Court action could hurt industry

The Kiwifruit Claim class action against the government could adversely affect the industry's relationships with the Ministry for Primary Industries.

That's the view of Neil Trebilco, president of New Zealand Kiwifruit Growers Inc, who believes the legal action could mean MPI is less forthcoming in sharing of information - especially about bio-security.


Neil Trebilco says The Kiwifruit Claim could ultimately damage the industry.

On Friday court documents were filed in the High Court for the claim which alleges that Biosecurity NZ was negligent in allowing Psa to be introduced into New Zealand.

'I guess it was inevitable that the legal action would go ahead but I am very disappointed that it has,” says Neil.

'I don't think this action is in the best interests of growers and would strongly advise anyone considering joining to think very carefully and get legal advice before doing so.”

The claim's media spoke person, Matthew Hooton, says 18 per cent of gold-kiwifruit growers by volume have paid their one-off fee and completed the formal paperwork to sign up to the claim.

An additional nine per cent of gold growers by volume have expressed interest.

Some eight percent of green-kiwifruit growers by volume have also signed up, with a further seven per cent who have signed up yet to be confirmed as gold or green growers.

The combined losses of those who have already signed up is estimated to be nearly $250

Seeka Kiwifruit Industries Ltd will be the representative plaintiff for post-harvest operators and one of the growers which supplies Seeka, Strathboss Kiwifruit Ltd, has agreed to be the representative plaintiff for growers.

Neil says he is not surprised at the percentage of gold growers who have signed the claim because the figures closely reflect the percentage of gold fruit Seeka would have been handling before Psa hit.

Applications filed with the statement of claim ask the High Court to set a deadline for other growers and postharvest operators to join the claim. The plaintiffs have also applied to the court for permission to release their statement of claim publicly.

Neil says there is no dispute that growers and post-harvest operator suffered losses due to Psa.

He says: 'NZKGI did explore the possibility of taking legal action but the advice we received was that there was a low likelihood of success and it would be a long and drawn-out process with an outcome which was uncertain.”

At the time no one knew if the industry could recover from the disease but Neil says now the new Zespri gold variety G3 appears to be more tolerant of the bacteria, the industry looks set to achieve its goal of doubling exports by 2015.

He adds: 'G3 appears to be more tolerant than other gold varieties and our closest competitor Chile (also affected by the disease) is slowing down its introduction of gold varieties which is heartening news for New Zealand growers.”

However, to be successful, Neil says the industry needs to have a close working relationship with government. To this end it was the first industry to sign the Government Industry Agreement on biosecurity.

'When you have a partnership with someone, I would think the last thing you want to do is sue them,” adds Neil.

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4 comments

If that is the case....

Posted on 01-12-2014 11:19 | By Jimmy Ehu

Neil, then your industry board should pay the compensation to the many affected growers, as I would have thought you worked for the growers not the government?, and if that is the case why has the industry board not have any insurance for this sort of thing, or is the board just as culpable?.


Carcass

Posted on 01-12-2014 19:15 | By Carcass

You got it wrong Neil one would have thought you were looking after the interest of those affected it was a government department who cause this through there own incompetence you have entered into politics with you statement science is not a democracy


Rubbish

Posted on 02-12-2014 07:38 | By peecee09

What a load of rubbish. That's as bad as saying we shouldn't have taken the Rina grounding to court as it could have threatened future container trade through the Port of Tauranga. Biosecurity NZ made an error and are liable for the damages that error caused.


its poor

Posted on 02-12-2014 14:59 | By kiwigrower

Neil - its a poor reflection on you to talk about Seeka this way. It can only be a coincidence that the percentage sign up matches their previous market share. Aren't they a big grower of yours and shouldnt you reflect their views too ?


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