Resolution will ask growers to support the allocation of up to 420 additional hectares of SunGold Kiwifruit per year over six years
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Zespri has confirmed it will seek grower approval to expand its Zespri Global Supply (ZGS) business via a producer vote, following what it called ”extensive discussions with the industry”.Voting on the expansion will open on 11 November and close on 5 December, the kiwifruit leader outlined.The resolution will ask growers to support the allocation of up to 420 additional hectares of SunGold Kiwifruit per year over six years across Italy, France, Japan, South Korea and Greece.This is subject to annual review by the Zespri board to confirm forecast demand remains ahead of supply and the provision of annual reporting to growers.The group noted that the resolution reflected “significant grower input, industry feedback and the need for Zespri to expand in line with forecast demand to protect grower returns”.Offshore production has been utilised for almost 25 years to complement Zespri’s New Zealand supply.Zespri CEO Jason Te Brake said expanding offshore plantings was important in continuing to deliver value to growers, and reflected both the positive outlook for kiwifruit and an increasingly competitive category.“Zespri’s priority is to create value for New Zealand growers,” he said. ”We do that through an outstanding product and brand and also by listening to our markets and delivering what they want and see value in.”What’s clear is that our markets want more of Zespri’s high quality fruit, and they want it year-round. Competitors have seen this opportunity too and are building their own brands and supply to take market share.“The expansion of ZGS is a critical part of how we will meet this demand and respond to the growing challenge of more competition which we expect to continue to increase in the years to come,” Te Brake continued.“It will help us maintain our current position as leaders in a very dynamic category, which will support New Zealand grower returns into the future.”For the vote to be successful, it requires support from at least 75 per cent of producers who vote, both by number and weighted production.Results will be announced in mid-December, Zespri added.
