NZ Kiwifruit Growers Set for Higher Returns Despite Risks
Despite the ongoing bad news on the geopolitical front, New Zealand kiwifruit growers may be in for a good payout.
KIWIFRUIT GROWERS Paul Heywood and Leo Mangos have picked up the 2014 Fresh Carriers Hayward Medal for their achievements in the late 1980s.
Judging panel chair Paul Jones, says that working as a team, the two kiwifruit growers won support from growers and government for a single point of entry for kiwifruit export. This allowed growers to own and control their own industry.
When the stock market crashed in 1988 the effect on the kiwifruit industry coincided with a steep drop in prices in Europe, the industry's major market. At the time the industry, was very fragmented and heavily at odds over how to recover from its slump.
Nelson kiwifruit grower Heywood was then president of the industry group, the Fruitgrowers' Federation. While fellow Bay of Plenty grower Mangos was the director of the Bay of Plenty section of the Fruitgrowers' Federation and chairman of the Labour Party's Primary Producers' Council, which set policy for the primary sector.
"With their very different personalities and philosophies, Leo and Paul were both committed to having their industry run by growers and cooperative marketing," says Jones. "Against strong opposition, they worked tirelessly, speaking at grower meetings up and down the country. The Government at the time was staunchly opposed to marketing boards.
"The group spearheading this was set the Herculean task of getting 80% grower support to establish a single desk exporter – something no one thought possible."
Heywood and Mangos succeeded in persuading 84% of growers to back their call for a Kiwifruit Marketing Board with statutory powers to buy all export kiwifruit – a precursor to the Zespri of today. Their foresight has allowed New Zealand kiwifruit growers to develop their industry into a global business.
"The industry is looking at strong future growth, as we aim to increase export revenue to $3 billion by 2025, and the single point of entry underpins our confidence to invest in the future. This is why Leo and Paul's work 25 years ago still has such a powerful impact on the industry today," says Jones.
A verbal stoush has broken out between Federated Farmers and a new group that claims to be fighting against cheaper imports that undermine NZ farmers.
According to the latest ANZ Agri Focus report, energy-intensive and domestically-focused sectors currently bear the brunt of rising fuel, fertiliser and freight costs.
Having gone through a troublesome “divorce” from its association and part ownership of AGCO, Indian manufacturer TAFE is said to be determined to be seen as a modern business rather than just another tractor maker from the developing world.
Two long-standing New Zealand agricultural businesses are coming together to strengthen innovation, local manufacturing capability, and access to essential farm inputs for farmers across the country.
A new farmer-led programme aimed at bringing young people into dairy farming is under way in Waikato and Bay of Plenty.
The Government has announced changes to stock exclusion regulations which it claims will cut unnecessary costs and inflexible rules while maintaining environmental protections.

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