Popular ice cream brand New Zealand Natural is set to become more global as owner Emerald Foods launches into China.
Emerald Food is one of New Zealand's biggest franchise exporter. The company has over 300 franchised stores in 17 countries around the world including China, the UK, the USA and India, making it truly a global brand.
Now the company is choosing to expand New Zealand Natural more into the Chinese market after the agreement of the Official Organic Assurance Programme (OOAP)
The arrangement will take effect from mid-2017 to allow for implementation and industry to get prepared.” says BioGro CEO Donald Nordeng.
However, the reciprocal agreement to access China has not started for New Zealand exporters, yet. The projected start date for exports is June 2017.
According to MPI, the arrangement excludes aquaculture, apiculture, and textiles.
Because New Zealand Natural is a proudly organic market its plans to expand into China are expected around June 2017 when the agreement is settled.
Shane Lamont, Emerald Food Group's CEO, unsurprisingly, sees the most populous countries in the world as offering huge opportunities.
“After just a year in China we have two master franchisees there and 32 stores open, with a lot more to come post OOAP.”
“India is also set for rapid growth - we could easily see 100 franchised stores open there in the next calendar year.” Says Lamont.
The company seems to have reached critical mass to be accepted as a global franchise, making the brand a desirable acquisition world-wide, and is currently negotiating with possible master franchisees in several other countries around the world.
Because of tariff issues, New Zealand Natural is manufactured in Malaysia or Vietnam but still uses New Zealand ingredients.
All Oceania markets with less strict regulations on food and shelf life, receive New Zealand-manufactured product and since Emerald bought the brand everything has become Auckland-based.
Apart from the marketing imagery, New Zealand Natural has adopted different approaches to franchising in different countries.
However, in China, where both areas and populations are huge, regional master franchisees are charged with developing and sub-franchising in their own provinces.