HEA's Functions

HEA’s functions are defined by the Act and include:

Working with Product Groups in the development of their Export Marketing Strategy (EMS)
Approving and enforcing EMS requirements
Export licensing
Monitoring & enforcement of licence holders
Trade access advocate for horticulture
Lobbying government on relevant issues

Using the EMS a Product Group can:

Set minimum quality standards & have a mechanism for enforcement
Put in place enforceable biosecurity management or food safety programmes (e.g. pest surveillance or residue testing programmes)
Bring structure and co-ordination to the industry
Generate funding for R&D or generic promotion purposes
Collect industry information to assist planning and development
Push the boundaries based on the needs of the sector

Export licensing

Export licences – currently 81 licences held by 58 exporters across 10 product groups (30 September 2021).
Operated by HEA in conjunction with NZ Customs – from 1 March 2004 all Customs export entries were/are raised electronically and require a valid HEA license number to be accepted by the CEDO (Customs electronic delivery order) application system. This is the stop/go mechanism – i.e. no CEDO, no export.
Exports confirmed by NZ Customs in monthly report to HEA listing each shipment

Enforcement (disciplinary process)

The HEA Act requires licensed exporters to comply with the conditions of the license and s 39 provides for revoking, suspending or cancelling of licenses. The process is outlined in the Act and is handled by the Board.

HEA role in Trade Policy

Section 6 of HEA Act– “liaise with sector stakeholder groups on matters relating to trade barriers and their removal”

Trade barriers (e.g. tariffs, quotas, phytosanitary requirements) are widespread in markets for NZ horticultural products. HEA has a seat on the Plants Market Access Council (PMAC).
Multi-lateral mechanism: Doha WTO Round
Bi-lateral mechanisms, Free Trade Agreements (e.g. Thailand, China, Malaysia, ASEAN)

In July 2005 HEA in conjunction with Horticulture NZ released a comprehensive report on tariff and non tariff trade barriers facing NZs horticulture exports. The report is updated every 2 years. The report provides government officials with information on the horticulture industries and barriers to trade in key markets. Government does not have teams of people focused specifically on horticulture and the problems we face in world markets – it is the industry’s job to bring these to the attention of MFAT and MPI and work with government to find solutions.

Government is also engaged in a number of free trade agreement (FTA) negotiations which allow us to target specific tariffs and phytosanitary issues with these countries. Currently underway (2022) are discussions with ASEAN (Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand and Vietnam) and the six indo-Pacific states with which ASEAN has existing free trade agreements (China, Japan, South Korea, India, Australia and New Zealand). Also underway is a European Union/ New Zealand FTA. An India/New Zealand FTA is under negotiation. Also a New Zealand/Pacific Alliance FTA (with Chile, Colombia, Mexico and Peru.) WTO (World Trade Organisation) e-commerce negotiations are also underway.

HEA role in Lobbying

Active lobbying on legislative/political issues that impact on exporting.

The following is a list of policies the HEA has made submissions on:

Introduction of charges on Customs Services in 2004 – together with other primary sectors pushed Government to increase funding by $8m.
Bioterrorism Act (USA) – sent submissions to US government directly and worked with NZ government (2004).
Promoted Horticulture position to NZ Government agencies on Food Miles debate (in 2009) and subsequent sustainability issues.
Submission to MFAT on India/NZ FTA in 2009.
Submission & presentation to Parliamentary Select Committee on the Food Bill in 2010.
Advanced the case for market access advancement for horticulture Product Groups in the Plant Market Access Council (PMAC forum). (This is ongoing.)
Lobbied government for a review of the HEA Act to modernise it to be fit for purpose for the future development of the horticulture sector from 2012 - the HEA Act was amended in December 2016.
Discussion paper to MPI on Cost Recovery Framework, 2016.
Submission on TPP (Trans Pacific Partnership) to Foreign Affairs, Defence & Trade Select Committee, 2016.
Submissions on EU/NZ FTA in 2016 and 2018.
Submission to UK Parliament's International Trade Committee on NZ/UK future trade relationship, 2018.
Submission on CPTPP (Comprehensive Progressive Trans Pacific Partnership) to Foreign Affairs, Defence & Trade Select Committee, 2018.
Submission to MFAT on Trade for All, 2018.
Submission to MFAT on E-commerce rules, 2018.
Submission to MPI on Official Assurance Programmes, 2018.
Submission to MFAT on E-commerce trade rules, 2019.
Submission to Summerfruit NZ reviewer, 2020.
Submission on the Maintaining International Air Connectivity Scheme, 2021.