Dairy Industry Restructuring Amendment Act 2007

1: Title
This Act is the Dairy Industry Restructuring Amendment Act 2007.
2: Commencement
This Act comes into force on the day after the date on which it receives the Royal assent.
1: Amendments to Dairy Industry Restructuring Act 2001
3: Principal Act amended
This Part amends the Dairy Industry Restructuring Act 2001 2007-12-15 Dairy Industry Restructuring Act 2001
4: Interpretation
1: Section 5(1) allocation period section 26 competent authority Animal Products Act 1999 eligible participant
a: is eligible to hold an export licence; and
b: collects at least 0.1% of total milk solids collected from farmers in New Zealand based on the most representative data of total milk solids collected in New Zealand in the latest year that data is available prior to an allocation period general export licence section 26(5) holder section 29B interim licence
a: Canada, the licence for the period beginning on the commencement of the Dairy Industry Restructuring Amendment Act 2007 and ending on 31 December 2007 for a quantity of butter not exceeding 2 000 tonnes; and
b: the Dominican Republic, a licence for the period beginning on the commencement of the Dairy Industry Restructuring Amendment Act 2007 and ending on 31 December 2007 for a quantity of milk powder not exceeding 4 800 tonnes; and
c: the European Communities—
i: as described in section 25(2)(a)
ii: as described in section 25(2)(b)
iii: as described in section 25(2)(c) interim period marae milksolids Ministry person eligible to hold an export licence Part 5 of the Animal Products Act 1999 quota year
a: the European Communities, the United States of America, and the Dominican Republic, a period of 12 months beginning on 1 January and ending on 31 December; and
b: Japan, a period of 12 months beginning on 1 April and ending on 31 March in the following year .
2: Section 5(1) chief executive chief executive
3: Section 5(1) designated market designated market
a: for the initial and interim licences, a market listed in Schedule 5
b: for the licences that apply following the initial and interim licences, a market listed in Schedule 5A .
4: The definition of export licence paragraph (b)
b: a licence allocated under section 25, 26, or 29 .
5: The definition of initial licence and continued under section 25
5: Purpose
Section 21(3) Schedule 5 Schedules 5 and 5A
6: Overview
Section 22 subsection (3)
3: Sections 26 to 42
7: Restrictions on exports to designated markets
Section 23
23: Restrictions on exports to designated markets
1: A person must not export directly or indirectly to a designated market any dairy product that is described in Schedules 5 and 5A
a: is the holder of a current export licence; and
b: exports product in accordance with that licence in respect to the product and market.
2: No export restrictions apply to a designated market listed in Schedule 5 Schedule 5A
8: Continuation and reduction of licences in respect of designated markets in European Communities after initial period
1: Section 25 Reduction of licences in respect of designated markets in European Communities during the interim period
2: Section 25 subsection (1)
1: The Board holds the interim licences to export to designated markets in the European Communities for the periods and the reduced amounts specified in subsection (2)
3: Section 25(2) initial interim
9: New section 25A inserted
The following section is inserted after section 25
25A: Export licence conferred on Board by
section 24 or 25
1: The chief executive must record an export licence conferred on the Board by section 24 or 25 section 29B
2: The Board must supply all necessary information to the chief executive for the purpose of subsection (1)
10: New section 26 substituted
Section 26
26: Later allocation of export licences
1: The following are vested in or revert to the Crown:
a: any rights in respect of designated markets that become available as a result of the expiry of the initial period under section 24
b: any rights in respect of designated markets in the European Communities listed in Schedule 5A section 25
c: any quantities that become available as a result of increases in rights in respect of designated markets listed in Schedule 5A section 27A(2)
d: any rights in respect of designated markets listed in Schedule 5A
2: Following the expiry of the initial and interim licences, export licences for the designated markets listed in Schedule 5A
3: The Minister must, in accordance with the rules set out in Schedule 5B Schedule 5A subsection (4)
4: If the Minister is satisfied that an allocation under subsection (3) section 21(1) subsection (7)
5: The Minister may allocate a general export licence for trade at the normal tariff (outside the terms of the quota), in respect of a designated market listed in Schedule 5A
6: Subsection (5) section 29A
7: The Governor-General may, by Order in Council made on the recommendation of the Minister, allocate or reallocate export licences in respect of designated markets listed in Schedule 5A
8: Before making an allocation under subsection (5)
a: be satisfied that an allocation is appropriate in the circumstances; and
b: have regard to the purpose in section 21(1)
9: Subsection (1) subsection (3) or (5) subsection (7)
11: New section 27A inserted
The following section is inserted after section 27
27A: Increases or reductions in rights to export to designated markets after initial period
1: This section applies if, after the initial period, there is an increase or reduction in rights to secure economic benefits from designated markets that are not allocated in an existing export licence.
