Processed Asian Foods in Australia – An update

37 Windsor Farm Foods Sauces, spices and seasonings
38 Xi Chieng Noodles
39 Yackandandah Jam and Preserving Co Sauces
40 Yakult Australia Yoghurt
(Source: Industry surveys, Bhaskaran (2002), Lee and Momdjian (1998))
7.5.2 Key comments and issues from industry surveys
Market trends
Manufacturers noted the growth in consumer demand for convenience food products whether they be as
ready-to-eat meals or as components or ingredients for ‘convenient meals’. Sauces and seasonings are a
good example of ingredient products that provide consumers with ‘convenience and taste’ in the
preparation of meals such as stir-fries. Manufacturers also noted that the consumer trend for healthier
products is reflected in such products as rice noodles, low salt sauces and soy food products. Consumer
education and marketing were considered key to the further growth of these products.
Product range and category growth
Manufacturers commented on the growing number of food processing groups for Asian foods in
Australia. These are largely focussed on products such as:
• Asian style fresh noodles
• sauces, pastes, condiments and seasonings
• processed fish balls, fish cakes and fish mince products
• frozen snacks, finger foods
• ready-to-eat meals
• soy food products
While the local manufacturing of Asian noodles and sauces is well established, the manufacture of soy
food products has grown recently along with the competition among these products in Australian
supermarkets.
Manufacturing competitiveness
ABARE (2006) indicate that the location of food manufacturing is not simply dependent upon access to
cheap raw materials or low cost labour. Rather, the location of facilities is influenced by the economics
of food manufacturing.
While imports compete with Australian processed food manufacturers, plant facilities, transport
services and proximity to customers are able to provide a competitive advantage for Australian
manufacturers. Many manufacturers advised that they gain a competitive advantage by being located
close to their customers and are thus able to respond efficiently to changing market trends and customer
needs. As discussed previously, Australian supermarkets and Asian retailers noted the recent investment
and growth of local manufacturers who are able to supply fresh and semi-perishable processed Asian
foods.
However despite the growth in manufacture of processed Asian foods in Australia, it was cited that the
overall market size consisted of many products and as a result remained relatively small in terms of
‘manufacturing volume’ for any one product. The industry survey indicated that any future growth in
domestic manufacturing in Australia will have limited impact upon levels of import penetration.
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