Commodity Levies (Apples and Pears) Order 2024
Some amendments have not yet been incorporated. View upcoming amendments here
This order is revoked at the close of 31 December 2025, unless earlier confirmed by an Act of Parliament. Explanatory note updated on 18 November 2024.
2024/233
Commodity Levies (Apples and Pears) Order 2024
Cindy Kiro, Governor-General
Order in Council
At Wellington this 11th day of November 2024
Present:
Her Excellency the Governor-General in Council
This order is made under section 4 of the Commodity Levies Act 1990—
(a)
on the advice and with the consent of the Executive Council; and
(b)
on the recommendation of the Minister of Agriculture given in accordance with sections 5 and 6 of that Act.
Contents
Order
1 Title
This order is the Commodity Levies (Apples and Pears) Order 2024.
2 Commencement
This order comes into force on 17 January 2025.
3 Interpretation
In this order, unless the context otherwise requires,—
Act means the Commodity Levies Act 1990
apple means any fruit of any species of the genus Malus, and any variety of those species
collection agent means a person whose business is or includes—
(a)
buying apples or pears from a grower for resale or export; or
(b)
selling or exporting apples or pears on behalf of a grower
grower means the occupier of land—
(a)
that is used in any levy year for growing apples or pears; and
(b)
from which there was harvested at least 1,000 kilograms of apples or pears (or a combination of apples and pears) during the 12 months immediately before the commencement of that levy year
GST means goods and services tax payable under the Goods and Services Tax Act 1985
levy means the levy imposed by clause 4
levy money means the money paid under this order as a levy
levy year means,—
(a)
for the first levy year, the period starting on 17 January 2025 and ending on 31 October 2025; and
(b)
for each subsequent levy year, the period of 12 months that begins on 1 November and ends on 31 October
mediator means a person appointed under clause 23 to resolve a dispute
NZAPI means the industry organisation known on the commencement of this order as New Zealand Apples and Pears Incorporated
occupier means—
(a)
a person who has the right to occupy land under a tenancy granted for a term of 12 months or more; or
(b)
if paragraph (a) does not apply, the owner of the land
pear means any fruit of any species of the genus Pyrus.
4 Levy imposed
(1)
A levy is imposed on all apples and pears grown in New Zealand by growers and—
(a)
sold for consumption as whole fresh fruit; or
(b)
sold for resale as whole fresh fruit; or
(c)
exported as whole fresh fruit.
(2)
The levy is payable to NZAPI.
Payment of levy
5 Growers primarily responsible for paying levy
The grower of apples or pears is primarily responsible for paying the levy on that fruit.
6 Responsibility of collection agents to pay levy
(1)
Despite clause 5, a collection agent must pay the levy on any apples or pears that the collection agent—
(a)
buys from a grower (other than through another collection agent); or
(b)
sells on a grower’s behalf; or
(c)
exports on a grower’s behalf.
(2)
A collection agent who has paid the levy in accordance with this clause may recover from the grower the total amount of—
(a)
the levy; and
(b)
any GST paid on the levy.
(3)
The collection agent may recover the total amount—
(a)
by deducting it from any amount the collection agent owes the grower; or
(b)
as a debt due to the collection agent from the grower.
(4)
A collection agent who pays the levy may deduct from the payment a collection fee of—
(a)
not more than 4% of the amount of the levy (exclusive of GST); and
(b)
any GST payable on the fee.
Rate of levy
7 Levy to be fixed at single rate
A single rate of levy must be fixed for all apples and pears.
8 Basis of calculation of levy
The levy on apples and pears payable in a levy year must be calculated on the basis of the number of kilograms of fruit sold or exported in that year.
9 Maximum levy rate
The maximum levy rate is 1.5 cents per kilogram of apples or pears (exclusive of GST).
10 Fixing of levy rate
(1)
The levy rate for the first levy year is 1.15 cents per kilogram of apples or pears (exclusive of GST).
(2)
NZAPI must fix the levy rate for each subsequent levy year—
(a)
at an annual general meeting; or
(b)
at a special general meeting called for that purpose.
