Old trees heart of export project

Thousands of primitive Asian trees known as ginkgo biloba are being planted near Napier. The leaves will be harvested and shipped to China for use in herbal remedies.

The planting of the trees, which were grown in Nelson, follows eight years of trials and tests and market research overseas.

Money for the pilot project came from the Government's Technology New Zealand science funding agency.

The project is being developed by a company, Nature Green, set up after a member of a Chinese delegation looking at business opportunities in Napier realised ginkgo trees grew in New Zealand when he slipped on a ginkgo nut on the footpath.

Wang Limin raised the possibility of harvesting the leaves.

In its native Asia, its leaves are claimed to improve blood flow and memory. In the United States and Germany it is used as an anti-oxidant to increase blood circulation.

It is often prescribed by doctors to elderly patients suffering from dementia or Alzheimer's disease.

Napier City Council economic development manager Ron Massey - now a director of Nature Green - said it was the first commercial planting of the trees in the Southern Hemisphere and possibly the first to go completely organic in the world.

He enlisted the expertise of rural and agricultural consultant George Spiers, who guided the fledgling company through growth trials on sites in Hawkes Bay, East Coast, Waikato and the Bay of Plenty.

The trials showed the New Zealand leaf was among the highest quality in the world, and the company received ministerial backing from Government ministers Jim Anderton and Parekura Horomia, as well as support from Trade and Enterprise, Technology NZ and the Community Employment Group.

Mr Massey said negotiations with overseas markets had resulted in supply contracts for up to $2.5 million of leaf exports.

Hardy tree

* Commonly known as the maidenhair tree, ginkgo has been around for more than 260 million years.

* The trees are able to withstand frost and hail, and with no pest enemies the hardy trees will be harvested of leaves just six months after planting.

- NZPA