Westpac NZ Becomes First Bank to Accept Zespri Shares as Lending Security
Westpac NZ has become the first New Zealand bank to receive approval from the Reserve Bank of New Zealand (RBNZ) to secure and leverage kiwifruit growers' Zespri shares.
New Zealand Kiwifruit Growers Inc. (NZKGI) and Zespri will deliver Optimising Kiwifruit Land Use - More from Less, with the project co-funded through the Government’s Primary Sector Growth Fund, contributing $19.14 million.
The kiwifruit industry and Zespri will contribute a further $28.73 million combined cash and in-kind investment.
Supporting Growth Across All Kiwifruit Regions
The programme will operate across all New Zealand kiwifruit growing regions and varieties to grow more value from existing orchards with on-orchard innovation, advanced decision-support tools, and applied science.
Optimising Kiwifruit Land Use - More from Less has three workstreams:
- More orchard productivity - research and implementation to improve fruit-quality and budbreak, enhance vine management and production techniques, develop alternative pest and disease controls, and improve decision-support tools.
- More efficient use of resources - using irrigation modelling and decision-support tools to deliver exactly the water and nutrients each vine needs.
- Less environmental impact - exploring carbon sequestration/removals including biochar and other tools that support the programme’s broader environmental outcomes.
Industry Leaders Welcome the Investment
NZKGI CEO Colin Bond says the programme is an important step forward for grower confidence and industry growth.
“Growers are seeing strong global demand for New Zealand kiwifruit, and meeting that demand relies on having confidence in our ability to produce consistent, high-quality supply," Bond says.
“This programme is about giving growers the tools, science and insights they need to lift productivity, improve returns, and manage risk on orchard.”
Zespri CEO Jason Te Brake says the kiwifruit industry is pleased to work alongside the Government on Optimising Kiwifruit Land Use - More from Less.
"We expect to more than double our exports over the next 10 years through releasing new cultivars, developing more orchards and importantly maximising productivity on existing orchards and doing this in a way which is good for people, communities and the environment," Te Brake says.
Delivering More Value from Existing Orchards
“This programme will support growers to improve their orchard performance and production, while strengthening the value of our kiwifruit exports to meet the strong market demand for our premium products," Te Brake says.
"Our industry has a strong history of being forward-looking, innovative and collaborative and co-investment of this kind helps bring innovation to growers much faster than we could on our own.
“We’ve got a really strong opportunity in New Zealand - with land capable of producing some of the best kiwifruit yields in the world. However, we’re also working within some real constraints. There’s only so much suitable land in the right climates, with production sitting alongside increasing environmental expectations and climate variability.
“Kiwifruit has a relatively low environmental impact and we’re committed to always looking at ways we can do better. The opportunity for us is in getting more from the orchards growing now through more precise growing practices, better decision-making tools, and continuing to bring new science into our orchards to improve production as well as delivering new varieties which grow at higher yields in a wider variety of locations.
“Kiwifruit already delivers significant value back to New Zealand’s regions and rural communities each season - $3.6b in direct grower returns last season - and this programme will build on that, supporting further value back to growers, shareholders and the wider economy.”
The programme will be overseen by an independently chaired Project Governance Group, with representation from MPI, NZKGI and Zespri.
