“allocation period means the quota year or years for which export licences are allocated in accordance with section 26

“competent authority means the department of State that is for the time being responsible for the administration of the Animal Products Act 1999

“eligible participant means a person who—

• “(a) is eligible to hold an export licence; and

• “(b) collects at least 0.1% of total milk solids collected from farmers in New Zealand based on the most representative data of total milk solids collected in New Zealand in the latest year that data is available prior to an allocation period

“general export licence means an export licence allocated under section 26(5)

“holder, in respect of an export licence, means the person recorded in the register of export licence holders kept under section 29B

“interim licence means, in respect of exports to designated markets in—

• “(a) Canada, the licence for the period beginning on the commencement of the Dairy Industry Restructuring Amendment Act 2007 and ending on 31 December 2007 for a quantity of butter not exceeding 2 000 tonnes; and

• “(b) the Dominican Republic, a licence for the period beginning on the commencement of the Dairy Industry Restructuring Amendment Act 2007 and ending on 31 December 2007 for a quantity of milk powder not exceeding 4 800 tonnes; and

• “(c) the European Communities—

  • “(i) as described in section 25(2)(a), a licence for the period beginning on 1 January 2008 and ending on 31 December 2008 for the quantities described in that section; and

  • “(ii) as described in section 25(2)(b), a licence for the period beginning on 1 January 2009 and ending on 31 December 2009 for the quantities described in that section; and

  • “(iii) as described in section 25(2)(c), a licence for the period beginning on 1 January 2010 and ending on 31 December 2010 for the quantities described in that section

“interim period means the period for which an interim licence is valid

“marae includes the area of land on which all buildings such as wharenui (meeting houses), wharekai (dining rooms), ablution blocks, and any other associated buildings are situated

“milksolids means the milk-fat and protein components of raw milk

“Ministry means the department of State that, with the authority of the Prime Minister, is for the time being responsible for the administration of this Act

“person eligible to hold an export licence means a natural person, unincorporated body, or body corporate who is registered to export under Part 5 of the Animal Products Act 1999

“quota year means, for designated markets in—

• “(a) the European Communities, the United States of America, and the Dominican Republic, a period of 12 months beginning on 1 January and ending on 31 December; and

• “(b) Japan, a period of 12 months beginning on 1 April and ending on 31 March in the following year”.

“chief executive means the chief executive of the Ministry.”

“designated market means,—

• “(a) for the initial and interim licences, a market listed in Schedule 5; and

• “(b) for the licences that apply following the initial and interim licences, a market listed in Schedule 5A”.

• “(b) a licence allocated under section 25, 26, or 29”.

• “(3) Sections 26 to 42 contain provisions relating to further export licences, restrictions on dealing with export licences, transferring export licences, enforcement, cost recovery, Ministerial directions on international obligations, and other miscellaneous provisions.”

“23 Restrictions on exports to designated markets

• “(1) A person must not export directly or indirectly to a designated market any dairy product that is described in Schedules 5 and 5A for that market unless he or she—

  • “(a) is the holder of a current export licence; and

  • “(b) exports product in accordance with that licence in respect to the product and market.

  “(2) No export restrictions apply to a designated market listed in Schedule 5 after the expiry of the applicable initial and interim periods unless that designated market is listed in Schedule 5A.”

• “(1) The Board holds the interim licences to export to designated markets in the European Communities for the periods and the reduced amounts specified in subsection (2).”

“25A Export licence conferred on Board by section 24 or 25 must be recorded in register of export licence holders

• “(1) The chief executive must record an export licence conferred on the Board by section 24 or 25 in the register of export licence holders in accordance with section 29B as soon as reasonably practicable after the commencement of the Dairy Industry Restructuring Amendment Act 2007.

  “(2) The Board must supply all necessary information to the chief executive for the purpose of subsection (1).”