(3)
Growers are entitled to—
(a)
attend the meeting; and
(b)
vote on the levy rate.
11 Previous rate to apply
If NZAPI does not fix the levy rate before the start of a levy year, the levy rate for that year is the rate last fixed under clause 10.
12 Notification of levy rate
(1)
NZAPI must notify a levy rate and the year to which it applies in NZAPI Weekly Update as soon as practicable after fixing the rate.
(2)
If NZAPI Weekly Update ceases to be distributed, NZAPI must notify the levy rate—
(a)
in any publication that replaces NZAPI Weekly Update; or
(b)
if no publication replaces NZAPI Weekly Update, by publishing a notice on NZAPI’s internet site.
Time for payment of levy
13 When levy payable
(1)
The due date for payment of any levy is,—
(a)
for apples or pears sold in New Zealand by or on behalf of a grower, the date of sale:
(b)
for apples or pears exported by or on behalf of a grower, the earlier of—
(i)
the date of sale; and
(ii)
the date on which the fruit is loaded on an international carrier for export.
(2)
However, the due date for payment of any levy is,—
(a)
for apples or pears sold by a grower to a collection agent who resells the fruit in New Zealand, the date of sale by the collection agent:
(b)
for apples or pears sold by a grower to a collection agent who exports the fruit, the earlier of the following:
(i)
the date of sale by the collection agent:
(ii)
the date on which the fruit is loaded on an international carrier for export.
(3)
The last date for payment of the levy is 60 days after the due date for payment.
14 Additional levy payable if levy not paid in time
(1)
If any amount of the levy has not been paid by the close of the last day for payment (the original amount), the following amounts of additional levy must also be paid:
(a)
5% of the original amount; and
(b)
for each full subsequent calendar month in which the levy remains unpaid, an additional 2% on any part of the original unpaid amount that remains unpaid at the end of that month.
(2)
Any additional levy imposed by subclause (1) that remains unpaid is not itself subject to subclause (1).
Expenditure of levy money by NZAPI
15 Levy money must be spent by NZAPI or subsidiary
NZAPI, or any subsidiary of NZAPI, must—
(a)
spend all levy money paid to NZAPI; and
(b)
invest all levy money until it is spent.
16 Purposes for which levy money may be spent
(1)
NZAPI, or any subsidiary of NZAPI, may spend levy money for the following purposes relating to apples, pears, or growers:
(a)
research and development:
(b)
development, protection, and maintenance of market access, including crop protection and supporting growers to meet importing country requirements:
(c)
workforce attraction and development, including education, training, and maintaining industry access to labour mobility schemes:
(d)
biosecurity activities, including activities to support protection from risks and the industry’s response to and recovery from biosecurity issues:
(e)
advocacy activities:
(f)
industry representation:
(g)
communications, including extension services such as the transfer of technical information for the benefit of the industry:
(h)
support for environmental management, including research and promoting sustainable resource use:
(i)
NZAPI management, governance, and administration activities, including project management to enable and support the delivery of the activities listed in paragraphs (a) to (h).
(2)
See section 10(1) of the Act, which prohibits the use of levy money for commercial or trading purposes.
17 Consultation on spending levy money
(1)
NZAPI must consult growers on how it proposes to spend levy money—
(a)
at its annual general meeting; or
(b)
at any special general meeting called for that purpose.
(2)
NZAPI must—
(a)
give growers adequate notice of an annual general meeting or a special general meeting at which the spending of levy money is to be discussed; and
(b)
allow growers at the meeting to speak on all matters relating to the spending of levy money.
Information and record-keeping requirements
18 Confidentiality of information
(1)
No officer, employee, or agent of NZAPI may disclose any information obtained—
(a)
under or because of this order; or
(b)
under the Act in relation to this order.
(2)
Subclause (1) does not prevent the disclosure of information—
(a)
to another officer, employee, or agent of NZAPI; or
(b)
with the consent of the person who provided the information, and of every identifiable person to whom it relates; or
(c)
if the information is in a form that does not identify any person,—
(i)
for statistical or research purposes; or
(ii)
for the purpose of communicating with growers; or
(d)
if the disclosure is required by law.
