Stunning prices are being paid for gold kiwifruit licences this year.
There were 350 hectares for gold kiwifruit up for grabs this year. Photo: LDR / Gisborne Herald
Each year, Zespri releases licences to grow the fruit, which growers then bid for.
This year, 350 hectares for gold kiwifruit were up for grabs - half of what was offered last year.
Zespri said the reduction is due to higher-than-expected yields on existing orchards and the need to maintain the balance between supply and demand to protect grower returns.
The median price of SunGold Kiwifruit licence reached $801,000 per hectare up from $550,000 last year but the minimum price dropped down from $525,000 per hectre in 2021 to $451,950 this year.
Meanwhile 350 hectares of RubyRed kiwifruit licences were also released - the median price was $147,000 per hectare up from almost $75,000 last year.
The minimum price dropped from $58,000 in 2021 to $44,217 a hectare this year.
Both Zespri SunGold and RubyRed Kiwifruit licence pools were undersubscribed, with 324ha of SunGold and 280ha of RubyRed Kiwifruit license allocated in 2022.
The company said it was going to review the licensing process.
"Balancing supply and demand remains critical to growing the value we are able to bring back from the market for our fruit, and this will remain Zespri's focus as we undertake a review of the licence release programme, including consulting with growers over the coming months with workshops with growers underway already," Zespri said in an update to growers.
"We want to develop a process that's fit for purpose, helps us grow market demand ahead of supply, and that addresses the feedback from growers around the challenges of accessing licence to ensure equal opportunity for all growers."