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Home / The Country

Enza loses quota for Taiwan trade

29 Aug, 2001 10:13 AM2 mins to read

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The Government is stripping apple exporter Enza of the task of managing the 8000-tonne quota for New Zealand apples in Taiwan.

It may instead put the export rights up for grabs in a kind of "apple lotto".

Agriculture Minister Jim Sutton said yesterday that from next year, he would grant the
export rights to Taiwan.

"These rights will be allocated by the drawing of lots."

Mr Sutton said raffling off the export rights was the fairest way to distribute access to a lucrative market.

A spokeswoman in his office said she did not know yet what criteria would make people eligible for access to the draw for potentially lucrative rights.

Asked whether any member of the public would be eligible for the draw, she said successful applicants would have to get the correct certification from the Agriculture and Forestry Ministry for the health of the export fruit.

But the apple lotto concept is not likely to provide any long term riches for speculators winning export rights and taking up the apple trade.

Mr Sutton said the system would no longer be necessary once Taiwan joined the World Trade Organisation.

This was expected to follow the admission of China and could be as early as this year.

In effect, the Government was holding the apple quota for Taiwan.

From October 1, it would prohibit exports until China and Taiwan joined the WTO.

Taiwan was then expected to abolish the quota.

Enza's management of the Taiwan quota was strongly criticised in 1999 by an Auckland-based fruit trader Fresh NZ Produce.

The company applied to export 1.3 million cartons to markets in Britain, North America and Asia.

Enza's consents committee rejected Fresh NZ's requests for export of 970,400 cartons to Taiwan and other Asian destinations, as well as to Britain and Canada.

- NZPA

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