Australian Manuka Honey - Chasing the Buzz.
The Client
UTS's ithree Institute and the Rural Industries Research and Development (RIRDC) were clients for this project. RIRDC was established by the Australian Government to work with industry to invest in research, develop and extension (RD&E) for a more profitable, sustainable and dynamic rural sector. UTS's ithree Institute researchers focus on discovery and applied research to build an understanding of how microbes grow, live, adapt and survive. The impact of this work can be seen in the areas of antibiotic resistance, food safety and infectious disease.
The Challenge
The increasing public awareness of the benefits of medicinal honey combined with the complexity of the science behind it and the seemingly good returns has led to a wide range of businesses marketing medicinal honey. Not all of which are making appropriate claims about the benefits of their products. Hence, the medicinal honey story is confusing to consumers and this emerging industry faces some real challenges. The MBAe students were tasked with reviewing the market opportunity and developing possible strategies, including the establishment of a medicinal honey association that would help grow the industry and protect reputable players.
The Solution
The student team produced a detailed analysis of current market conditions and opportunities for Manuka honey and developed strategies to help the Australian Manuka honey industry become a global player within five years. While the team identified some important shortcomings in regards to capabilities, current practices and competitive threads, it outlined three strategic growth options, each addressing the original challenge and providing the client with options for the next steps in creating a sustainable Honey Industry Venture Enterprise (HIVE):
- A scaled strategy to pilot a plantation program via carbon offsetting and to conduct honey, bee and plantation research
- A HIVE strategy to create public/private partnerships with industry stakeholders from beekeepers to commercial enterprises, importers/exporters, packers, agricultural industry, researchers from across Australia, tourism bodies, and global carbon traders
- A privately managed strategy that lets private enterprises manage the scaling of the industry through its multiple bodies and campaigns to engage
The team recommended that overall, with improved career pathways, knowledge-sharing, a cross-pollination of agricultural research and development and some smart industry planning, the future for honey in Australia is abuzz with opportunity.