(3)
Subclause (1) does not affect or prevent the disclosure of information for the purposes of—
(a)
enforcing this order, including collection of the levy; or
(b)
complying with section 17 or 25 of the Act; or
(c)
giving evidence in any legal proceedings taken under or in relation to this order.
19 Returns to be provided to NZAPI
(1)
NZAPI may request, in writing, from the following persons any information that NZAPI reasonably requires to determine the amount of any levy payable:
(a)
a grower:
(b)
a collection agent:
(c)
a person who exports apples or pears from New Zealand.
(2)
The information must be provided to NZAPI in writing as soon as is reasonably practicable, but no later than 30 days, after the request is received.
20 Records
(1)
A grower must, for every levy year, keep records of—
(a)
all matters that the grower provides information about under clause 19; and
(b)
each amount of levy that the grower pays to NZAPI, and the date of payment; and
(c)
the number of kilograms of apples or pears to which the levy under clause 4 applies that the grower—
(i)
sells for consumption or resale in New Zealand:
(ii)
exports or sells for export.
(2)
A collection agent must, for every levy year, keep records of—
(a)
all matters that the collection agent provides information about under clause 19; and
(b)
each amount of levy that the collection agent pays to NZAPI, and the date of payment; and
(c)
the number of kilograms of apples or pears to which the levy under clause 4 applies that the collection agent—
(i)
buys from each grower to resell for consumption or further resale in New Zealand:
(ii)
resells for consumption or further resale in New Zealand (after purchase from each grower):
(iii)
buys from each grower to export or to resell for export:
(iv)
exports or resells for export (after purchase from each grower):
(v)
sells on behalf of each grower for consumption or resale in New Zealand:
(vi)
exports on behalf of each grower, or sells on behalf of each grower for export; and
(d)
the full name and contact details of each grower referred to in paragraph (c).
(3)
A grower or collection agent must record weights separately for each type of transaction specified in subclauses (1)(c) and (2)(c), and must record separately the weights for apples and for pears.
(4)
A grower or collection agent must retain the records for at least 7 years after the end of the levy year to which the records relate.
(5)
NZAPI must, for every levy year, keep records of—
(a)
each amount of levy money paid to it and, in relation to each amount,—
(i)
the date on which it was received; and
(ii)
the person who paid it; and
(b)
how and when NZAPI, or any subsidiary of NZAPI, invested levy money; and
(c)
how and when NZAPI, or any subsidiary of NZAPI, spent levy money.
(6)
NZAPI must retain its records for at least 7 years after the end of the levy year to which the records relate.
(7)
This clause does not require any person to keep a nil record.
Miscellaneous
21 Conscientious objectors
(1)
A grower or collection agent who objects on conscientious or religious grounds to paying an amount of levy in the manner provided for in this order may pay the amount to the Director-General of the Ministry for Primary Industries.
(2)
The Director-General must pay the amount to NZAPI.
22 Remuneration of persons conducting compliance audits
A person appointed as an auditor under section 15 of the Act is to be remunerated by NZAPI at a rate determined by the Minister of Agriculture after consultation with NZAPI.
Dispute resolution
23 Mediation of disputes
(1)
This clause applies to any dispute about—
(a)
whether a person is required to pay a levy; or
(b)
the amount of levy payable.
(2)
A party to the dispute may ask the President of the Arbitrators and Mediators Institute of New Zealand Incorporated to appoint a person to resolve the dispute by mediation, in which case the provisions in the Schedule apply.
Schedule Mediation of disputes
1 Appointment of mediators
(1)
If asked by a party to a dispute under clause 23(2) of this order, the President of the Arbitrators and Mediators Institute of New Zealand Incorporated (or a person authorised by the President) may appoint a person to resolve the dispute by mediation.
(2)
The mediator’s appointment ends if—
(a)
the parties to the dispute resolve it by agreement; or
(b)
the mediator resolves the dispute under clause 7 of this schedule.
2 Remuneration of mediators
(1)
A mediator is to be paid remuneration (by way of fees and allowances) as agreed by the parties to the dispute.
