New horizons alternative Asian markets – From OPPortUNITY to CONNECtivitY

ase. This is creating a number of new opportunities for
the likes of meat and dairy products. Equally, increasing
incomes will improve demand for fresh fruit too.
• Indonesia’s consumer purchasing power metrics and
foodservice opportunities are slightly less favourable
than the likes of Thailand at present. However, per-capita
incomes increasing by 5% per annum and increasing
urbanisation will no doubt create niche opportunities
given the overall size of the market.
• Indonesia isn’t the easiest place to conduct business
either, but bilateral trade is at $1.7 billion, implying many
businesses have already succeeded in opening the doors.
On the barriers front, its better rankings were for locality
and low sea freight rates given its geographic position.
• Size, growth and locality are the three most attractive
aspects of the Indonesian market that are likely to create
significant new opportunities moving forward.
Mongolia
• Mongolia is the smallest market in our up-and-comer
group with a population of just 2.8 million people, so
it’s never going to be a large market. But a number of
metrics suggest there could be some attractive niches.
Its close proximity to the Northern Chinese marketplace
means it shouldn’t be too much effort to add it as another
destination, or as part of a wider strategy for businesses
already established in the Chinese marketplace.
• Mongolia’s most attractive traits are a diet aligned with
what New Zealand already produces, and relatively high
existing expenditure on food – and particularly New
Zealand-oriented food products – compared to the rest of
the up-and-comer group. Per-capita incomes have been
increasing by nearly 11% per annum over recent years too,
the fastest rate of all countries analysed. Combined with
existing expenditure metrics it implies the possibilities of
emerging niche opportunities.
• On the barriers front, Mongolia ranked relatively well
for ease of doing business and having low levels of
corruption. Market access also appears solid despite no
free trade agreement being in place. Its main downfall is
distance to market and poor supply chain infrastructure.
This could be a very real impediment for many.
• On this basis we view Mongolia as a possible add-on
market for those businesses already operating in the
North of China. This minimises establishment and
development risk, and the costs of establishing a supply
chain.
Kazakhstan
• Kazakhstan is a smaller market that is largely self-sufficient
in food. However, it has one of the most favourable dietary
mixes, ranking very high for both fat (3rd) and protein
(2nd) consumption, as well as first for its (low) share of
energy from cereals. Spending on food and New Zealandoriented
food products is also high (6th). While economic
MAP OF COUNTRY RANKINGS
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