Baldock Larry: New Zealand Horticulture Export Authority Amendment Bill (No 2) — Second Reading Instruction to CommitteeCWH In Committee Third Reading 
Baldock Larry: New Zealand Horticulture Export Authority Amendment Bill (No 2) — Second Reading Instruction to CommitteeCWH In Committee Third Reading 
[Volume:612;Page:9608] 
LARRY BALDOCK (United Future) 
: 
 I rise to support this bill in its second reading on behalf of United Future. It is important to recognise that the bill amends the New Zealand Horticulture Export Authority Act in two important ways. A string of changes deal with the operation of the authority in general. As it currently reads the Act provides for the imposition of quantitative restrictions on the export of prescribed products. Despite the non-utility of those particular provisions their continued existence in legislation lies contrary to this country’s international trade obligations. Given that I support the Primary Production Committee’s proposed reversal of section 26(2)(a) of the Act so that it states without ambiguity that an export marketing strategy cannot enforce quantitative restrictions on exports. If anyone else can tell me what that means I would appreciate it. 
Three other general amendments to the Act suggested by the authority itself focus on the improvement of its administrative effectiveness. There is currently a hearing process for Horticulture Export Authority decisions on export licence applications. That process also considers circumstances where the authority believes on reasonable grounds that a licensed exporter has conducted export operations that prejudice the current product group’s export marketing strategy. However at present there is no provision for hearings to be held on other statutory decisions of the Horticulture Export Authority. This bill will rectify that. 
The bill will also allow costs to be awarded to all parties in the case of any dispute under the Act. That effectively will override the precedent set by the most recent arbitrator who did not award costs to all parties. 
Finally the current Act fails to allow the Horticulture Export Authority to revoke redundant export licences and therefore the register of exporters includes some redundant information. This bill will correct that. 
Moving beyond adjustments to the general operation of the authority I note that the bill also contains specific amendments relating to the kiwifruit industry. It allows the kiwifruit industry the option of coordinating the export of kiwifruit to Australia through the Horticulture Export Authority. Kiwifruit exports to the rest of the world except to Australia are managed by the Zespri Group in a solitary export regime. 
I take this opportunity to speak highly of Zespri and its marketing which has developed such excellent returns for the kiwifruit industry—particularly in the Bay of Plenty—that the economy has been very positively affected over recent years. We are very proud in Tauranga that Zespri has chosen to move its head offices there as many other companies are also doing because of the excellent lifestyle that is offered in that wonderful part of New Zealand. 
There have been many comments made about the pros and cons of the single desk and I believe that in Zespri we have an example of how single-desk marketing works very effectively for its growers. It is to do with the quality of the people who are involved in the organisation—those who are committed to working for their members rather than becoming complacent and enjoying the lifestyle that the single desk can sometimes protect. I do not believe that there is any risk of that happening with regard to Zespri and I commend the company for its excellent work. 
This bill deals with concerns about the re-exporting of second-quality kiwifruit out of Australia. Much comment has been made about that already and I also mentioned it in my speech in the debate on the first reading. I do not see that there is any need this afternoon to take any further time on that subject. United Future is very happy to support the second reading of this bill and looks forward to its speedy process through the House this afternoon.