(2)
If the parties to the dispute cannot agree on the mediator’s remuneration, the President of the Arbitrators and Mediators Institute of New Zealand Incorporated (or a person authorised by the President) must—
(a)
fix an amount or several amounts to be paid to the mediator as remuneration; and
(b)
specify the amount (if any) that each party must pay.
(3)
Each party must pay to the mediator any amount fixed by the President (or authorised person) and specified as an amount to be paid by that party.
3 Conference to resolve dispute
(1)
A mediator may organise and preside at 1 or more conferences between the parties to a dispute to resolve the dispute.
(2)
Every conference is to be held on a day, and at a time and place, fixed by the mediator and notified in writing to the parties.
4 Attendance at conferences
(1)
Only the mediator and the parties to a dispute may attend a conference, unless subclause (2) applies.
(2)
A mediator may allow a representative of any party to a dispute to attend a conference if the mediator is satisfied that it is appropriate to do so in all the circumstances.
5 Right to be heard
The following persons may be heard at a conference:
(a)
every party to the dispute; and
(b)
every representative of a party allowed by the mediator to attend the conference.
6 Evidence
(1)
A mediator may hear and take into account any relevant evidence or information, whether or not it would be admissible in a court of law.
(2)
A mediator may, on their own initiative, seek and receive any evidence, and make any investigations and inquiries, that they think desirable to resolve a dispute.
(3)
A mediator may require any person giving evidence at a conference to verify the evidence by statutory declaration.
7 Mediator may resolve dispute in certain cases
(1)
A mediator may resolve a dispute for the parties if—
(a)
the dispute is not resolved at a conference by agreement; or
(b)
the mediator believes that the parties are unlikely to resolve the dispute, whether or not the parties confer directly.
(2)
A mediator who resolves a dispute under subclause (1) must give each of the parties written notice of the mediator’s decision and the reasons for the decision.
(3)
The parties must comply with the mediator’s decision.
8 Costs of mediation
Each party to a dispute must pay its own costs in relation to the mediation.
9 Appeal to District Court
(1)
A party to a dispute who is dissatisfied with the decision made by a mediator under clause 7 of this schedule may appeal to the District Court against the decision.
(2)
The appeal must be brought by filing a notice of appeal—
(a)
within 28 days after the decision is made; or
(b)
within any longer time frame that a District Court Judge allows.
(3)
The Registrar of the court must—
(a)
fix the time and place for the hearing of the appeal; and
(b)
notify the time and place to the appellant and the other parties to the dispute; and
(c)
serve a copy of the notice of appeal on every other party to the dispute.
(4)
Every party to the dispute may appear and be heard at the hearing of the appeal.
(5)
The District Court may confirm, vary, or reverse the mediator’s decision.
(6)
The filing of a notice of appeal does not operate as a stay of any process for the enforcement of the mediator’s decision.
Rachel Hayward,
Clerk of the Executive Council.
Explanatory note
This note is not part of the order but is intended to indicate its general effect.
This order, which comes into force on 17 January 2025, imposes a levy on apples and pears grown in New Zealand. The levy is payable to New Zealand Apples and Pears Incorporated.
Although apple and pear growers are primarily responsible for paying the levy, it is also payable by collection agents who buy fruit from a grower. Collection agents may deduct the amount of the levy from the purchase price of fruit or recover the amount as a debt from growers.
Before this order, a levy was imposed on apples and pears by the Commodity Levies (Apples and Pears) Order 2018. That order is automatically revoked on 16 January 2025 (see section 13 of the Commodity Levies Act 1990). This order replaces that order. The revocation does not affect amounts of levy money that became payable under that order before it was revoked.
This order must be confirmed by an Act before the close of 31 December 2025. If it is not confirmed, it will be revoked on the close of that date. See subpart 3 of Part 5 of the Legislation Act 2019. If the order is confirmed, it will be revoked at the close of 16 January 2031, unless it is earlier revoked or extended under section 13(2) of the Commodity Levies Act 1990.
Date of notification in Gazette: 14 November 2024.
This order is administered by the Ministry for Primary Industries.
Amendments not yet incorporated
The most recent version of this secondary legislation does not yet have amendments incorporated from: