Dragon Fruit

July 2024

Dragon fruit varieties developed for growing international markets. 

After nine years of work in Vietnam and New Zealand by Plant & Food Research, three new cultivars of dragon fruit are close to being introduced to international markets in partnership with global varietal management company, VentureFruit Global. In addition, a New Zealand trial is under way in Kerikeri to see if the exotic crop with a rapidly growing international market can be grown here. 

 

Dragon fruit is a tropical fruit, with a red (sometimes yellow) skin covered with pointy scales that give the fruit its name. The flesh is similar in texture to a kiwifruit, generally white in colour with small black seeds, although it can also present flesh that is pink, red, or purple. It is described as tasting like a combination of pear and kiwifruit and is full of health-giving prebiotic fibre, vitamins, and minerals. It is also appearing more regularly in New Zealand supermarkets and fruit shops. 

 

The potential for dragon fruit is not limited to the consumption of fresh fruit. The juice can also be used as a natural colourant, and the flesh can be processed into products such as energy bars and ice cream. By-products from the skin also have applications in nutraceutical and pharmaceutical products. 

 

Originating in Central and South America, the perennial, fast growing, multi-branched succulent has cacti-like stems and branches that grow like a vine. It is often seen in the wild as an epiphyte in trees, where birds have dropped seeds in the process of feeding. 

 

Vietnam is the world’s most significant commercial producer of dragon fruit for the international market, although it is grown in many regions across Asia and in the Middle East. In these areas, production and consumption is high, but the market is growing rapidly in China.  

 

If growers were to take advantage of existing market growth and break into new markets such as Europe and North America, there was recognised a need to adopt and meet new technical standards, which is where Plant & Food Research became involved. Additionally, the current market is largely a commodity-focused one, and the opportunity to add value through developing high-quality varieties was identified. 

 

Principal scientist at Plant & Food Research Dr Satish Kumar has spent nearly a decade working with a large team to help develop the sector in Vietnam. The work, begun in 2013 in a joint venture with MFAT through a New Premium Fruit Variety Development Project, and the Vietnam based Southern Horticultural Research Institute, aimed to improve the flavour, texture, shelf-life and disease resistance of the fruit through a breeding and selection programme. Another aim of the programme was to develop better production and post-harvest protocols for the industry. The work involved a team of plant breeders, tissue culture scientists, plant protection teams, molecular biologists, and post-harvest experts. 

 

Satish explains while most cultivar development for fruit such as apples and pears can take about 15 years, one advantage of dragon fruit is that it has a relatively short generation cycle, so that has enabled new cultivars to be identified in about 8 years, while still using traditional breeding and selection methods. 

 

One new challenge for growers is the crop’s susceptibility to a fungal disease called canker. This disease is transferred via spores from leaves to the fruit, where it can damage the skin. A combination of fungicides and orchard hygiene can be used to combat this, but excessive use creates the risk of residual limits exceeded for export requirements. 

 

By 2023, three new red-skinned varieties had been developed and are soon (at mid 2024) to be commercially trialed in Vietnam, with exports anticipated for 2026. One has white flesh, one has pink flesh, and a deep red variety completes the trio. Satish explains they have an improved flavour profile, are crisper and firmer in texture, have a brighter skin, and importantly are canker-tolerant, delivering lower costs for growers and better environmental outcomes.  

 

Their longer shelf-life would allow for an option to export by sea freight (instead of air) which not only reduces the cost for consumers, but also the growers’ carbon footprint. 

 

But the value chain does not stop at fruit production. The product must be marketed and commercialised, which is where the VentureFruit Global partnership offers its considerable experience. This subsidiary of T&G Global has established expertise in grower and marketer networks world-wide for superior plant cultivars. It takes care of Plant Variety Rights, licensing, and supply chain improvement in pre- and post-harvest techniques on behalf of global variety owners and breeders.  

 

Business Development Manager at VentureFruit Global Kate James says IP (intellectual property) strategy and protection is fundamental to the success of their proprietary variety development and commercialization programmes. 

 

VentureFruit Global has exclusive global commercialisation rights to the new varieties of dragon fruit and (as seen in their fresh fruit products such as Jazz™ and Envy™ apples) has expertise in developing a controlled production system that preserves the value of a product. “International trade in dragon fruit is still considered to be in the niche and novelty category, and there are limitations of storage, shipping, and market access that need further work to improve international distribution and market penetration, this is where our expertise lies,” says Kate. 

 

General Manager Morgan Rogers says dragon fruit production has rapidly grown to become a USD$1.2 billion industry, with a Compound Annual Growth Rate (CAGR) of 4.5%, and it is largely seen as a commodity product. However, it is believed the new varieties will be a key part of addressing current production challenges and will create a unique selling proposition to grow both the value and volume of fruit sales in international markets.  

 

If the new varieties can capture a percentage of that market, Satish adds, it will return a healthy royalty stream to the varietal owners, as well as improving returns for growers and exporters. 

 

In 2024, VentureFruit Global conducted a global consumer deep dive into the dragon fruit category in the key markets of North America, China, Europe and Vietnam. This work has enabled the company to understand the category, consumer drivers and barriers to purchase, and current perceptions about the fruit to differentiate product and capture premiums. Due to restrictions around fruit movements, sensorial and quantitative work was carried out in Vietnam. The three new varieties were measured on how they perform sensorially against commercial benchmarks. Kate says the results were very encouraging, with the new varieties delivering a “superior eating experience, with enhanced flavour and texture profiles.” This consumer research also informs the next steps for developing brand names and concept creation to take the products to market. 

 

The new varieties are currently being trialed and tested in New Zealand to discover if the crop can be grown here as well. Satish notes that with changing climates, the fruit may well prove to be an option for growers in the north of the country. Kate adds that with the production season in Vietnam running from about May to November, a production season in New Zealand could run from November to February or March, thereby extending the season considerably. 

 

Links: 

https://www.plantandfood.com/en-nz/ 

https://venturefruit.com/