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Home / Business

Bigger bite for apples tipped

3 Dec, 2000 09:19 AM2 mins to read

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By PHILIPPA STEVENSON agricultural editor

Apple growers who intend to march on Parliament on Wednesday to protest about a lack of outlets for their crop may find their orchards cannot meet demand.

This year's crop is estimated to be 17 million cartons, but growers fear that big exporter Enza will not accept
up to 25 per cent of it and is moving to prevent other exporters doing the job.

Peter Young, chairman of the protest group, said many growers were facing financial ruin and had been forced to demonstrate to save the industry.

He said that unless the Government urgently changed export regulations, a large part of the coming crop would be left to rot.

But in its latest report, the export permits committee said it had approved 34 export permits for 2.4 million cartons of fruit, had other applications to process, and more were arriving in a steady flow.

And Enza has said it will take at least 15.5 million cartons, bringing the total amount intended for export to 17.9 million cartons - more than is thought to be hanging on the trees.

Pipfruit Growers executive member Paul Paynter said fruit rotting on trees was unlikely.

Frosts and hailstorms had hit orchards in Hawkes Bay and Otago and estimates of a 17 million-carton crop were probably realistic.

"We are more likely going to have a procurement war," he said.

But growers still had many concerns about the governance and actions of corporate-dominated Enza, which could not always hope for nature to resolve its problems.

Mr Young disputed crop estimates and said there could be up to 19 million cartons available.

He credited pressure from growers for Enza's taking 15.5 million cartons but warned that growers did not yet have supply contracts with the company.

The march would continue because it was an opportunity for 500 growers to demonstrate concerns that persisted over the export regulations, including Enza's right to see other exporters' business plans.

Agriculture Minister Jim Sutton said that the potential shortage of apples and competition for them could only be good for prices and orchardists' incomes.

He sympathised with growers' plight after several seasons of inadequate returns but cautioned that ultimately it was not New Zealand's regulatory regime that determined prices but supply and demand in key overseas markets.

Mr Young said competition would be good for growers but he was dumbfounded that the minister still wanted to restrict it despite acknowledging the benefits.

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