APPLE AND PEAR MARKETING

Press, Volume LXXXIV, Issue 25537, 3 July 1948, Page 8

APPLE AND PEAR MARKETING

PROPOSAL TO SET UP BOARD

GROWERS GIVEN TERMS OF ARRANGEMENT (P.A.) WELLINGTON. July 2. The Government has handed to the New Zealand Fruitgrowers’ Federation a statement of the terms within which the Government would be prepared to enter a long-term arrangement for the orderly marketing of all apples and pears. The Minister of Marketing <Mr E. L. Cullen) said the proposals involved the setting up of a board comprising two members nominated by the industry, two by the Government, and a chairman nominated by the Government. After consultation with the industry, this board would acquire apples and pears grown in New Zealand or imported. Provision would be made for regulations allowing direct sales by growers on certain conditions laid do \ n in the regulations on the recommendation of the board. The board would control the marketing of apples and pears subject to observance of the general trade policy and any specific directions on matters of policy which the Minister might issue. Retail prices would continue to be controlled by the Price Tribunal and in consumer interest the Government’s reserved powers would include the right to determine the relative quantities for sale on the domestic and export markets Standard Costs The Minister said the most important part of the proposals was that relatins to the price at which apples and pears would be acquired by the board. He recalled that the joint committee of the industry and Government representatives. which had been studying marketing proposals for some time, had initiated a cost survey of the industry. covering all fruit-growing districts. From this survey, a set of standard costs had been developed, which would be used in the future to assess variations in the costs of production from year to year. The price to be paid for the fruit w’ould be based on the cost of production so assessed An average price would be declared each season by the Minister after consultation with the board, and might vary within 6d a case either above or below the assessed standard cost of production, having regard to the following considerations: first, the desirability of offering incentives for quality fruit; second, the variations in the quantities of fruit produced in any particular district or season; and. third, the market trends in local and overseas markets. The price declared by the Minister would be guaranteed by the Government