By LIBBY MIDDLEBROOK
Apple-growers could be about to get a tradable stake in the Apple and Pear Board after approving its share allocation plan.
The board plans to allocate its 1500 suppliers about 20 million shares in Enza Ltd, the marketing company formed to replace the board on April 1.
Of the 1060
growers who voted in a referendum, almost 93 per cent approved the share allocation plan, which will be based on growers' production histories between 1992 and 1999.
"We are delighted to have received significantly more support than the 75 per cent required," said John McCliskie, chairman of Enzafruit International, a division of the board.
The share allocation plan arose from the Apple and Pear Industry Restructuring Act, which was passed by the previous Government last September and removed the board's statutory monopoly on pipfruit exports.
As part of the restructuring, the board also proposed to allocate growers tradable shares in Enza Ltd based on a grower's production history.
The original allocation proposal, which was based 70 per cent on last year's production volumes, was turned down because authorities, including the Crown Law Office and the Government, found it was unfair to some growers.
"This new plan is not our preferred option - we thought the earlier plan was fair - but in light of the desire to get on with it, the majority of the industry has accepted the compromise," said Phil Alison, chairman of Pipfruit Growers New Zealand.
Enza is expected to have equity of between $100 million and $110 million by the end of its 1999/2000 financial year on September 30.
Mr Alison said the new Enza shares, which would only be tradable between growers and other shareholders, were expected to have a market value of about $5 each.
Growers will be allocated the shares next month - as long as the plan gains approval from the Minister of Agriculture, Jim Sutton.
His press secretary, Cathie Bell, expected Mr Sutton to announce his decision on the share allocation by the end of the week.
