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ENZA legacy costs

The Government would only consider an ENZA proposal for a compulsory levy to deal with industry "legacy" costs if ENZA could demonstrate a majority of industry participants supported that proposal, that it was fair to minority players, and was in the public interest, Agriculture Minister Jim Sutton said today.

Mr Sutton said Labour Party policy on agriculture changes required that they meet these criteria.

"Cabinet would have to be convinced that the legacy cost proposal measures up."

ENZA has told growers they will have to pay $4.50 a carton from their returns this year to pay Enza's historic losses. The deduction across the country will pay the estimated $55 million dollar bill for Enza's foreign-exchange losses and the last of the losses on the abandoned Omniport loading system at the Port of Napier.

ENDS

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