“26 Later allocation of export licences

• “(1) The following are vested in or revert to the Crown:

  • “(a) any rights in respect of designated markets that become available as a result of the expiry of the initial period under section 24:

  • “(b) any rights in respect of designated markets in the European Communities listed in Schedule 5A that become available as a result of reductions under section 25:

  • “(c) any quantities that become available as a result of increases in rights in respect of designated markets listed in Schedule 5A after the initial periods, except where the quantities are reallocated in accordance with section 27A(2):

  • “(d) any rights in respect of designated markets listed in Schedule 5A that become available at the expiry of any other allocations.

  “(2) Following the expiry of the initial and interim licences, export licences for the designated markets listed in Schedule 5A must be allocated or reallocated by, or on behalf of, the Crown.

  “(3) The Minister must, in accordance with the rules set out in Schedule 5B, allocate export licences to multiple participants for the designated markets listed in Schedule 5A unless subsection (4) applies.

  “(4) If the Minister is satisfied that an allocation under subsection (3) is not appropriate, having regard to the purpose in section 21(1), the Minister may recommend to the Governor-General that an Order in Council is made to allocate or reallocate export licences under subsection (7).

  “(5) The Minister may allocate a general export licence for trade at the normal tariff (outside the terms of the quota), in respect of a designated market listed in Schedule 5A, that may be used by any person eligible to hold an export licence for any quantity of the product for which the licence applies.

  “(6) Subsection (5) applies subject to section 29A.

  “(7) The Governor-General may, by Order in Council made on the recommendation of the Minister, allocate or reallocate export licences in respect of designated markets listed in Schedule 5A.

  “(8) Before making an allocation under subsection (5), the Minister must—

  • “(a) be satisfied that an allocation is appropriate in the circumstances; and

  • “(b) have regard to the purpose in section 21(1).

  “(9) Subsection (1) does not limit the Minister's power under subsection (3) or (5), or the Governor-General's power under subsection (7), to allocate new licences in respect of those rights or quantities to the Board or new co-op.”

“27A Increases or reductions in rights to export to designated markets after initial period

• “(1) This section applies if, after the initial period, there is an increase or reduction in rights to secure economic benefits from designated markets that are not allocated in an existing export licence.

  “(2) An increase in a right to export to a designated market during the course of an allocation period accrues on a pro rata basis to the registered holders of export licences at the time the increase first becomes available for use.

  “(3) A reduction in a right to export to a designated market during the course of an allocation period applies on a pro rata basis to the registered holders of export licences for that designated market at the time the volumes reduce.

  “(4) In the case of interim licences held by the Board, the allocation period for any licence for a specified quantity is the period for which the licence is valid for that quantity.

  “(5) An accrual under subsection (2) and a reduction under subsection (3) applies only for the remainder of the allocation period.

  “(6) An accrual or reduction referred to in subsection (5) must be recorded in the register of export licence holders that is kept in accordance with section 29B.”

“Transferring export licences

“28A Transferring export licences

• “(1) The Governor-General may, by Order in Council made on the recommendation of the Minister, make regulations for the purpose of governing the transfer of export licences or parts of export licences.

  “(2) Export licences may be transferred only in accordance with regulations made in accordance with subsection (1).

  “(3) The chief executive is responsible for administering the transfer of export licences.

  “(4) Subsection (1) applies subject to section 28.”

“Quota trade completed before trade at normal tariff

“29A Quota trade completed before trade at normal tariff

• “(1) This section applies to trade at the normal tariff (outside the terms of the quota) for the following markets:

  • “(a) prepared edible fat to Japan:

  • “(b) milk powder to the Dominican Republic.

  “(2) For the markets listed in subsection (1), in any quota year, holders of export licences for trade at the normal tariff may not use those export licences until the quota for the market is filled in that quota year.

  “(3) A quota is to be treated as filled when the competent authority has issued export certificates to all licence holders for at least 95% of each export licence holder's quantity of export licences.

