Cherri Global, one of New Zealand’s largest cherry producers, has entered liquidation after struggling to raise capital and pay its debts. The liquidation was confirmed on March 8 through a special resolution by the shareholders. Creditors have until April 8 to submit their claims to the appointed liquidator, PwC New Zealand.

The founder of the company, Phil Alison, established Cherri Global in 2017 after selling his shares in Rockit Global, formerly Havelock North Fruit Company. By 2021, Cherri Global had developed 10 cherry orchards in Hawke’s Bay and Central Otago, covering a total of 165 hectares. That same year, the company raised NZD 15 million (USD 8.58 million) with the intention of doubling its operations. The company’s export brands, Cherri and Delicious, primarily target markets in China and Vietnam.

For several months, Cherri Global and its subsidiaries Cherri Holdings and Cherri Machinery have faced increasingly severe financial difficulties. PwC’s initial report indicates that the company owes approximately NZD 42 million (USD 24.01 million) to over 30 unsecured creditors.

The New Zealand cherry sector is highly competitive: around 90% of production is destined for export, mainly to China, Vietnam, and other Asian markets. Although cherry cultivation offers significant profit potential, the initial investment is considerable. Establishment costs in New Zealand range from NZD 150,000 to NZD 200,000 (USD 86,000-114,000) per hectare, excluding investments in infrastructure such as packing plants and cold storage facilities.

Source: https://frutasdechile.cl/news/nueva-zelanda-cherri-global-entra-en-liquidacion-tras-dificultades-financieras/