Thursday, 28 June 2018 13:19

Fuel tax to increase healthy food prices

Written by 
Mike Chapman. Mike Chapman.

Confusion reigns in the horticulture sector after Labour passed its Regional Fuel Tax (RFT) law this week.

Horticulture New Zealand chief executive Mike Chapman says the tax comes into force in Auckland on Sunday without an exemption system for off-road ‘behind the farm gate’ vehicles and machinery. Chapman says 441 fruit and vegetable growers in Auckland will be affected. 

"Growers should not have to pay the RFT for vehicles and machinery that are supposed to be excluded from this tax, yet on Sunday they will have to. We are talking about considerable numbers of vehicles and machinery used to produce healthy food for New Zealanders, both in Auckland and beyond,” Chapman says.

He says growers will have to go through a complicated and costly process to get a rebate on tax paid as there is currently no exemption process.

Chapman says the process was rushed to meet Auckland Mayor Phil Goff’s announced 1 July deadline, and as such those in horticulture industry were not listened to. He says the tax will affect growers’ businesses and costs considerably, to the point of hundreds of thousands of dollars a year. He adds these costs will be passed onto the consumer, resulting in more expensive healthy food.

More like this

NZ growers lead freshwater compliance

Horticulture New Zealand (HortNZ) says that commercial fruit and vegetable growers are getting ahead of freshwater farm plan regulations through its Growing Change project.

HortNZ course gives confidence to lead

Horticulture New Zealand (HortNZ) Leadership scholar Taurion Colquhoun says the lessons from the programme have been “eye opening” for him and he’s already putting them into action.

Featured

LIC Space folds for good

Farmer co-operative LIC has closed its satellite-backed pasture measurement platform – Space.

Editorial: Time for common sense

OPINION: The case of four Canterbury high country stations facing costly and complex consent hearing processes highlights the dilemma facing the farming sector as the country transitions into a replacement for the Resource Management Act (RMA).

National

Machinery & Products

Calf feeding boost

Advantage Plastics says it is revolutionising calf meal storage and handling, making farm life easier, safer, and more efficient this…

JD's precision essentials

Farmers across New Zealand are renowned for their productivity and efficiency, always wanting to do more with less, while getting…

» Latest Print Issues Online

The Hound

Are they serious?

OPINION: The Greens aren’t serious people when it comes to the economy, so let’s not spend too much on their…

A hurry up!

OPINION: PM Chris Luxon is getting pinged lately for rolling out the old 'we're still a new government' line when…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter