GROCERY NOTES

Press, Volume LXXXIII, Issue 25305, 3 October 1947, Page 10

GROCERY NOTES

FRESH SUPPLIES LANDING Stocks continue to mount. In the Aldington Court, which arrived at Auckland at the week-end, are more sultanas and the first lot of new season’s currants, also I further quantities of jams and marmalade, packet and bulk cornflour, macaroni, and a very limited quantity of methylated spirits. A shipment of packet cornflour has also arrived in the north from the United States, and regular monthly shipments are expected to come forward up to December. Salmon and Prunes.—Although licences for new season’s Canadian salmon and Californian prunes have been issued and in some cases endorsed to permit the completion of contracts, importers are now notified that on the arrival of the goods distribution will be at the discretion of the Food Controller. Figs.—ln view of the uncertainty of new season’s figs shipped from the Mediterranean, via Australia, arriving in time for the Christmas trade, buyers have been advised that shipment can be arranged at an increased rate of £6 10s a ton via New York for arrival in New Zealand about the middle of December. This, of course, is also on the late side, and this offer is not likely to appeal to many importers. Castor Oil.—The stock position of both commercial and medicinal castor oil has been improved by the arrival of a recent shipment from Calcutta. Prices are up by approximately 2s 6d a gallon, and it is indicated that no further supplies will be available this year. Coconut.—The price of desiccated coconut from Samoa has advanced considerably, and the recent distribution to merchants is dearer by £2O a ton. Macaroni Cheese.—Quite a new line for this market, macaroni cheese in 16oz tins is offered by an Auckland manufacturer. Prices are approved at Is 104 d to the consumer, and this should soon become a regular line.

Fly Killer Cards.—A new fly killer in the form pf a hang-up card is offered to the trade. It is impregnated with a new preparation at a strength not harmful to human beings. Retail prices have been fixed at two for 6d.

Preserved Ginger.—After being off the market for a good many years, a very limited quantity of preserved ginger has been distributed to merchants by southern manufacturers. The approved retail price is 3s 3d per lb.

Macaroni.—Shipments of Australian loose macaroni recently landed is approximately 3d per lb dearer than previous landings, the new selling rates now being Is 44d and Is sd.

CANADA’S DOLLAR CRISIS

NO EASY SOLUTION IN SIGHT

Canadian exports in the first half of 1947 totalled 1,328,500,000 dollars, representing an increase of about 25 per cent, on the same period in 1946. Her imports balanced almost exactly. In a world of interconvertible currencies, Canada’s position would thus have been held up as a model for others to follow—an expanding economy in perfect equilibrium. The true picture is, of course, far different from this, says the “Financial Times” (London), under date August 29. Once the aggregate trading figures are broken down into accounts with individual countries, it Is clear that Canada is subjected to a heavy and increasing dollar strain. Her exports to the United States in the first half of the year totalled 482,000,000 dollars, while her imports from the same country amounted to no less than 980,000,000 dollars. At the same time she was accumulating larger, credit balances with several West European countries, the largest di which was with the United Kingdom, where Canadian exports were 352,000,000 dollars, against imports from the United Kingdom of only 84,000,000 dollars.

The problem of bridging the dollar gaps has now become more acute since sterling is no longer convertible. Canada’s credit is good, and she would no doubt find it relatively easy to float a loan in the United States or obtain United States capital through private channels. But the amount of United Scates capital in Canada is already large—in 1946 it totalled nearly 5,000,000,000 dollars—and there is a natural reluctance to increase it still further.

Canada is therefore left with the two alternatives which are so familiar to us on this side of the Atlantic: she must cut her United States imports or increase her exports to the United States.

TOO MUCH DOLLAR SUGAR CURIOUS POSITION ARISES A curious position has arisen in the world sugar market. Producing countries in the Western Hemisphere are accumulating a surplus which is becoming difficult to sell, while Europe is still in urgent need of larger sugar supplies, reports the "Manchester Guardian,” under date September 11. The link between glut and shortage has been cut by the dollar crisis. As Messrs C. Czarnikow, the sugar brokers, explain in their latest review, the main sources of "free" sugar are at present situated in dollar countries. In addition the exporting countries with soft currencies are now directing their sales as much as possible to the dollar area. Now sterling is no longer convertible into dollars, a further contraction of the free outlet of sugar can hardly be avoided. In many consuming countries, states the review, the expectations of gradually increasing sugar supplies cannot now be realised, and even the present rations may not be maintained. In Cuba, the largest exporter of dollar sugar, another heavy yield is expected from the crop now growing, and plaqs are being made to restrict the 1948 crop. The price for May, 1948, on the New York futures market has fallen heavily in the last month.

firm of London sugar brokers, E. D. and F. Man, points out that the British Government bought earlier this year 650,000 tons of sugar overseas for shipment in 1948 and may not buy any further Cuban sugar. The prospect of getting any sugar from other parts of the world comes down to Czechoslovakia and Poland, which are not likely to export much westwards unless Russia has a bumper crop this year. But unexpectedly large stocks of sugar have been discovered in Java.

NETHERLANDS EAST INDIES

FINANCIAL SITUATION MUDDLED

"The financial situation in the Netherlands East Indies is muddled, with Japanese and Republican currencies still being accepted besides the Netherlands Indies guilder," says the "Financial Times” (London) on September 5. Conditions in this respect are fairly chaotic, continues the article, though the firm hold of the Dutch over large parts of the archipelago renders it possible to introduce gradually morfe norma] monetary conditions. The Bank of Java (the Central Bank) is again active, and has reopened several branches. Some private bankers have also started business, and there are now three Dutch banks and two British banks in operation. The general feeting is that the present situation, with the country uncertainly divided between a Dutch-controlled and a Republican territory, cannot be continued. Inside Republican territory there is economic stagnation and little hope of revival. It seems clear that the economic recovery of this large and immensely rich archipelago cannot be achieved without the assistance of the skill and capital which the Dutch and other "foreigners'’ are able to supply. The Dutch are aware that big changes will be necessary. The Indonesians will have to be given the status of genuine partners in the economic as well as the political sphere. But first of all peaceful conditions have to be restored. Only then will recovery be possible. CEYLON TEA SALES UNITED KINGDOM BUYS FOR RE-EXPORT (N.Z. Press Association—Copyright) COLOMBO, October 1. For the first time in the Ceylon tea sales, a certain quantity was purchased to-day for shipment to the United Knigdom for re-export to third countries. Offerings at to-day’s sales totalled 3,648,0001 b, comprising 1841 lots. There was an appreciable demand for highgrown teas, the highest price realised being 201 cents for flowery broken orange pekoes. Broken orange pekoes ranged from 150 to 200, and pekoes from 140 to 175 cents per lb. Burns, PhHp (South Sea) Company, Ltd. —The directors of this company have decided to pay an interim dividend on October 15 at the rate of 9d (Fijian currency) a share for the six months ended July 31, 1947.—(P.A.)