Zespri: litigation a waste

Kiwifruit marketing and export company Zespri is calling the legal case it is defending this week a waste of grower money.
The case being brought against Zespri is by one per cent kiwifruit market player Turners & Growers, which says Zespri is running illegal monopolistic policies in a single desk marketing model.
These include seeking to tie growers, suppliers and post harvest operators into exclusivity contracts; through attempting to take control of the supply of kiwifruit for export to Australia; and by attempting to take control of new kiwifruit cultivars.



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It is also alleged Zespri unlawfully carried on businesses and activities prohibited by the Kiwifruit Export Regulations 1999, without obtaining the approval of shareholders and suppliers.
Zespri director corporate and grower services Carol Ward says the litigation is pointless and it would be better for Turners to work constructively with Zespri to advance in its commercial aspirations. "In addition, a survey by Colmar Brunton said that more than 90 per cent of growers support Zespri and the industry's marketing arrangements, and there has been equally strong support for the growers' view from across parliament, including from Prime Minister John Key, Agriculture Minister David Carter, Trade Minister Tim Groser and Opposition Leader Phil Goff," says Carol.
Furthermore, she says the New Zealand Kiwifruit Export Regulations provide for anyone to export kiwifruit from New Zealand under collaborative marketing procedures, as long as they can show their proposal is in the best interests of New Zealand kiwifruit growers.
"Collaborative marketing programmes allow companies to export kiwifruit from New Zealand - all in a way which benefits them and the wider industry.
"More than 16 companies, including Turners, are already exporting from New Zealand under collaborative marketing programmes and we expect these programmes will continue to grow in the years ahead."

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