  “(4) The competent authority must publicly notify the industry when a quota is filled in accordance with subsection (3).

  “(5) When a quota is filled, the competent authority must, as soon as is reasonably practicable,—

  • “(a) publish a notice in the Gazette ; and

  • “(b) notify the eligible participants in any manner that the competent authority considers effective and appropriate, including electronically.

  “(6) An export licence holder may use the export licence for trade at the normal tariff only for the remainder of the quota year in which publication and notification are made in accordance with subsection (5).

“Maintaining register of licence holders

“29B Register of export licence holders

• “(1) The chief executive must—

  • “(a) keep and maintain a register of export licence holders; and

  • “(b) make the register available to the competent authority; and

  • “(c) on receipt of a written request, allow a holder of an export licence to inspect information on the register that relates to his or her licence.

  “(2) The register must contain the following information:

  • “(a) the full name and address of the export licence holder:

  • “(b) each designated market for which the holder holds an export licence:

  • “(c) the volume of quota rights held in respect of each export licence for each quota year:

  • “(d) the following dates for each export licence:

    • “(i) date of registration:

    • “(ii) date of commencement:

    • “(iii) date of expiry:

  • “(e) the date of transfer, if any, of the export licence or part of the export licence:

  • “(f) the full name and address of the previous holder of the export licence.

  “(3) If a person holds more than 1 export licence for a designated market for the same quota year, each export licence must be registered separately.

  “(4) This section does not apply to general export licences allocated under section 26(5).

“Powers of chief executive

“29C Power to authorise persons

• The chief executive may only authorise a person to exercise a power under sections 29E to 29L if that person has appropriate training, experience, or qualifications in the exercise of that power.

“29D Power to require assistance

• The chief executive, or a person authorised by the chief executive, may call on any person for assistance in the exercise of any or all of the powers under sections 29E to 29L.

“29E Power of entry without search warrant

• “(1) For the purpose of determining and monitoring compliance with the rules set out in Schedule 5B, the chief executive, or a person authorised by the chief executive, may during business hours enter any place (other than a dwellinghouse or marae) without a search warrant.

  “(2) Before entering any place under subsection (1), the chief executive or person authorised by the chief executive must—

  • “(a) give the owner or occupier reasonable notice of his or her intention to enter the place, unless to do so would defeat the purpose of the entry; and

  • “(b) if notice under paragraph (a) is not or cannot be given, leave in a prominent location at the place a written statement of—

    • “(i) the time and date of the entry; and

    • “(ii) the purpose of the entry; and

    • “(iii) the name of the person; and

    • “(iv) the address of the office to which inquiries should be made.

  “(3) A person who exercises any power under this section must produce his or her evidence of authorisation—

  • “(a) on first entering the place; and

  • “(b) subsequently whenever reasonably required to do so by a person appearing to have charge of the place or any part of the place.

“29F Power to examine, etc

• For the purpose of determining and monitoring compliance with the rules set out in Schedule 5B, the chief executive, or a person authorised by the chief executive, may, at any place entered in accordance with section 29E,—

  • “(a) examine all things, and open containers, packages, and other things to inspect their contents:

  • “(b) examine, inquire about, and copy any documents or other records (including records held in electronic or other form) and may—

    • “(i) remove documents or records to another place for a reasonable time for the purpose of copying them, or require the person having control of the documents or other records to forward them or a copy of them to the officer by way of post, courier post, fax, or other means acceptable to the chief executive or authorised person; and

    • “(ii) require a person who has control of or knowledge of the documents or records to reproduce or assist in reproducing in usable form information recorded or stored in a computer or other device or system; and

    • “(iii) direct the occupier to identify and hold any equipment, package, container, or document until any lawful direction of the chief executive, or a person authorised by the chief executive, has been complied with; and

    • “(iv) take photographs of any container, package, equipment, or thing.

