Dick Smith vs Heinz in beetroot barney

Food manufacturer Heinz is threatening to sue controversial entrepreneur and advocate for Australian business, Dick Smith, who has referred to Heinz's products as poor quality.

Labels on Smith's Magnificent Sliced Beetroot read "When American-owned Heinz decided to move its beetroot processing facility from Australia to New Zealand causing hundreds of lost jobs, we decided enough is enough.

"So we are fighting back against poor quality imported product."

According to stuff.co.nz, Smith has told New Zealand Radio that if taken to court he will be defeated, but stuck to his guns, adding "I presume it's the different soil, or the different style of beetroot you have there [NZ]," he said.

"It's nothing like our beautiful sweet Golden Circle beetroot of old."

Heinz Watties announced in mid-2011 that the processing of some sauces and beetroot would move from Australia to Hastings and Hawke’s Bay, however in November last year reported a five percent drop in net profit for the year to April 29 2012, with significant costs centred around the relocation of sauce and beetroot processing to New Zealand.

In a legal letter from Heinz that Smith made public, the company said job losses were minimal, despite announcing in 2011 that the move was expected to cut more than 340 jobs here in Australia.

 

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