20 Jun 2012

Fruit and veg exports to Indonesia OK for now

2:49 pm on 20 June 2012

Restrictions on fruit and vegetable exports to Indonesia have been lifted, but the Horticulture Export Authority expects more barriers to market access in the future.

New Zealand has been granted a Country Recognition status from the Indonesian government which means it can continue to export to the main sea port in Jakarta.

Earlier this year Indonesia passed a regulation restricting plant-based products entering that port, meaning produce was losing condition on its way to distant ports.

New Zealand sent $25 million worth of onions, kiwifruit and apples there last year.

Indonesia says the restrictions will protect its industries from the risk of oversupply and pests.

Horticulture Export Authority's chief executive Simon Hegarty says the new agreement safeguards market access in the short-term but the situation for exporters is unclear in the medium to long term.

Mr Hegarty says the Horticulture Export Authority is working with government agencies and horticultural product groups in a bid to keep the Indonesian market viable.