RESTRICTEDWORLD TRADE
ORGANIZATIONG/STR/Q1/NZL/3
30 July 1999
(99-3219)
Working Party on
State Trading EnterprisesOriginal:  English
STATE TRADING
Replies to Questions Posed by the UNITED STATES1 and the EUROPEAN COMMUNITY2
Concerning the New and Full Article XVII Notification of NEW ZEALAND3
The following communication, dated 26 July 1999, has been received from the Permanent
Mission of New Zealand.
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QUESTIONS FROM THE UNITED STATES
Q. In Part III, Section C, of the New Zealand Article XVII submission, New Zealand
indicates that the New Zealand Apple and Pear Marketing Board has responsibility for
exporting New Zealand apples and pears, but in Table II, shows only exports of apples.  Could
New Zealand provide statistics on exports of pears by the New Zealand Apple and Pear
Marketing Board?
Reply
Exports of Pears by the New Zealand
Apple and Pear Marketing Board
1995-1998 (year ended September)
Year Total quantity exported
(thousand tonnes)
19951996
1997
19984.2
3.3
4.4
5.6
Source:  New Zealand Apple and Pear Marketing Board.
Q. In the same section, New Zealand indicates that the New Zealand Apple and PearMarketing Board also has the authority to gran t approvals to other exporters after publishing
guidelines for such applications.  Based on Statistical Table II, the New Zealand Apple and Pear
Marketing Board appears to be the sole exporter of apples.  We understand that the
                                                     
1 G/STR/Q1/NZL/1
2 G/STR/Q1/NZL/2
3 G/STR/N/4/NZLG/STR/Q1/NZL/3
Page 2
New Zealand Apple and Pear Marketing Board published guidelines for applications by other
exporters.  However, the New Zealand Apple and Pear Marketing Board appears to continue as
the sole exporters of apples and pears.  Co uld New Zealand provide additional information
about the participation of exporters other th an the Board in New Zealand apple and pear
exports?
Reply
The New Zealand Apple and Pear Marketing Board published the guidelines which it uses to
assess the applications of alternative traders who wish to export fresh apples and pears.4
Over the period 1995-98 several exporters have been granted consent to export apples and
pears by the New Zealand Apple and Pear Marketing Board.  The table below lists the companies
participating in exporting apples and the amount each exported.  These export volumes were not
included in the statistical tables in New Zealand's State Trading Enterprise notification (document
G/STR/N/4/NZL).  The figures included in the statistical tables II and III were the volume of apples
exported by the New Zealand Apple and Pear Marketing Board only.
Other Export Participants in New Zealand
1995-1998 (year ended September)
Year Exporters Total quantity of apples exported
(thousand tons)
1995Consumer Marketing International Ltd.
(Apple Fields/Dovex Joint Venture)
Grocorp Pacific Ltd.
Asia New Zealand Marketing Ltd.0.09
0.03
0.59
1996Consumer Marketing International Ltd.
(Apple Fields/ Dovex Joint Venture)
Clutha Valley Exports Ltd.0.70
0.09
1997Turners and Growers Fresh Ltd.
Antipodean Trade Group Ltd.
NZ Organics Ltd. (Freshco)0.07
0.09
0.23
1998Ventura Pacific
Freshco
Peak Horticulture Ltd.
Antipodean Trade Group Ltd.Fern Ridge Meat Marketing (NZ) Ltd.
Adapples0.04
2.34
0.82
0.180.44
0.04
Source:  New Zealand Apple and Pear Marketing Board.
Q. In Part III, Section C, of the New Zealand Article XVII submission, New Zealand also
indicates that the Dairy Board Amendment Act of 1992 required the New Zealand Dairy Board
to establish criteria under which approvals to export other than through the Board could be
made.  Could New Zealand provide information about the status of these criteria?
                                                     
4 A copy of the Guidelines for Consent to Export Apples and Pears for the 1998/99 season is available
for consultation in the Rules Division by interested delegations (Miss Susan Aspinall, Office 1028,
Tel. 739 5109).G/STR/Q1/NZL/3
Page 3
Reply
The Board has established guidelines to enable it to give on request to any person who might
enquire, without charge and pursuant to Section 17(1E) of the Dairy Board Act 1961, "written notice
of the guidelines for the time being in force under subsection (1A)(c)" of Section 17.  As required by
subsection 1(A)(c) of the Dairy Board Act, these guidelines have been published.5
Q. In Statistical Table II, New Zealand indicates that average representative domestic sales
prices for commodities marketed by New Zealand STEs – dairy products, kiwifruit, apples,
pears, hops, and raspberries – are not availa ble.  Could New Zealand explain the lack of
domestic price information for these commodities?
Reply
Due to New Zealand's heavy reliance on exports of agricultural products, including fruit and
vegetables, New Zealand's statutory marketing stru ctures are focused on exports.  Apart from the
New Zealand Hop Marketing Board and Raspberry Ma rketing Council, both of which have legislative
power to regulate and control the marketing of hops and raspberries domestically, New Zealand's
Producer Boards are export marketing structures only and have no statutory marketing role on the
domestic market.  Neither New Zealand's producer boards, nor the New Zealand Government collect
domestic wholesale price information.
QUESTIONS FROM THE EUROPEAN COMMUNITY
Q. Could New Zealand give some data on the ave rage procurement prices of apples by the
New Zealand Apple and Pear Marketing Board from 1995 to 1998.
Reply
The New Zealand Apple and Pear Marketing Board is responsible for the export marketing of
apples and pears produced in New Zealand.  The Board acquires produce as provided in its
legislation, rather than purchasing the produce for export sale in the usual way.
Based on world price forecasts for apples and pears, the Board determines the initial
payments to producers.  Final payments to producers are made on receipt of actual returns from the
world market minus the costs that the New Zealand Apple and Pear Marketing Board incurs in
storing, transporting and marketing the product.  This is in line with the Board's cooperative structure.
As the New Zealand Apple and Pear Marketing Board does not purchase apples for export in
the usual way, an answer is provided below for the second question raised by the European
Commission.
Q. If these data are not available, is there any information on the average prices received
by farmers for their apples during that period?
                                                     
5 A copy of the Dairy Board's guidelines is available for consultation in the Rules Division by
interested delegations (Miss Susan Aspinall, Office 1028, Tel. 739 5109).G/STR/Q1/NZL/3
Page 4
Reply
Average Returns on Apples Exported by the
New Zealand Apple and Pear Marketing Board
1995-1998 (year ended September)
Year Average price (US$/kg.)
1995
1996
1997
19980.41
0.46
0.37
0.44
Source:  New Zealand Apple and Pear Marketing Board.
Note: 1.  Prices for apples are those received by New Zealand apple growers after marketing costs
have been deducted.
2.  The average returns on apples received by growers are converted from NZ$ to US$ using
the following exchange rates for the years 1995 to 1998 (September averages):  0.6484,
0.6748, 0.6850, 0.5595 from the Ministry of Agriculture and Forestry.
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