Zespri and Enza stickers

The ongoing row over international marketer Zespri's dominance of New Zealand kiwifruit exports shows no sign of abating, with fresh produce marketing company Turners & Growers arguing that existing collaborative marketing agreements 'don't work' and accusing the marketer of 'trying to quash' the commercialisation of several new varieties.

In a strongly worded statement sent to Eurofruit Magazine, T&G managing director Jeff Wesley called into question Zespri's near monopoly on New Zealand kiwifruit shipments to overseas countries, as well as its approach to managing the global marketing rights of new export varieties.

'Zespri is outdated, is a monopoly dinosaur that the WTO want gone and is by its actions killing innovation in kiwifruit in New Zealand and globally,' said Mr Wesley. 'It needs to go.'

Last week, Zespri dismissed T&G's argument that it was time to remove the single-desk system for exports of New Zealand kiwifruit, saying there were opportunities for T&G to export 'significant volumes' of fruit under the current system through collaborative marketing agreements.

But Mr Wesley argued the collaborative system had thus far proved ineffective.

'We have tried it three times and have been turned down three times,' he revealed. 'The system is set up to fail, as 99 per cent of collaborative marketing agreements are only good for one year. No-one is going to plant new varieties and develop new markets for a one-year window.'

He added: 'It is ridiculous to expect plant breeders who have spent millions of dollars and years in orchard and market trials – as we have – to hand over global rights to the outdated, inefficient Zespri monopoly for 1.5 per cent of the gross sale price less promotional rebates, claims and discounts.'

Mr Wesley's full statement will appear in the July 2009 issue of Eurofruit Magazine.