Honey price buzz

Honey producers will be selling any excess product they have held on to so they can take advantage of the high price, according to Goldfields Honey owner Vicki Lockwood, Vittoria, between Bathurst and Orange.

“I can’t remember when the price was this high last – it’s been around the $3 mark for a while now.”

Ms Lockwood said the “less than favourable” season had pushed production down as much as 50 per cent or more, particularly in the eastern States.

Exporting, if it happened, would attract a premium, she said.

“We need to satisfy our domestic markets which will be hard.”

Ms Lockwood said some “usually reliable” crops failed to yield last year which could result in a shortage of honey types.

“Paterson’s curse, which is also called Salvation Jane or Murrumbidgee Bluebell, didn’t even yield last year so there will be a shortage of new season product on the market,” she said.

“I think it was a mix of the harsh season and that people have more control of (the weed).”

Ms Lockwood said the significant increase in price for suppliers would be reflected on supermarket shelves with a “dramatic increase” of $2/kg to $3/kg across honey varieties.

“However, the price increase will be short-lived because of the rain we’ve had,” she said.

Escalating from a steady $3/kg in previous years, Capilano Honey managing director Ben McKee, Richlands Queensland, said low supply of all types of honey was driving prices.

“There has been a widespread bad season in just about all States of the country which we haven’t seen before,” Mr McKee said.

“We haven’t seen the price rise this much since about 2003 or 2004.”

While honey prices were usually stable at about $3/kg, Mr McKee said particular types of honey were emerging as premium products as the global market moved to healthier eating patterns.

“We are seeing an increase in demand (for honey) internationally,” he said.

“We’re seeing Eucalypt-type honeys becoming a premium type among others because people are more interested in the health benefits of honey now more than ever.”

Mr McKee said Asia was a large importer of Australian honey.

“(Asia has) struggled with disease among their bee industry but they also recognise Australia produces the cleanest and best honey.”

“We’re finding they also want the honey packed by us so, as a company, we’re doing better.”

The US is in a similar predicament as a result of higher than expected cases of Colony Collapse Disorder.

A study by CNN Money said the country could expect to be sold out of honey completely in the coming weeks.

INCREASING production costs demolished any profit margin Dubbo honey producer Kieran Sunderland was making.

After reducing his hives from 800 to only 300, Mr Sunderland (pictured) said he was able to better manage his hives while making money.

“In one year we spent about $25,000 in fuel alone – I sat down and did some figures and wondered how I could cut costs,” Mr Sunderland said.

Cutting down travel was key to reducing costs, he said.

“We’ve had an ordinary season but by cutting costs we’re still able to get a profit.”

Mr Sunderland estimated his hives would yield a total of 80 drums of honey, equivalent to 24 tonnes.

“We’ve sold out of our honey already – any excess we did have we sold as well.”

While he thought the high price would be short-lived, Mr Sunderland said there was a premium for honey with medicinal properties throughout the year.

“Jelly Bush, or Goo Bush, honey is similar to the New Zealand Manuka honey and can attract a premium if you can produce it,” he said.

Some responsibility fell to beekeepers to educate consumers and encourage more demand, according to Mr Sunderland.

“It’s one thing to produce the product but it’s another to market it – we used to have a marketing board which has fallen by the wayside but there is no reason why honey can’t still be pushed as a healthy, natural product by the people who produce it.”