60,000 trays to be dumped in New Zealand
New Zealand
Thursday 23 April 2009
More than 60,000 trays of export-quality green kiwifruit will be destroyed in Nelson.
The dumping is part of a move by New Zealand's single desk exporter, Zespri, to cut between one and two million trays of green kiwifruit in an effort to keep export prices up.
The top-class fruit will not go to charities or schools. Mainland Kiwifruit Growers chairman Rod Fry said there was already plenty of second grade fruit for that.
Rival export Turners & Growers managing director Jeff Wesley calls the dumping a waste.
His company is challenging a Kiwifruit New Zealand decision declining its application to send green kiwifruit to three countries.
Turners & Growers applied for a collaborative marketing arrangement to export 150,000 trays each to buyers in Mexico and the United States, and another 40,000 trays to Japan.
However, a two-member committee of the regulatory board Kiwifruit New Zealand declined the application four weeks ago.
Chief executive Richard Proctor said an application must show that the arrangement would increase the overall wealth to New Zealand kiwifruit industry suppliers in collaboration with Zespri.
"Since that decision came Zespri has said they cannot sell fruit so Kiwifruit New Zealand should reverse that decision," Turners & Growers managing director Jeff Wesley said.
Once the appeal is received it will be considered by three other Kiwifruit NZ directors.
Kiwifruit NZ has allowed 16 out of 22 applications involving 11 markets.