New Zealand exporter Turners & Growers has announced it will appeal a High Court decision in its case against kiwifruit marketer Zespri.
Last Friday's ruling in the Auckland High Court found that two elements of New Zealand’s Kiwifruit Export Regulations 1999 questioned by T&G were legal, contradicting T&G's bid to bring about deregulation of the country's kiwifruit export industry.
The court also ruled that industry regulator Kiwifruit New Zealand has exclusive jurisdiction to consider complains under those regulations.
T&G chairman Tony Gibbs confirmed the company had reviewed the High Court judgement in detail over the weekend and would be lodging its appeal 'as soon as possible'.
Mr Gibbs added that, while he appreciated Zespri 'wanted to avoid further scrutiny of its behaviour and its extraordinary position as a private company with a statutory monopoly', Zespri chief executive Lain Jager's call for T&G not to appeal the High Court decision was 'wishful thinking'.
Mr Jager told Fruitnet.com immediately after the decision that he was hopeful T&G would opt not to subject kiwifruit growers, Zespri and its own shareholders to 'the further expense of prolonged litigation through an appeal'.
'The New Zealand Government, the New Zealand Opposition, 90 per cent of kiwifruit growers and now the High Court of New Zealand have each confirmed their support for the existing arrangements,' Mr Jager said.
'Now is the time for common sense to prevail and for T&G to put forward sensible and robust collaborative marketing proposals capable of being accepted by the industry regulator.'
A six-day substantive hearing is scheduled to start next May, during which T&G's remaining claims not covered by the recent ruling will be heard.
Those claims centre principally around allegations that Zespri has been acting contrary to New Zealand's Commerce Act.
Zespri has been awarded costs in the case, with the amount yet to be determined.
T&G is also expected to take its claims that Zespri has contravened the Kiwifruit Export Regulations 1999 before Kiwifruit New Zealand, now confirmed as the correct forum for the complaints.
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