What’s happening at KNZ
Unauthorised SunGold Plantings in China
Zespri has advised growers and the public that it is developing a plan to address the issue of its PVR “Gold3” being grown illegally in China.
The Kiwifruit Export Regulations 1999 have a clear definition of Zespri’s “core business”. The buying and selling of kiwifruit grown in China is not covered by that definition and therefore if Zespri wish to commercialise (i.e. purchase and sell) this fruit, then it needs to follow the steps set out in Regulation 10A – prior notice rule.
10A ZGL must inform Board before carrying out activities that support core business
(1) ZGL must inform the Board before carrying out any activities that are not the core business but do support the core business.
(2) For the purposes of this regulation and regulation 11, an activity supports the core business if—
(a) the activity is likely to enhance the performance of the core business;
and
(b) the activity poses no more than a low risk (if any) to the interests of producers.
(3) A consideration of the nature of any risk under subclause (2)(b) must—
(a) first take into account any measures that ZGL has put in place to mitigate the effects of any risk event; and
(b) then consider—
i. the likelihood of a risk event occurring; and
ii. the impact on the interests of producers if a risk event occurred.
(4) In subclause (3), risk event means an event identified as a risk to the interests of producers that is posed by the activity.
(5) In this regulation and regulation 11,—
activity includes, without limitation, the ownership or operation of an asset
risk means foreseeable risk
Zespri has now given KNZ a “Prior Notice” under Reg 10A detailing a commercial trial it wishes to undertake in China during 2021. KNZ is undertaking an independent assessment of this activity and will determine if it meets the definition of “supports the core business” as detailed in Reg 10A (2).
If KNZ considers the activities proposed in the notice do support Zespri’s core business, then Zespri can carry out those activities without further regulatory steps.
If KNZ considers that the activities proposed in the notice do not support Zespri’s core business, then Zespri cannot carry out those activities, unless it has been successful in a producer vote as outlined in Regulation 11.
KNZ will complete its assessment as soon as practicable.
Geoff Morgan
Chief Executive
New Appointment to the KNZ Board
One of the changes made in the 2017 amendments to the Regulations was that two members of the KNZ Board are appointed by the Minister of Agriculture.
The first appointments made in 2017 were Neville Harris and Tim Main. Their first three-year term was completed in 2020 and the Minister has now made appointments for the next three-year term.
Neville Harris has been re-appointed as a director of KNZ, and the Board welcomes Sarah Paterson to her first term as a director.
Sarah has a strong background in international trade and governance and her profile is available here on our website.
Kristy McDonald ONZM QC
Chair
KNZ Board – Director Election 2020
When nominations for the election of a Director for Kiwifruit New Zealand closed on Monday, August 10th 2020, one nomination had been received, from the incumbent Andrew Fenton.
As there is only one nomination, an election will not be required and Andrew Fenton is re-elected unopposed.
Andrew’s final three year term on the KNZ Board will start on 1 October 2020.
I congratulate Andrew and look forward to his continued contribution to the KNZ Board.
Kristy McDonald ONZM QC
Chair
Collaborative Marketing Results 2019-20
Regulation 15 of the Kiwifruit Export Regulations 1999 requires KNZ, to disclose publicly within three months after the end of each season;
- the identity of each CM approval holder
- the volume marketed by each approval holder
- financial information to enable an assessment to be made, if the net returns for each arrangement were greater than if the arrangement had not been approved.
This information is contained in a report located here:
2019-20 Collaborative Marketing Results (Reg. 15)
2019-20 Financial Statements and Auditor Report
Regulation 40 of the Kiwifruit Export Regulations 1999, requires KNZ to prepare financial statements that comply with generally accepted accounting practice, have them audited by a qualified auditor, signed by the Board and disclose publicly, within three months after the end of the financial year.
KNZ has complied with this regulation and the statements can be found here:
2019/20 Financial Statements and Auditors Report
Statement of Intent and Funding Statement
KNZ has completed its first Statement of Intent (2017-2020) and met all performance measures on time.
Our next Statement of Intent 2020-2023 has now been finalised in accordance with Regulation 33A and can be found here.
Also under Regulation 39(4) KNZ must publicly disclose how the funding of KNZ has been achieved under Regulation 39.
This statement can be found here.
2019 Discrimination Complaint (Zespri grower number process)
In March 2019, KNZ received a complaint from a grower alleging discrimination by Zespri, in its process of issuing grower numbers, prior to the kiwifruit season commencing.
A KNZ complaints committee was formed and conducted an investigation. The final decision is attached.
2019 Discrimination Complaint (Zespri Grower Number Process)