2: An increase in a right to export to a designated market during the course of an allocation period accrues on a pro rata basis to the registered holders of export licences at the time the increase first becomes available for use.
3: A reduction in a right to export to a designated market during the course of an allocation period applies on a pro rata basis to the registered holders of export licences for that designated market at the time the volumes reduce.
4: In the case of interim licences held by the Board, the allocation period for any licence for a specified quantity is the period for which the licence is valid for that quantity.
5: An accrual under subsection (2) subsection (3)
6: An accrual or reduction referred to in subsection (5) section 29B
12: New heading and section 28A inserted
The following heading and section are inserted after section 28 Transferring export licences
28A: Transferring export licences
1: The Governor-General may, by Order in Council made on the recommendation of the Minister, make regulations for the purpose of governing the transfer of export licences or parts of export licences.
2: Export licences may be transferred only in accordance with regulations made in accordance with subsection (1)
3: The chief executive is responsible for administering the transfer of export licences.
4: Subsection (1) section 28
13: New heading inserted
The following heading is inserted before section 29 Revocation of initial licences
14: New headings and sections 29A to 29L inserted
The following headings and sections are inserted after section 29 Quota trade completed before trade at normal tariff
29A: Quota trade completed before trade at normal tariff
1: This section applies to trade at the normal tariff (outside the terms of the quota) for the following markets:
a: prepared edible fat to Japan:
b: milk powder to the Dominican Republic.
2: For the markets listed in subsection (1)
3: A quota is to be treated as filled when the competent authority has issued export certificates to all licence holders for at least 95% of each export licence holder's quantity of export licences.
4: The competent authority must publicly notify the industry when a quota is filled in accordance with subsection (3)
5: When a quota is filled, the competent authority must, as soon as is reasonably practicable,—
a: publish a notice in the Gazette
b: notify the eligible participants in any manner that the competent authority considers effective and appropriate, including electronically.
6: An export licence holder may use the export licence for trade at the normal tariff only for the remainder of the quota year in which publication and notification are made in accordance with subsection (5) Maintaining register of licence holders
29B: Register of export licence holders
1: The chief executive must—
a: keep and maintain a register of export licence holders; and
b: make the register available to the competent authority; and
c: on receipt of a written request, allow a holder of an export licence to inspect information on the register that relates to his or her licence.
2: The register must contain the following information:
a: the full name and address of the export licence holder:
b: each designated market for which the holder holds an export licence:
c: the volume of quota rights held in respect of each export licence for each quota year:
d: the following dates for each export licence:
i: date of registration:
ii: date of commencement:
iii: date of expiry:
e: the date of transfer, if any, of the export licence or part of the export licence:
f: the full name and address of the previous holder of the export licence.
3: If a person holds more than 1 export licence for a designated market for the same quota year, each export licence must be registered separately.
4: This section does not apply to general export licences allocated under section 26(5) Powers of chief executive
29C: Power to authorise persons
The chief executive may only authorise a person to exercise a power under sections 29E to 29L
29D: Power to require assistance
The chief executive, or a person authorised by the chief executive, may call on any person for assistance in the exercise of any or all of the powers under sections 29E to 29L
29E: Power of entry without search warrant
1: For the purpose of determining and monitoring compliance with the rules set out in Schedule 5B
2: Before entering any place under subsection (1)
a: give the owner or occupier reasonable notice of his or her intention to enter the place, unless to do so would defeat the purpose of the entry; and
b: if notice under paragraph (a)
i: the time and date of the entry; and
ii: the purpose of the entry; and
iii: the name of the person; and
iv: the address of the office to which inquiries should be made.
