A claim against the Government by kiwifruit growers for hundreds of millions dollars over the Psa virus that ripped through much of the Bay of Plenty is expected to be lodged at the High Court at Wellington today, legal sources said.
The claim is a class action alleging negligence by the then Biosecurity NZ, centring on a shipment of material Biosecurity NZ allowed into New Zealand in June 2009, which claimants said was the source of the Psa incursion.
Growers pay a one-off capped contribution of $500, $1000 or $1500, depending on the size of their orchard and post-harvest operators pay a one-off fee of $10,000. The litigation is being supported by litigation funder LPF Group.
Zespri, the single desk marketer and the grower organisation, New Zealand Kiwifruit Growers Inc, do not support the claim.
The kiwifruit industry is back on a strong footing and a growth spurt is likely after the Psa disease first struck in 2010.
Zespri chief executive Lain Jager said in September kiwifruit exports were set to increase dramatically as the recovery from Psa continues.
The industry is still recovering from the serious blow from Psa, which hit gold cultivar Hort16A hard, mostly in the Bay of Plenty. A successful, Psa-tolerant cultivar Gold3, has since been widely adopted, but many growers are still feeling Psa's after-effects.
The Bay of Plenty Times reported last month that 30 per cent of "gold" kiwifruit growers by volume had pledged to participate in the claim.
Seven per cent of "green" growers - who were not as badly affected by Psa - had also signed up, as had the post-harvest operator, NZX-listed Seeka Kiwifruit Industries, the paper said.
By Jamie Gray, NZME. News Service business reporter
