The last shipment of Zespri leaves Tauranga harbour this week leaving most growers pleased with their incoming pay cheques, except for those growing organic kiwifruit.

Zespri Gold returns are on the up

In the latest forecast from Zespri, average fruit and service payments for kiwifruit growers are set to increase by $13.7 million or $0.15 per tray on last season.

Organic returns, however, are forecast to be down by $0.06 on last year.

Zespri says a slower-than-anticipated recovery from recession-level pricing has impacted on Green Organic returns.

Orchard gate returns for Green growers are holding above the $4.00 per tray level and are up by $0.39 on the 2009/10 season.

Weather has impacted on Gold returns. The forecast per tray price is up by $0.99 on last season, due to strong demand and a lower-than anticipated crop volume due to seasonal factors.

Zespri director of corporate and grower services Carol Ward says market returns this season are up on last year and reflect strong consumer demand for Zespri kiwifruit.

'However, we are still facing challenging market conditions as the global economy emerges from the recession, with Japan and East Asia recovering more quickly than Europe and North America.”

Carol says the last vessel of the season is due to depart the Port of Tauranga on Thursday, October 28, destined for Japan.

'With approximately 10 per cent of the crop yet to sell, the focus is on increasing quality control processes onshore and in the markets to ensure quality remains at a high standard for late-season sales.”

She says Zespri's hedging policy, which sets foreign exchange cover in place up to three years prior to season start, had a positive impact on returns.

'Had no hedging been in place for this season, average returns could have been up to $0.85 per tray lower than currently forecast.

'Despite some production and in-market challenges this year, Zespri remains focused on driving value back into the Green category.

'We expect some relief for the category over the next few years as Green orchards are grafted over to new varieties and productivity improves.

'In addition, we've got some exciting prospects ahead as we learn more about the new varieties commercialised this year, and advance further varieties through our world-leading breeding programme.

'We're also strongly focused on research and initiatives to improve consumer understanding of the health benefits of Zespri kiwifruit and expect to announce some exciting news on this front in the next few months.”