The Australian Bamboo Shoot Industry A supply chain approach A report for the Rural Industries Research and Development Corporation Associate Professor Ray Collins Principal Researcher Dr Steven Keilar Research Scholar January 2005 RIRDC Publication No 05/022 RIRDC Project No UQ-87A © 2005 Rural Industries Research and Development Corporation. All rights reserved. ISBN 1 74151 121 6 ISSN 1440-6845 The Australian Bamboo Shoot Industry – A supply chain approach Publication No. 05/022 Project No. UQ- 87A The information contained in this publication is intended for general use to assist public knowledge and discussion and to help improve the development of sustainable industries. The information should not be relied upon for the purpose of a particular matter. Specialist and/or appropriate legal advice should be obtained before any action or decision is taken on the basis of any material in this document. The Commonwealth of Australia, Rural Industries Research and Development Corporation, the authors or contributors do not assume liability of any kind whatsoever resulting from any person's use or reliance upon the content of this document. This publication is copyright. However, RIRDC encourages wide dissemination of its research, providing the Corporation is clearly acknowledged. For any other enquiries concerning reproduction, contact the Publications Manager on phone 02 6272 3186. Researcher Contact Details Associate Professor Ray Collins and Dr Steven Keilar School of Natural and Rural Systems Management The University of Queensland, Gatton, Qld 4343 Phone: 07 5460 1321 Fax: 07 5460 1324 Email: [email protected] In submitting this report, the researcher has agreed to RIRDC publishing this material in its edited form. RIRDC Contact Details Rural Industries Research and Development Corporation Level 1, AMA House 42 Macquarie Street BARTON ACT 2600 PO Box 4776 KINGSTON ACT 2604 Phone: 02 6272 4819 Fax: 02 6272 5877 Email: [email protected]. Website: http://www.rirdc.gov.au Published in January 2005 Printed on environmentally friendly paper by Canprint ii Foreword Horticulture is one of Australia most important primary industries. The economic contribution of this sector comes largely from traditional industries such as wheat and sugar. However, new horticultural industries also have the potential to make an important economic contribution to the prosperity of the sector. Due to Australia’s proximity to Asia and its ability to supply counter seasonal produce to much of this region, traditional Asian foods have become of particular interest to many Australian producers. Investing in the development of new rural industries based on these Asian foods and other new crops is seen as important in managing the overall competitiveness of Australian horticulture. The underlying principles of supply chain management appear to be useful tools in improving a firm’s competitive position and are commonly linked to success in agribusiness. Linking the need to develop new horticultural industries with the potential of supply chain management to aid in this process, this publication examines how supply chain management principles can be used to aid the development of the Australian fresh bamboo shoot industry. This project was funded from RIRDC Core Funds provided by the Australian Government. Funding was also provided by the University of Queensland and the Australian Commercial Bamboo Corporation. This report, an addition to RIRDC’s diverse range of over 1,200 research publications, forms part of our Asian Foods R&D program, which aims to support industry in its drive to develop new products and markets and to gain competitive advantage through improving productivity in, and achieving price premiums for, Australian production. Most of our publications are available for viewing, downloading or purchasing online through our website: • downloads at www.rirdc.gov.au/fullreports/index.html • purchases at www.rirdc.gov.au/eshop Tony Byrne Acting Managing Director Rural Industries Research and Development Corporation iii Acknowledgments The authors wish to acknowledge the opportunity to undertake this research provided by funding from RIRDC. In particular we wish to thank the Australian Commercial Bamboo Corporation (ACBC) and its members who gave of their time and shared in the intervention process outlined in this report. We are acutely aware that without the willingness and cooperation of ACBC members the research would not have been possible. Finally we acknowledge the support necessary to undertake this research given by the School of Natural and Rural Systems Management of the University of Queensland. Abbreviations ABARE Australian Bureau of Agricultural and Resource Economics ABIA Australian Bamboo Industry Association ABN Australian Bamboo Network ABS Australian Bureau of Statistics ACBC Australian Commercial Bamboo Corporation ANU Australian National University ANZFA Australia New Zealand Food Authority APEC Australian Persimmon Export Company CFT Centre for Food Technology CQU Central Queensland University CSIRO Commonwealth Scientific and Industrial Research Organisation DPI Department of Primary Industries DSD Department of State Development EPA Environmental Protection Agency FCDD Fibre Composites Design and Development HACCP Hazard Analysis of Critical Control Points IMS International Market Selection JETRO Japan External Trade Organisation MAFF Ministry of Agriculture Forestry and Fisheries NTDPI Northern Territory Department of Primary Industries QA Quality Assurance QDPI Queensland Department of Primary Industries QFVG Queensland Fright and Vegetable Growers RIRDC Rural Industries Research and Development Corporation ROC Republic of China SCM Supply Chian Management WTO World Trade Organisation iv Contents Foreword..................................................................................................................................iii Acknowledgments.................................................................................................................... iv Abbreviations........................................................................................................................... iv Executive Summary ...............................................................................................................vii 1. Introduction ......................................................................................................................... 1 1.1 Background to the Research......................................................................................................... 1 1.2 Objectives of the Research ........................................................................................................... 2 1.3 Justification of the Research......................................................................................................... 3 1.4 Methodology ................................................................................................................................ 3 2. Bamboo – An Australian Perspective................................................................................ 5 2.1 Distribution of World-wide Bamboo Resources .......................................................................... 7 2.2 Bamboo Shoots............................................................................................................................. 8 2.3 Bamboo in Australia.................................................................................................................... 10 3. Supply Chain Management Principles in New Horticultural Industries: Towards a Framework for Implementation ................................................................... 14 3.1 New Industries............................................................................................................................ 14 3.2 Supply Chain Management ........................................................................................................ 18 3.3 Linking Supply Chain Management and New Industry Development....................................... 20 3.4 A Framework for the Development of New Horticultural Industries Using Supply Chain Management Principles ..................................................................................................................... 21 4. Case Study: The Australian Commercial Bamboo Corporation.................................. 30 4.1 A Brief History of the ACBC..................................................................................................... 30 4.2 Implementation of the Supply Chain Management Framework in the ACBC: Seasonal Action Learning Cycles................................................................................................................................. 33 5. Conclusions and Implications .......................................................................................... 82 5.1 Supply Chain Management Principles – The Driving Force...................................................... 83 5.2 Was There Evidence of Action Learning? ................................................................................. 86 5.3 Conclusion.................................................................................................................................. 86 5.4 Research Implications ................................................................................................................ 87 6. References .........................................................................................................................