3: A person who exercises any power under this section must produce his or her evidence of authorisation—
a: on first entering the place; and
b: subsequently whenever reasonably required to do so by a person appearing to have charge of the place or any part of the place.
29F: Power to examine, etc
For the purpose of determining and monitoring compliance with the rules set out in Schedule 5B section 29E
a: examine all things, and open containers, packages, and other things to inspect their contents:
b: examine, inquire about, and copy any documents or other records (including records held in electronic or other form) and may—
i: remove documents or records to another place for a reasonable time for the purpose of copying them, or require the person having control of the documents or other records to forward them or a copy of them to the officer by way of post, courier post, fax, or other means acceptable to the chief executive or authorised person; and
ii: require a person who has control of or knowledge of the documents or records to reproduce or assist in reproducing in usable form information recorded or stored in a computer or other device or system; and
iii: direct the occupier to identify and hold any equipment, package, container, or document until any lawful direction of the chief executive, or a person authorised by the chief executive, has been complied with; and
iv: take photographs of any container, package, equipment, or thing.
29G: Power to require information
1: For the purpose of determining and monitoring compliance with the rules set out in Schedule 5B
2: Any information, documents, or answers required under subsection (1)
3: An eligible participant or an employee or agent of an eligible participant may not refuse to answer a question under subsection (1)
4: An incriminating answer under this section—
a: may be used in civil or criminal proceedings against the eligible participant if it is a body corporate; but
b: may not be used in civil or criminal proceedings against the employee or agent of the eligible participant who gave the incriminating answer.
29H: Power to audit milk collection data
1: For the purpose of determining and monitoring compliance with the rules set out in Schedule 5B
2: Participants must be notified of the possibility of an audit on a cost-recovery basis at the time of an application for an export licence.
3: Participants may be charged a fee for an audit carried out under subsection (1) Search warrants
29I: Issue of search warrant
1: A District Court Judge, Community Magistrate, Justice of the Peace, or Registrar may issue a search warrant in the form set out in Schedule 5D
a: in respect of which an offence under section 31(3)
b: that has been, is being, or is intended to be used by any person for the commission of an offence under section 31(3)
c: that is evidence of the commission of an offence under section 31(3)
2: The District Court Judge, Community Magistrate, Justice of the Peace, or Registrar may impose any reasonable conditions on the warrant that he or she thinks fit.
3: A search warrant must be directed to a member of the police by name or to every member of the police or to the chief executive or to a person authorised by the chief executive by name, but, in any of these cases, the warrant may be executed by any member of the police.
29J: Entry and search powers when executing warrant
1: The chief executive or authorised person who executes the warrant may use any force that is reasonable to—
a: enter an area that is to be searched; or
b: break open or access an item that is to be seized.
2: The chief executive, or person authorised by the chief executive, who executes a search warrant may seize any item that—
a: he or she has reasonable grounds to believe is evidence of an offence under this Act; or
b: is found while he or she is lawfully—
i: exercising a search power; or
ii: in the place in which the item is found.
3: Subsection (2)(b)
4: If it is not reasonably practicable to determine whether an item may be seized in accordance with a search warrant, the chief executive or authorised person may remove the item for the purpose of examination or processing to determine whether it may be seized.
29K: Requirements when executing warrant
1: The chief executive, or a person authorised by the chief executive, who executes a search warrant must carry the warrant with him or her, and produce it for inspection, along with evidence of his or her identity,—
a: on first entering the place specified in the warrant, to the person appearing to be in charge of the place; and
b: whenever subsequently required to do so, at the place specified in the warrant, by any other person appearing to be in charge of the place or any part of the place.
