Hawke’s Bay firm Rockit Global is on track to export 100 million tiny apples this year, but that number is likely to increase to more than 400 million by 2025, after the company made a multi-million investment in a new Hastings headquarters and facilities.
While keeping mum on the size of the investment, chief executive Mark O'Donnell said the state of the art 21,000 square metre pack house, cool store and global office used artificial intelligence to sort, pack and store the PremA96 miniature apple variety, for which Rockit Global holds the exclusive world rights.
Apples are washed and dried automatically before a specialised conveyor scanned the fruit, determining size and colour and checked for any anomalies. Software sorted the apples into manual or automated packing lines.
When at full production Rockit aimed to pack 400,000 to 500,000 tubes of its snack apples a day, O’Donnell said.
In March the completion of a successful capital raise to fund the new facility and new orchards was announced, with Ngai Tahu Holdings taking a 6 per cent stake, and foundation investor Punchbowl Investments, along with its PB Rock group of investors increasing their combined stake to 15 per cent.
There was already a lot of iwi investment in Rockit orchards, particularly from Hawke’s Bay, including prominent kiwifruit growers Ngai Tukairangi trust, O’Donnell said.
Local iwi Ngati Kahungunu gifted the name Te Ipu (meaning a bowl that provides sustenance) to the new facility, and chairman Ngahiwi Tomoana blessed and opened the site.
Pioneer Capital remains the largest stakeholder in Rockit Global, holding around 40 per cent.
The apples, marketed under the brand name Rockit were currently sold in 30 markets, with demand continuing to grow exponentially across America, Asia, Europe and the Middle East.
There were a number of projects on the horizon to support the company's continued growth, O’Donnell said.
“There’s a suite of new on-orchard technology to fully roll out, new countries to access, hundreds of hectares of plantings to facilitate both here and overseas as demand grows, as well as a further expansion of [the Hastings facility], earmarked for 2023.
“The footprint of the land should allow us to double the size of our packing area and finished goods storage.”
The miniature apple, wieghing just 100 grams, is a world first. It took 20 years of breeding by New Zealand Plant and Food scientists to develop and was sold as a speciality snack. The apples were a hybrid of the popular gala and splendour apples, O’Donnell said.
Rockit Global has held the exclusive world rights to the apple since 2010 with orchards under licence in Australia, United States, Britain, France, Italy, Germany, Spain and Belgium. The licence expires in 2039, at which time other growers would be able to get in on the act, but without the benefit of the Rockit brand, he said.
There were nearly 500 hectares of the trees planted in New Zealand, the largest plantation globally, with another 150ha due to be planted this year, and 250ha next year.
The apples are sold as a convenience snack food in recyclable and resealable tubes and have just undergone a re-brand.
O’Donnell said Rockit Global had been founded as a fast-moving goods company to promote a brand. The apple already provided a unique point of different with its size, but the brand and packaging made it stand out from apples sold in a bin.
“We offer a guaranteed premium product into the global market. With Covid it has really played into our hands as people want to be sure that no-one else has touched the food they're eating.”
The New Zealand crop was sold into Asia and the Middle East.
But the apples were not sold here because the packaging could not be recycled here. The company was working to develop compostable tubes that could be made in New Zealand.