Kiwifruit post-harvest operators in New Zealand have joined forces to back Zespri and the country's single-desk export system, denouncing what they have called a 'public campaign, supported by an anonymous minority in the kiwifruit industry', to use the company's ongoing customs issues in China to unsettle the industry's structure.
In a letter to prime minister John Key signed by representatives of 76 per cent of the total volume of kiwifruit exports, and a separate letter from Seeka – representing the additional 24 per cent – addressed to MP Anne Tolley (after being erroneously omitted from the original correspondence), the companies put aside their positions as competitors to highlight the importance of Zespri as the world's premium kiwifruit brand.
The letter comes in the wake of news that Zespri has been labelled by a Chinese importer's defence lawyer as the main culprit in an import duty avoidance scam in China, in an ongoing case. New Zealand Kiwifruit Growers’ president Neil Trebilco had already addressed prime minister John Key, stating growers' “overwhelming support” for Zespri.
'We are each competitors for crop volume within New Zealand, however collectively we remain strong supporters of the New Zealand integrated kiwifruit industry structure, with Zespri as our marketer and owner of the world's premium kiwifruit brand,' the joint post-harvest operator statement read.
'We know the success of our individual organisations rely upon the New Zealand kiwifruit industry being able to achieve the scale and long-term commitment to build a leading global brand like Zespri, which enables our industry to compete in a very competitive international fruit trading environment,' the letter continued. 'Without this structure, the returns we receive from offshore markets would be severely compromised. Recent examples of our Post Harvest industry working collaboratively is the response to Psa, and the development and release of new varieties.
'For this reason, we are deeply concerned that what appears to us is a public campaign, supported by an anonymous minority in the kiwifruit industry, that are using Zespri’s historical customs issue in China as an attempt destabilise our industry structure.'
The organisations acknowledged that Zespri's Chinese issues were concerning but called on the group to be left to work the issue out through China's court system – only once the final verdict was delivered would the New Zealand industry be able to determine the cause of, and long-term lessons arising from, the case, the letter noted.
'Some of us our both Zespri grower-shareholders and/or representatives of Zespri grower-shareholders. We are the ones best positioned to hold Zespri to account to ensure it keeps delivering to the high standards we demand of it,' the groups explained. 'Until that point is reached, the current public speculation and campaigning against Zespri – and by extension, the industry structure – will do more to damage the Zespri brand, our interests and grower interests than the customs matter itself.'
The groups pointed to the fact that China is a valuable market to the industry, with growing market penetration, and they expressed confidence that the customs issue would not impact the Zespri brand or, indeed, its future in the country.
'We will continue to hold Zespri to account to ensure this remains the case, not only in China but in the other 55 markets it sells into around the world,' the letter read.
The companies concluded by stating that, as representatives of the industry, they wanted to ensure prime minister Key was aware of their position, and that Zespri retained 'our confidence and support'.
The letter was signed by:
- Michael Franks, CEO of Seeka Kiwifruit Industries Ltd
- Tony Hawken, CEO of Eastpack Ltd
- Bill Thorpe, chairman of Gisborne Kiwifruit Trust
- Allan Dawson, managing director of Aongetete Coolstores
- Paul Jones, director of DMS Progrowers
- James Trevelyan, managing director of Trevelyan's
- Rod Fry, chairman of Mainland Kiwi
- Stuart Weston, CEO at Apata Ltd
- Tom Wilson, director of Aerocool Ltd
- Sean Carnachan, director at Western Orchards
- Craig Thompson, CEO of Opac
- Hemi Rolleston, CEO of Te Awanui Hukapak
- Rob Craig, director at G6 Kiwi Ltd
- Jan Benes, managing director of Auckland Pack & Cool, and Mount Pack Cool
- Alan Thompson, director at LD Packers
- Doug Brown, director at Riverlock Orchard Pack and Coolstore