“29G Power to require information

• “(1) For the purpose of determining and monitoring compliance with the rules set out in Schedule 5B, the chief executive, or a person authorised by the chief executive, may require an eligible participant or an employee or agent of an eligible participant to provide any relevant information or documents or answer any relevant questions.

  “(2) Any information, documents, or answers required under subsection (1) must be provided within a reasonable time to a person or place as directed by the chief executive, or a person authorised by the chief executive.

  “(3) An eligible participant or an employee or agent of an eligible participant may not refuse to answer a question under subsection (1) on the ground that the answer would be likely to incriminate the eligible participant.

  “(4) An incriminating answer under this section—

  • “(a) may be used in civil or criminal proceedings against the eligible participant if it is a body corporate; but

  • “(b) may not be used in civil or criminal proceedings against the employee or agent of the eligible participant who gave the incriminating answer.

“29H Power to audit milk collection data

• “(1) For the purpose of determining and monitoring compliance with the rules set out in Schedule 5B, the chief executive, or a person authorised by the chief executive, may audit the milk collection data received from an eligible participant.

  “(2) Participants must be notified of the possibility of an audit on a cost-recovery basis at the time of an application for an export licence.

  “(3) Participants may be charged a fee for an audit carried out under subsection (1).

“Search warrants

“29I Issue of search warrant

• “(1) A District Court Judge, Community Magistrate, Justice of the Peace, or Registrar may issue a search warrant in the form set out in Schedule 5D in respect of any place if satisfied, on application in writing made on oath, that there are reasonable grounds for believing that there is at that place any thing—

  • “(a) in respect of which an offence under section 31(3) has been or is being committed; or

  • “(b) that has been, is being, or is intended to be used by any person for the commission of an offence under section 31(3); or

  • “(c) that is evidence of the commission of an offence under section 31(3) by any person.

  “(2) The District Court Judge, Community Magistrate, Justice of the Peace, or Registrar may impose any reasonable conditions on the warrant that he or she thinks fit.

  “(3) A search warrant must be directed to a member of the police by name or to every member of the police or to the chief executive or to a person authorised by the chief executive by name, but, in any of these cases, the warrant may be executed by any member of the police.

“29J Entry and search powers when executing warrant

• “(1) The chief executive or authorised person who executes the warrant may use any force that is reasonable to—

  • “(a) enter an area that is to be searched; or

  • “(b) break open or access an item that is to be seized.

  “(2) The chief executive, or person authorised by the chief executive, who executes a search warrant may seize any item that—

  • “(a) he or she has reasonable grounds to believe is evidence of an offence under this Act; or

  • “(b) is found while he or she is lawfully—

    • “(i) exercising a search power; or

    • “(ii) in the place in which the item is found.

  “(3) Subsection (2)(b) applies even if the seizure of the item is not authorised by the search warrant.

  “(4) If it is not reasonably practicable to determine whether an item may be seized in accordance with a search warrant, the chief executive or authorised person may remove the item for the purpose of examination or processing to determine whether it may be seized.

“29K Requirements when executing warrant

• “(1) The chief executive, or a person authorised by the chief executive, who executes a search warrant must carry the warrant with him or her, and produce it for inspection, along with evidence of his or her identity,—

  • “(a) on first entering the place specified in the warrant, to the person appearing to be in charge of the place; and

  • “(b) whenever subsequently required to do so, at the place specified in the warrant, by any other person appearing to be in charge of the place or any part of the place.

  “(2) If the occupier of the place is not present at the time the search warrant is executed, the chief executive or authorised person must leave in a prominent location at the place a written statement of the time and date of the search, a copy of the search warrant, the name of the chief executive or authorised person, and the address to which inquiries may be made.

  “(3) If anything is seized in the execution of a search warrant, the chief executive or authorised person executing the search warrant must leave in a prominent location at the place, or deliver or send by registered mail to the occupier within 10 working days after the search, or a later date if an extension is approved by a District Court Judge, a written inventory of all things seized.

