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July 1995
Executive Summary
The major Nova Scotia exports to New England in recent
years have been fresh and frozen fruits (mainly frozen
berries) and vegetables (mostly frozen). Except for
a few determined producers who have distinguished
themselves, industry export activity on the whole
has been reactive to market conditions, rather than
pro-active. Often, this has resulted in "ad hoc" strategy
to sell surplus produce at low prices (and somewhat
high brokerage fees) to the nearest market.
However, Nova Scotia food producers and exporters,
who have languished for years under provincial and
global trade restrictions, high costs and low productivity,
have suddenly realized that they can compete efficiently
in global export markets. Further, a major opportunity
exists nearby in the New England market. The attractiveness
of this market is based on such factors as:
- a favourable exchange rate with the Canadian dollar
- a lowering of trade barriers due to the Free Trade
Agreement and NAFTA
- market proximity
- traditional ties between Nova Scotia and the New
England area
The present study reports on the market perceptions
of Nova Scotia by New England food trade officials.
These perceptions were blended with the results of
a previous New England consumer survey of attitudes
to Nova Scotia agri-food products to develop an overall
export strategy.
The study determined that the New England marketplace
is open to Nova Scotia; however, with the exception
of fish products, Nova Scotia food products have very
little visibility in the New England market at present.
Further, the overall image of Nova Scotia was found
to be favourably regarded by this market. Nova Scotia
is perceived in terms of being wholesome, clean (non-polluted)
and healthy. These image factors reflect favourably
on the attitudes toward food products from the region;
foods are expected to be of high quality, natural
and healthy. It was specifically suggested by some
respondents that it would be most advantageous to
position Nova Scotia food products as being natural
and wholesome ("clean and green") in line with the
image of the province. Organic foods from Nova Scotia
are also perceived as being very attractive to the
New England market.
Alternatively, many New Englanders do not have confidence
in the ability of the region to provide fresh fruits
and vegetables (because it is too cold) or to deliver
fresh product (because it is too far). Further, it
is noted that New England grocery shelves are among
the best stocked in the nation. Organic and natural
foods represent the primary food category not well
supplied at the present time.
The report provides insights into the New England
marketplace and supplies a number of general and specific
strategies. Specified products and/or product categories
that have the most export potential are identified
and discussed in terms of channels which would provide
most effective access. Because of the relatively low
volumes of food products available at present, most
strategies and tactics are tied to an umbrella strategy,
which focuses on the most efficient utilization of
resources under the "Taste of Nova Scotia" theme.
The report is recommended as a primer for all present
and potential exporters of Nova Scotia agri-food products.
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