7 May 2010

Kiwifruit marketing challenge heads to court

1:35 pm on 7 May 2010

The High Court will begin hearing in July a case challenging the kiwifruit industry's single desk marketing structure and the way it's being run.

Fresh produce company Turners & Growers is claiming that regulations giving kiwifruit marketer Zespri monopoly control over most export markets are unlawful.

Turners & Growers also claims Zespri has abused its dominant position in a number of ways, including seeking to tie growers, suppliers and post harvest operators into exclusivity contracts.

The High Court has decided it will consider some of the issues in an initial hearing in July and will then decide whether the export regulations are unlawful.

It will also consider whether it has jurisdiction to decide if Zespri has been acting in breach of other regulations.

The remaining issues raised by Turners & Growers will be heard in a further trial, early next year.