Friday 11th Aug 2000

Owen Jennings

Media Release -- Other

“ENZA suggests that in the wholesale market in the UK, Royal Gala have come under pressure from low-priced New Zealand fruit out of the Continent, suggesting that this fruit is likely to be permit fruit,” Mr Jennings said. “Is ENZA sure that the low priced fruit is not their own being moved around by ENZA agents who have fallen out with each other and have resorted to game-playing at apple grower’s expense?” Mr Jennings said he wanted evidence that it is permit fruit that is involved. “I understand very little permit fruit other than organic produce went to Europe. If ENZA has a case against a permit holder they should put up solid evidence or avoid insinuation,” he said. “If they know it is permit fruit, they should be able to say who it is,” Mr Jennings said. ACT said ENZA also claimed that in the Pacific, permit activity had created a downward price spiral. “ ENZA claims Royal Gala is being sold at extremely low prices, about $10-$12 lower than is normal for this time of the year, and they also claim that quality is well below export grade,” Mr Jennings said. “Evidence supplied to the ACT party supports exactly the opposite. It suggests that the only independent operator selling in the Pacific area is actually receiving prices that are $7-$19 above quoted ENZA fruit. “If this is the case can ENZA explain how it came to the conclusion that it was independents who were damaging the market?” “There is considerable doubt about the accuracy of these claims and I call on ENZA to substantiate them in their market report that goes out to growers, Mr Jennings said. Mr Jennings said there was a growing suspicion around the country that ENZA had been waging a “dirty tricks” campaign against independent operators being granted permits to trade in its locations. “Rather than playing games, ENZA should be taking the lead in bringing the parties together in an effort to maximise growers’ profitability across the board,” Mr Jennings said.

For more information visit ACT online at http://www.act.org.nz or contact the ACT Parliamentary Office at act@parliament.govt.nz.

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