THE chairman of AusVeg has admitted the make-up of a selection panel that rejected high-profile Tasmanian Mike Badcock's bid for a place on its board was inappropriate.

The Tasmanian Farmers and Graziers Association was left seething last year over the AusVeg panel's refusal to accept its own former chairman, Mike Badcock, as Tasmania's board member.

The selectors included former AusVeg financial controller Liz Duncan, who had a well-known falling out with Mr Badcock last year, and current chief executive Rob Lawler.

Tasmania pulled out of AusVeg over the matter.

Chairman John Brent, who took over this month, conceded it was inappropriate for a director selection committee to include a person who had animosity with the applicant.

But he said he understood the committee had come to a consensus.

And he said the make-up of the committee was irrelevant as events since the decision meant it was not "possible or practical" for Mr Badcock to serve on the AusVeg board.

Conflict between Dr Duncan and Mr Badcock was the catalyst for Mr Badcock's resignation as AusVeg chairman.

Then board member David Anderson had circulated a letter that accused Mr Badcock of intending to sack Dr Duncan without board consultation, a claim Mr Badcock labelled "absolutely slanderous".

Mr Badcock resigned, Mr Anderson became board chairman and Mr Lawler, CEO.

Dr Duncan was appointed to the panel, which then evaluated Mr Badcock's board nomination as Tasmanian representative.

She was later appointed to the AusVeg board.

TFGA acting general manager Chris Oldfield, an Institute of Company Directors member of 20 years, questioned the committee's make-up.

"It's highly unusual to have an employee involved. A director is a boss of a CEO. How often do you get to choose your boss?" Mr Oldfield asked.

"You need to make sure people on (a selection committee) are truly independent, are not employees, and I believe not former employees."

Mr Lawler defended his own presence on the committee, adding Dr Duncan's presence was "not really" inappropriate.

"It's not about who's on the committee, it's about criteria," Mr Lawler said.

"Everyone is assessed under eligibility . . . consensus was the nomination wasn't successful."