/
2010 FROZEN RASPBERRY* IMPORTS 85,798 t 36,656 t 15,021 t
6,608 t (Other)
5-YEAR IMPORT GROWTH 1.99% 2.75% -5.72% 12.33% / 14.02%
2010 POPULATION (millions) 81.7 62.8 62.0 22.1
2005-2010 POPULATION GROWTH -0.9% 3.2% 3.2% 8.4%
2010 GDP PER CAPITA $41,079 $41,231 $36,573 $56,962
2005-2010 GDP PER CAPITA GROWTH 14.1% 9.7% 13.4% 30.4%
2010 AVG DISPOSABLE INCOME $26,228 $28,035 $22,620 $33,902
2005-2010 AVG DISPOSABLE INCOME GROWTH 8.0% 14.3% 11.3% 29.5%
2010 CONSUMER EXPENDITURE ON FOOD/CAPITA $2,122 $2,922 $1,747 $2,982
2005-2010 GROWTH EXP ON FOOD/CAPITA 9.4% 9.5% 15.5% 28.8%
2010 CONSUMER EXPENDITURE ON FRUIT/CAPITA $201 $217 $140 $330
2005-2010 GROWTH EXP ON FRUIT/CAPITA 27.5% 6.8% -0.6% 29.1%
% OF HOUSEHOLDS WITH A FREEZER IN 2010 72.5% 56.4% 97.2% 36.9%
% OF HOUSEHOLDS WITH A FRIDGE IN 2010 99.1% 98.9% 99.3% 99.9%
TARIFF RATE FOR FROZEN RASPBERRIES 14.7% 14.7% 14.7% 0%
ACCEPTANCE OF WESTERN FOODS Very High Very High Very High Very High
MARKET PRESENCE OF CDN PRODUCT Frozen (2010) None None Frozen (2009)
COMPETITION LEVEL IN FROZEN RASP. MARKET Very High Very High Very High Medium
MARKET GROWTH POTENTIAL FOR BC LOW LOW LOW HIGH
Source: Global Trade Atlas and Euromonitor International (March 2011) Note: All figures are in $US at fixed 2010 exchange rates
*Import data for frozen raspberries also includes all imports of blackberries, mulberries, gooseberries and currants

26
 TABLE H: ASIA
JAPAN TAIWAN CHINA HONG KONG SOUTH KOREA INDIA
2006 FROZEN RASPBERRY* IMPORTS 2,437 t 113 t 3,295 t 29 t 134 t 12 t
2007 FROZEN RASPBERRY* IMPORTS 2,956 t 90 t 2,925 t 30 t 264 t 7t
2008 FROZEN RASPBERRY* IMPORTS 2,091 t 91 t 2,273 t 22 t 368 t 5t
2009 FROZEN RASPBERRY* IMPORTS 1,842 t 107 t 2,632 t 42 t 525 t 23 t
2010 FROZEN RASPBERRY* IMPORTS 1,953 t n/a 2,312 t 89 t 830 t n/a
5-YEAR IMPORT GROWTH -5.38% -1.80%** -8.48% 32.36% 57.76% 24.22%**
2010 POPULATION (millions) 127.4 23.1 1,334.4 7.1 48.9 1,184.8
2005-2010 POPULATION GROWTH -0.3% 1.8% 2.7% 4.7% 1.5% 7.4%
2010 GDP PER CAPITA $43,012 $18,604 $4,366 $31,761 $20,432 $1,369
2005-2010 GDP PER CAPITA GROWTH -3.9% 13.8% 105.3% 21.6% 31.4% 86.3%
2010 AVG DISPOSABLE INCOME $27,350 $9,635 $2,378 $25,512 $12,955 $1,130
2005-2010 AVG DISPOSABLE INCOME GROWTH -1.8% 7.3% 89.2% 24.7% 33.2% 88.7%
2010 CONSUMER EXPENDITURE ON FOOD/CAPITA $3,456 $2,344 $329 $2,238 $1,501 $214
2005-2010 GROWTH EXP ON FOOD/CAPITA 1.1% 9.8% 65.2% 26.2% $27.1% 50.7%
2010 CONSUMER EXPENDITURE ON FRUIT/CAPITA $157 $415 $34 $189 $198 $22
2005-2010 GROWTH EXP ON FRUIT/CAPITA -3.5% 9.3% 65.0% 31.2% 34.4% 26.4%
% OF HOUSEHOLDS WITH A FREEZER IN 2010 35.0% 27.7% 3.8% 34.2% 29.8% 7.3%
% OF HOUSEHOLDS WITH A FRIDGE IN 2010 98.1% 99.7% 49.5% 98.1% 99.5% 15.3%
TARIFF RATE FOR FROZEN RASPBERRIES 6 9.6% 20% 30% 0% 30% 30%
ACCEPTANCE OF WESTERN FOODS High High Low/Medium Very High High Low/Medium
MARKET PRESENCE OF CDN PRODUCT Frozen (2010) Frozen (2008) Frozen (2010) None Fresh/Frozen (2010) None
COMPETITION LEVEL IN FROZEN RASP. MARKET High Low/Medium Low Low Medium Low
MARKET GROWTH POTENTIAL FOR BC LOW/MEDIUM HIGH HIGH HIGH HIGH HIGH
Source: Global Trade Atlas and Euromonitor International (March 2011) Note: All figures are in $US at fixed 2010 exchange rates
*Import data for frozen raspberries also includes all imports of blackberries, mulberries, gooseberries and currants
** 4-Year Growth Rate (2006-2009); 2010 import data not available

27
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