  “(4) The chief executive or authorised person may make an application, at the time of making an application for a search warrant, for a waiver from subsections (2) and (3) if he or she believes that there are reasonable grounds for believing that compliance with those subsections would unduly prejudice any ongoing or subsequent investigations or endanger the safety of any person.

  “(5) A waiver under subsection (4) may only be issued for a specified period up to 12 months.

  “(6) The chief executive or authorised person who executed the search warrant must provide information to persons from whom items have been seized regarding—

  • “(a) access to and the disposition of the seized items; and

  • “(b) the right, under the Official Information Act 1982, to access documentation relating to the application for a search warrant and the exercise of a search power.

  “(7) The chief executive or authorised person who is exercising a power of entry in relation to a marae, or a building associated with a marae, must have regard to the kawa of the marae so far as is practicable in the circumstances.

“29L Disposal of property seized under search warrant

• Section 199 of the Summary Proceedings Act 1957 applies to any property seized by a member of the police under a search warrant and, with any necessary modifications, to property seized under a search warrant by the chief executive, or a person authorised by the chief executive, subject to the following provisions:

  • “(a) where a member of the police seized the item in question, it may be retained by the Commissioner of Police pending the trial of the person for the offence in respect of which the item was seized:

  • “(b) where the chief executive, or a person authorised by the chief executive, seized the item in question, it may be retained by the chief executive pending the trial of the person for the offence in respect of which the item was seized:

  • “(c) the item in question must be returned to the person from whom it was seized—

    • “(i) if no proceedings are taken in respect of an offence to which the item relates within 6 months after its seizure; or

    • “(ii) if proceedings are completed in respect of such an offence and no order of forfeiture is made in respect of the item:

  • “(d) if any person is convicted of an offence to which the item relates, the Court may, if it thinks fit, order that the item be forfeited to the Crown or disposed of as the Court directs at the expense of the convicted person, and may order that the person pay any reasonable costs incurred by the Commissioner of Police or the chief executive in retaining the item.”

• “(2) Every person commits an offence against this Act, and is liable on summary conviction to the following fines, who does not provide the information or document required under section 29G:

  • “(a) a fine not exceeding $200,000; and

  • “(b) a further fine not exceeding $10,000 for every day or part of a day during which the offence is continued.

• “(3) Every person commits an offence against this Act, and is liable for the following, who provides a false declaration in relation to milk collection data contrary to Schedule 5B:

  • “(a) a declaration by a court of competent jurisdiction that the person is not eligible for further allocations of export licences for a period determined by the court; and

  • “(b) a fine not exceeding $200,000 or a term of imprisonment not exceeding 3 months, or both.”

• “(2) Sections 62 to 65A contain regulation-making powers relating to herd testing, the provision of information to the core database, access to the core database, disclosure of information by LIC, and regulations relating to a dairy industry entity other than LIC.”

“65A Regulations relating to dairy industry entity other than LIC

• “(1) The Governor-General may, by Order in Council made on the recommendation of the Minister, make regulations for all or any of the purposes set out in sections 62 to 65 in respect of any dairy industry entity, other than LIC, nominated by the Crown to manage the core database.

  “(2) Regulations may be made under subsection (1) only—

  • “(a) if the core database reverts to the Crown under section 68(2); or

  • “(b) if provisions of the constitution of LIC are amended or revoked in accordance with section 51; or

  • “(c) if LIC makes an application under section 52(2).”

• “(2) The chief executive may request (in writing) information, statements, or reports from LIC or any other dairy industry entity nominated by the Crown to manage the core database to monitor LIC' s or that other dairy industry entity's compliance with regulations made under section 65.”

“115A Application of section 115(1) to assurances in respect of export licences issued under Dairy Industry Restructuring Act 2001

• Section 115(1) does not apply to assurances given in respect of export licences issued under the Dairy Industry Restructuring Act 2001 until the financial year beginning 1 July 2010.”