This note is not part of the order, but is intended to indicate its general effect.
This order, which comes into force on 1 April 2005, imposes a levy on grape wine and the grape wine component of grape wine products. However, no levy is imposed in relation to sales of grape wine or grape wine products between wineries in New Zealand.
Levies are payable to the Wine Institute of New Zealand Incorporated by wineries that sell grape wine or grape wine products. Levies are payable quarterly.
The levy is calculated by reference to the amount, in litres, of grape wine (including the grape wine component of grape wine products) sold. A minimum levy payment is also specified.
This order makes provision for how the levy money is used by the Institute, and requires the Institute to consult with wineries before determining how to spend the levy money.
Records relating to the levy must be kept by both the wineries and the Institute. Limits are placed on how the Institute may use the information that comes into its possession during the process of collecting the levy.
Provision is made for mediation of disputes, with a right of appeal to a District Court.