2: If the occupier of the place is not present at the time the search warrant is executed, the chief executive or authorised person must leave in a prominent location at the place a written statement of the time and date of the search, a copy of the search warrant, the name of the chief executive or authorised person, and the address to which inquiries may be made.
3: If anything is seized in the execution of a search warrant, the chief executive or authorised person executing the search warrant must leave in a prominent location at the place, or deliver or send by registered mail to the occupier within 10 working days after the search, or a later date if an extension is approved by a District Court Judge, a written inventory of all things seized.
4: The chief executive or authorised person may make an application, at the time of making an application for a search warrant, for a waiver from subsections (2) and (3)
5: A waiver under subsection (4)
6: The chief executive or authorised person who executed the search warrant must provide information to persons from whom items have been seized regarding—
a: access to and the disposition of the seized items; and
b: the right, under the Official Information Act 1982
7: The chief executive or authorised person who is exercising a power of entry in relation to a marae, or a building associated with a marae, must have regard to the kawa of the marae so far as is practicable in the circumstances.
29L: Disposal of property seized under search warrant
Section 199 of the Summary Proceedings Act 1957
a: where a member of the police seized the item in question, it may be retained by the Commissioner of Police pending the trial of the person for the offence in respect of which the item was seized:
b: where the chief executive, or a person authorised by the chief executive, seized the item in question, it may be retained by the chief executive pending the trial of the person for the offence in respect of which the item was seized:
c: the item in question must be returned to the person from whom it was seized—
i: if no proceedings are taken in respect of an offence to which the item relates within 6 months after its seizure; or
ii: if proceedings are completed in respect of such an offence and no order of forfeiture is made in respect of the item:
d: if any person is convicted of an offence to which the item relates, the Court may, if it thinks fit, order that the item be forfeited to the Crown or disposed of as the Court directs at the expense of the convicted person, and may order that the person pay any reasonable costs incurred by the Commissioner of Police or the chief executive in retaining the item.
15: Offences
Section 31
2: Every person commits an offence against this Act, and is liable on summary conviction to the following fines, who does not provide the information or document required under section 29G
a: a fine not exceeding $200,000; and
b: a further fine not exceeding $10,000 for every day or part of a day during which the offence is continued.
3: Every person commits an offence against this Act, and is liable for the following, who provides a false declaration in relation to milk collection data contrary to Schedule 5B
a: a declaration by a court of competent jurisdiction that the person is not eligible for further allocations of export licences for a period determined by the court; and
b: a fine not exceeding $200,000 or a term of imprisonment not exceeding 3 months, or both.
16: Overview
Section 43 subsection (2)
2: Sections 62 to 65A
17: New section 65A inserted
The following section is inserted after section 65
65A: Regulations relating to dairy industry entity other than LIC
1: The Governor-General may, by Order in Council made on the recommendation of the Minister, make regulations for all or any of the purposes set out in sections 62 to 65
2: Regulations may be made under subsection (1)
a: if the core database reverts to the Crown under section 68(2)
b: if provisions of the constitution of LIC are amended or revoked in accordance with section 51
c: if LIC makes an application under section 52(2)
18: Information to be supplied to chief executive
1: Section 66(1) and (3) LIC LIC or any other dairy industry entity nominated by the Crown to manage the core database
2: Section 66 subsection (2)
2: The chief executive may request (in writing) information, statements, or reports from LIC or any other dairy industry entity nominated by the Crown to manage the core database to monitor LIC' s or that other dairy industry entity's compliance with regulations made under section 65
19: Schedule 5 amended
The heading to Schedule 5 Designated markets for initial and interim licences
20: New Schedules 5A, 5B, 5C, and 5D inserted
The Schedules 5A, 5B, 5C, and 5D set out in the Schedule Schedule 5
2: Amendment to Animal Products Act 1999
21: Principal Act amended
This Part amends the Animal Products Act 1999 2007-12-15 Animal Products Act 1999
22: New section 115A inserted
The following section is inserted after section 115
115A: Application of
section 115(1) Dairy Industry Restructuring Act 2001 Section 115(1) Dairy Industry Restructuring Act 2001