Zespri files court case over gold kiwifruit production and sale in China

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Zespri is taking court action against the unauthorised production, sale and marketing of its gold kiwifruit in China.

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Zespri is taking court action against the unauthorised production, sale and marketing of its gold kiwifruit in China.

Zespri has filed a civil case in the Intellectual Property Court in Nanjing, China, against two defendants over the unauthorised production, sale and marketing of its gold kiwifruit.

The kiwifruit exporter and marketer told growers in a newsletter that it filed the case after amendments were made to China’s Seed Law last year, which enabled action to be taken against those selling the Gold3, or SunGold, fruit rather than just those growing it.

“This case represents a significant step in our ongoing efforts to protect the investment made by New Zealand producers in licensed kiwifruit varieties, as well as the interests of our customers and consumers,” Zespri chief executive Dan Mathieson said in the newsletter.

Zespri has been battling the unauthorised trading and growing of its kiwifruit in China for years. It won a High Court case against Opotiki grower Haoyu Gao in 2020 for illegally smuggling gold kiwifruit cuttings to China, and it now estimates there are about 7850 hectares of unauthorised Gold3 plantings in China.

In its case against Gao, Zespri had initially sought $30 million in damages, claiming it had put possibly billions of dollars of future exports at risk and threatened the livelihoods of 2800 orchardists. It was awarded almost $15m, which was later reduced to $12m on appeal.

Kiwifruit is New Zealand’s largest horticulture export, bringing in $2.64 billion in revenue last year, and growers pay thousands of dollars per hectare for a licence to grow the fruit.

Mathieson said plans were underway for an industry advisory council delegation of growers, post-harvest and Zespri representatives to visit China in coming months to observe the unauthorised Gold3 landscape in China from orchard to market.

The Chinese court action is scheduled to start in mid-September, he said.