New Zealand should now be able to resume apple exports for the first time since 1921 to its biggest trading partner after the World Trade Organization top court ruled on Monday that Australia's 89-year-old ban on imports of Kiwi apples are unscientific and break international trade rules.

Australia has been restricting the entry of New Zealand apples since 1921 after the bacterial disease fireblight was found in orchards there. But New Zealand argued that the restrictions, revised in 2006, were unscientific.

"The appeal report upholds the thorough analysis undertaken by the WTO dispute panel around risk assessment and the science at issue," New Zealand Trade Minister Tim Groser said in a statement.

"These findings settle any debate. This is good news for New Zealand apple exporters," he said.

The victory for New Zealand should also clear the way for sales to other markets where its fruit is also restricted.

A recent study by Malcolm Bosworth and Greg Cutbrush, two visiting fellows at the Australian National University's Crawford School of Economics and Government, found that the ban had driven up the price of apples for Australian consumers.

The study, backed by New Zealand's apple growers' association, Pipfruit, said Australia had the second most expensive apples in the world, after Japan, and the restrictions had effectively transferred A$2 billion ($1.93 billion) to Australian growers from consumers between 2001/02 and 2007/08.

New Zealand officials estimate that lifting the Australian ban could boost apple exports by NZ$30 million ($22.4 million) over two to three years from NZ$400 million in 2009.

"We're looking forward to working with Australia to implement the findings through an effective and durable solution on access for New Zealand apples," Mr Groser said.

Should Australia refuse to comply with WTO rules, New Zealand could get back by placing punitive import duties on Australian goods.

With Reuters