Exporting Strawberry to Southeast Asian Markets While Focusing on High Quality and High Price
Changpyeong Nonghyup Agriculture Marketing was created in 2012 by about 20 strawberry farmers with the aim of growing the world’s best quality strawberry. Starting in 2016 with its first export of strawberry to Hong Kong, the coop union is now expanding its export into the Southeast Asian countries such as Thailand and Vietnam, thus bringing worldwide publicity to our high-quality strawberry.
Attacking the Hong Kong Market
Four years after its creation, Changpyeong Nonghyup Agriculture Marketing turned its eyes toward overseas markets where more of high-quality strawberries are consumed than in the South Korean market. About twenty strawberry farmers who created the coop union in Damyang, Jeollanam-do, are confident that they can generate more stable profits and added value by expanding their export market with high quality as their weapon.
CEO Yun Il-ho said, “Our export is increasing year after year as the strawberries produced by our union members are known to deliver better quality in overseas markets,” and added, “Our quality is kept at a world-class level so that our buyers sign off on purchase agreements at a price about 20 to 30% higher than for ordinary varieties.”
As the consumers in the Southeast Asian markets rave over the excellent flavor, shape, and color of the strawberries produced by Changpyeong Nonghyup Agriculture Marketing, its members’ incomes are increasing as their strawberries are being sold at higher prices than those from other countries. With the export increasing at this rate, the coop union expects that its export will increase up to 500 million won this year and to 1 billion won by 2019.
Selected as Top-Fruit by RDA
In the expansion of strawberry export, the thorough-going farming training and quality management know-how delivered to the farmers has played a part. Especially when the strawberry farming was selected as Top-Fruit of RDA in 2015, there came a turning point for quality upgrade with supports arriving as funding, facilities, and equipment for quality farming. First of all, the foundation for high-quality strawberry production was created with intensive farming technology consulting, export related education from various experts of RDA and various supports required for production among others.
Especially, when the strawberries grown by the twenty or so farming members were put to joint screening to ensure that only quality products were up for overseas sales. Moreover, 100% hydroponic growing has ensured the delivery of strawberries that are very firm and sweet. Lately, the coop union is meeting a steadily growing overtures from Singaporean buyers about possible purchases. Besides, its participation in the export forum or One-on-One Talks with Buyers arranged by RDA is creating a basis for increased exports as it brings export information and networking.
Strawberry Landing Premium Department Stores in Southeast Asia
CEO Yun Il-ho said, “Our strawberry is now viewed as of such high quality in Hong Kong, Thailand, and Vietnam that it has landed the premium department stores in those countries,” and described its great popularity overseas by saying, “Especially, the excellence of our product has been proven so that it is sold at a high price than the previously famous premium-price Japanese strawberry.”
The coop union plans to stick to its export strategy of producing quality strawberries with the know-how for distinctive hydroponic farming and getting its product selected by overseas consumers by building its image as a premium product through premium pricing. In addressing the latest shortage of strawberries for overseas sales, the union plans to increase farming members and thereby acquiring export volumes from their outputs. Through such export expansion, the coop union expects that it will be able to increase its export to 1.5 to 2 billion won in 2020.