China case 'no risk' to growers

Kiwifruit growers' incomes are not at risk because of police investigations into a Chinese company which imports Zespri kiwifruit.

That's the belief of Neil Trebilco, president of New Zealand Kiwifruit Growers Inc, who says Dalian Yidu imports less than five per cent of New Zealand's kiwifruit and the season for imports ended some months ago.


New Zealand Kiwifruit Growers Inc president Neil Trebilco. Photo: File.

'We are still to learn the full details of what is happening with Dalian Yidu,” says Neil, 'but I believe there are no financial implications for growers as the export season is well finished.”

Reports indicate that fresh produce importer Dalian Yidu is under investigation in China, and that some of its staff may have been arrested or detained over import issues.

Neil says Zespri kiwifruit accounts for less than one per cent of the produce the company imports, and it also handles produce from Chile, Peru, the US, South Africa and Australia .

'If there is an issue it is more likely to be related to something else, other than Zespri kiwifruit,” adds Neil.

However, he acknowledges there is interest in Zespri's connections with the company, given that one of its previous Chinese importers was convicted over customs duty issues.

Neil says: 'Since that case Zespri has changed the way it invoices fruit sales in China so that Chinese customs knows exactly what duty is payable up front.”

That yet another issue has arisen with an importer illustrates the complexities of doing business in China.

'If it turns out that Dalian Yidu has done something untoward we would not expect Zespri to continue to deal with that company in future,” he adds.

A Zespri spokesperson says: 'Dalian Yidu imports many New Zealand and global agricultural products. It is one of Zespri's importers into China, dealing with less than five percent of Zespri's China volume.

'Zespri's New Zealand supply season to our markets, including China, finished quite a while ago and Zespri has no financial exposure to Yidu. There is nothing to indicate this investigation involves Zespri Kiwifruit.”

According to Dalian YIDU Group's website the company was founded in 1988 and is located in Dalian Bonded Free Zone.

The site reads: 'Since its establishment it has developed into a major player in China in the fruit and vegetable export trade and has its own cold chain logistic companies and ecological agriculture projects to support its import and export activities.”

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