Vote brings renewed confidence

Kiwifruit post-harvest operators EastPack have suggested that increased investment in the sector will flow following a strong industry endorsement by growers via the Kiwifruit Industry Strategy Project referendum.

The referendum's results show that 96.81 per cent of growers support the current marketing structure and 89 per cent support grower ownership and control of the marketer Zespri.


EastPack has installed a $4.5 million, nine-lane, high-tech, high speed Compac grader in its Washer Road site to pack kiwifruit this season, and is planning further investments over the next few years. Photos: Supplied.

EastPack post-harvest company chairman Ray Sharp says the fact that growers representing 80 per cent of NZ's kiwifruit production voted is significant, and gives confidence to the wider industry to make further investment.

'A lot of consultation, time and thought by industry leaders went into developing the final proposals (of the referendum),” says Ray.

'The fact that over 90 per cent of the votes supported the proposals is a great outcome.

'We expect EastPack's kiwifruit volumes to increase by 30 per cent in 2015 and 50 per cent over three years from 2014.

'This growth requires substantial investment of capital in packing and cool storage facilities across the Bay of Plenty as well as requiring a significant increase in skilled employment opportunities within the company and throughout the kiwifruit industry.”

The voting return percentage for the referendum was 64.66 per cent by growers and 79.79 per cent by production. Of 1,866 growers, 39.01 per cent voted via the internet and 60.99 per cent by post.

Ray says EastPack welcomes the final result of KISP and congratulates growers for taking the time to consider the issues that are so important to growers and the industry's future.

He adds: 'We join our growers in our continued support of the SPE encompassed in Zespri and our collaborative marketing structure and the proposed development of more appropriate structuring of Zespri ownership and industry control for the next 10 to 15 years.

'The referendum result supports a strong mandate for the changes proposed - some very fundamental and some refinements to shape Zespri to better add value to our NZ kiwifruit industry.

'I am grateful that our industry has again shown the maturity to pull together on this referendum as it has done on other important issues and crisis.

'By choosing to evolve their industry structure through consensus, the industry will drive growth and certainty and deliver significant economic and employment benefits in NZ as well as help develop Zespri's dominant position as the leading global marketer of quality kiwifruit.”

The next step to implement the KISP proposals is to work with the government to make regulatory change.

'The industry is unique and the model is an example of how our small country can compete effectively internationally for the benefit of the NZ economy,” explains Ray.

'It sets us apart in a world fruit trade where growers normally have little control over their destiny and adds significant value to the otherwise commodity dominated trade.”

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