A new Arable Industry Code of Conduct will give New Zealand’s arable sector a clearer, more consistent way of doing business — helping strengthen relationships and confidence across the industry.
New Code of Conduct Brings Clarity to New Zealand’s Arable Sector
A new Arable Industry Code of Conduct will give New Zealand’s arable sector a clearer, more consistent way of doing business — helping strengthen relationships and confidence across the industry.
Developed by the Arable Food Industry Council (AFIC), the voluntary Code will take effect from 1 January next year. It sets out agreed standards for how growers, merchants, and processors work together, covering everything from crop insurance to storage arrangements.
AFIC Chair Brian Leadley says the council has been working to reach agreed expectations about conduct. He says is he’s pleased AFIC took up the challenge to work through topics that affect all parts of the industry. “The Code is a positive and practical step forward and I’m excited about the improvements to come”.
AFIC is an industry council that is gaining recognition as a body that can speak for the arable industry as a whole. The council has broad membership from 11 leading industry organisations representing interests across the arable sector. It’s members represent farmers, seed companies and merchants, suppliers of chemical inputs for arable production, breeders and researchers, and end users such as feed manufacturers, flour millers and industry auditors.
Leadley says developing the Code was a collaborative process that reflected the sector’s shared commitment to continuous improvement and captures best practice.
“Given the sometimes-competing interests across the arable supply chain, the code development has been a fantastic outcome. With AFIC having such a broad coverage across all aspects of the arable industry, all participants in the industry can have confidence that the Code of Conduct is truly representative of industry best practice and expectations.”
“There were some good discussions along the way, and that’s a sign of a healthy industry,” he says.
“Everyone wanted a document that was practical, balanced and future-focused.”
“The arable industry has always relied on strong relationships and shared understanding,” Leadley says.
The code also highlights the roles that seed schemes, such as the seed certification system and the seed crop isolation distance (SCID) play in ensuring that the high quality seeds that our industry produces are maintained.
“By putting those expectations into writing, we’re creating a more consistent framework that supports fairness and transparency for everyone involved.” Leadley says this will be an especially important support document for any newcomers to the arable industry. “The arable industry is long established and mature but inevitably there are new farmers and companies entering the industry we want to ensure they are aware of the industry best practices”.
The Code outlines clear expectations around crop insurance responsibilities, helping reduce confusion over who covers what and when. It also standardises storage fee increments from 1 April each year and encourages early communication when challenges arise.
One of the key parts of the code is good communications. When an issue becomes apparent, the early communication between both parties allows for all the solutions to be accessed, often leading to a good outcome.
“It’s about having clear, common-sense guidelines that help people work through issues early and maintain good relationships,” Leadley says.
The Code is voluntary and the Commerce Commission has reviewed it to ensure it aligns with competition law and supports fair practice.
Tailored specifically to New Zealand’s arable systems, the Code will be reviewed annually by AFIC to ensure it remains relevant.
“This is a home-grown solution designed for our industry,” Leadley says.
“It reflects the cooperative spirit of New Zealand’s arable sector and sets us up well for the future.”