Since last week, young adults, most of them foreign backpackers, have arrived in town selling 1kg punnets of what they say are Waimate strawberries.
Waimate strawberry growers say it is not true and are "disgusted" the group appears to have been progressively moving down the country using the same ruse.
Geoff Flett, of Hinton's Fruit & Produce, in Northeast Valley, contacted The Star concerned the sellers, who he said went under the name Strawberry Bandits, were once again about to flood the local market with seconds strawberries which he believed came from Auckland, not Waimate.
"This is the second year they have blitzed the area and the second year they have lied," Mr Flett said.
Mr Flett said he would soon start selling strawberries from a stall at the corner of George St and Moray Pl.
He would be selling Waimate and Auckland berries, but would clearly identify their origins.
He was angry others were using apparently deceptive practices to increase their sales without regard for the reputation of the Waimate fruit.
"What's annoying so many people are the lies that are being told. By saying they are Waimate strawberries they are a sure sale," he said.
He believed a New Zealander with the first name of Brett or Brent organised the operation.
On Tuesday, The Star bought strawberries from a street seller who insisted the fruit was from Waimate.
Butler's Berry Farm owner Jackie Butler, of Waimate, rejected the assertion.
"They can't be. We're still a fortnight away from picking them," Mrs Butler said.
"I'm disgusted by them doing this."
She had heard of strawberries, falsely claimed to be Waimate-grown, also being sold in Rangiora, north of Christchurch, and Timaru.
It had happened last year as well, she said.
A second visit by The Star to stalls in George St yielded more claims the strawberries were from Waimate, but little other information.
The sellers said they were on working holiday visas but declined to give their names nor the name and contact details of their employer.
An internet Facebook page titled "The Strawberry Bandits" which is described as being for "Anyone who was/is a strawberry bandit" has posts from members dating from 2008 to August this year.
One post includes a link to a November, 2009, article in the Whakatane Beacon newspaper, in the Bay of Plenty, about young tourists selling strawberries who were warned by the police for misrepresenting the origins of the berries, which they said were from a local farm.
A Commerce Commission spokeswoman told The Star claims about the origins of goods "that are not accurate and mislead consumers may be a breach of the Fair Trading Act".
Breaches of the Act could be liable for fines of "up to $200,000 for a company and $60,000 for an individual".
The Commission had not received any complaints from consumers regarding claims about the origins of strawberries, the spokeswoman said.
The Dunedin City Council confirmed Strawberry Bandits had a temporary food stall licence.
At the time of publication council staff had not been able to contact the operator to ask if contact details could be given to The Star.