For the first time in 10 years growers of Hayward green kiwifruit are forecast to receive more than $5 a tray for their fruit.

Zespri's latest forecast is for $5.01 a tray for the conventional green fruit, equating to an average orchard gate return of $40,916 per hectare. The forecast is $6.56 for organic Hayward equalling $37,795 OGR per hectare, reflecting the lower yields organic growers achieve.

The forecast for gold fruit, now down in volumes because of vine removal and re-grafting to manage the disease Psa-V, is $12.25 per tray or $86,212 per hectare and for the new green variety G9, Zespri predicts returns will be $9.50 per tray or $24,737 per hectare.

Current volumes of the variety are relatively small as vines have not reached full production.

Zespri has told growers the forecast for all categories of kiwifruit have increased as a result of strong market performance, improved market mix, reduced post-harvest costs and low fruit loss levels.

Zespri's net profit is forecast to be in the range of $12-15million for the 2013/14 season. The Zespri Board approved a four cent dividend to be paid to shareholders on December 10, 2013.

New Zealand Kiwifruit Growers Inc president Neil Trebilco says it is the first time since the 2003-2004 season that green growers should receive more than $5 a tray and that is good news.

'There are a number of reasons for the predicted increase, including market performance, post-harvest operators reducing costs to growers, the work done by the sector to reduce fruit loss on and off shore and the good job done by green growers in the face of Psa.”

Neil says the $5.01 a tray for New Zealand growers is in stark contrast to what their Chilean counterparts receive. 'Chilean growers are forecast to receive $2 a tray up from $1.35.”

That is despite the fact Chile has lower freight costs as its fruit reaches market in three weeks, compared to four weeks for New Zealand fruit.

Chile is also not subject to the high tariffs New Zealand faces in many markets. Neil says production costs are also lower in Chile where the minimum wage for labour is about $2.75 an hour compared to New Zealand's minimum wage of $13.75.

'Labour accounts for around 50 per cent of orchard costs in New Zealand,” says Neil.

New Zealand fruit achieves a premium in the market because of the industry's marketing structure, and its high quality standards, including those focused on achieving good tasting fruit, he says.