A lack of understanding of kiwifruit industry dynamics is driving predictions of deregulation and takeovers of the industry, says Fruitgrowers Federation vice-president Andrew Fenton.
Fenton is chairman of kiwifruit co-operative Satara.
He believes the industry is unlikely to meet the same fate as the pipfruit industry when corporate investors Guinness Peat Group
(GPG) and FR Partners took advantage of Enza's constitution to become the major shareholder.
Fenton said raiders eyeing the kiwifruit industry had to remember it was owned "100 per cent by growers. And it's protected from raids such as happened to Enza by a share voting cap".
"They would need to own all the shares if they wanted to change anything," he said.
Most growers wanted a sole marketer for kiwifruit, which was what Zespri supplied.
The predictions on deregulation were made by former apple industry head Joe Pope, who was for 13 years chief executive of Enza - now expected to be absorbed by Turners & Growers. It follows suggestions by GPG managing director and Enza chairman Tony Gibbs that he would look to add kiwifruit to the merged company's portfolio.
Satara chief executive Craig Wallis said the kiwifruit industry was very successful after four years of good returns to growers.
"I'm not hearing that there is a move for the industry to be deregulated. Most growers are of the opinion that Zespri as single marketer has done a very good job.
"The general feeling is that we should follow a path of self-determination.
"This is not to counter the possible raids by companies like GPG but for the good of the industry as a whole. Success can breed complacency among growers but the general mood is one of support for the industry - although fine-tuning is always necessary. The mood within the apple industry when it was taken over was very different."
Chief executive of kiwifruit supplier Seeka, Tony de Farias, said he believed GPG had no more right to be taken seriously than any other firm.
The trio said the buoyant mood and industry dynamics in the kiwifruit industry were very different to the pipfruit industry.
- NZPA
