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NZKGI will take a case against the Gisborne District Council to the Court of Appeals.
It could be late next year before a proposal by the Gisborne District Council (GDC) to add the value of new SunGold licences to rating kiwifruit orchard properties is finally settled in the Court of Appeal.
The plan by the GDC would see significant rate increases for kiwifruit growers and is seen by most people in the hort sector as a bizarre money-grabbing ploy by the council. The NZ Kiwifruit Growers Incorporated (NZKGI) appealed the Gisborne council's move to the High Court, but it upheld the GDC's proposal.
NZKGI chief executive Colin Bond says they are disappointed with the High Court judgement but believes they have a strong case to take to the Court of Appeal.
"We don't think the value of the licence should be attached to the land - rather we believe it should rest with the grower," he told Rural News.
"This case is precedent setting and is important, not only to the small number of Gisborne kiwifruit growers, but to other kiwifruit growers and horticulturists throughout NZ. For example, there is the question about whether this proposal could apply to other fruits and crops."
Bond says the case is being closely watched by other local councils around the country, as well as commercial growers and orchardists.
He adds that increasing industry costs can make the kiwifruit industry a less attractive investment and reduce growers' spend in local communities, ultimately impacting upon economies across New Zealand.
Bond says Gisborne growers return over $80 million to the local economy and should be supported by their local council. In 2022, growers pid a median of $921,150 (incl. GST) per hectare for a SunGold licence.
"This is a serious issue and it feels like NZKGI is the right organisation to lead this appeal for growers and we have their total support," he told Rural News. "It will continue to cost growers some money, but we have gone out and got approval from them to take the case to the Court of Appeal. Our case is strong and we want to get a positive outcome for all growers."
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