CARGO RATES FROM N.Z.

Press, Volume LXXXVII, Issue 26514, 31 August 1951, Page 3

CARGO RATES FROM N.Z.

DAIRY COMMISSION ATTITUDE

‘‘WE HOPE TO GET A SAY ” (New Zealand Press Association) WELLINGTON, August 30. “We want to have a say in those freight rates. We want to be in a position to say, ‘New Zealand will not pay.’ ’’ In these words the chairman of the Dairy Products Marketing Commission (Mr W. Marshall) indicated to the annual conference of the New Zealand Dairy Board to-day the commission’s concern at the effect of shipping freights on the returns for New Zealand dairy produce and the commission’s desire to secure some influence on freight rates. He said that the commission made a determined effort this year to change the basis of selling from f.o.b. to c.i.f. for a number of reasons. One was that the commission was very unhappy about the freight charges, which at present were fixed by agreement between the purchaser of the goods and the transport companies. Recent increases in charges -were made without New Zealand having any say. This issue was particularly important now that New Zealand would be free to sell up to 15 per cent, of her produce to countries other than Britain. The freight rates to Britain were reflected also in the rates to other countries and the return New Zealand received for her produce. Mr Marshall added that it was a clear fact that the freight rates were a part of New Zealand’s marketing costs, even though the produce was sold on an f.o.b. basis. New Zealand used to have an advantage over Australia in freight rates, but that advantage had now gone. The moving of New Zealand produce was an enormous business, and the commission wanted to have at least part of the say in the rates. The commission did get an undertaking that if in future increases were coming the commission would be informed and have an opportunity to examine the figures and be consulted. “We hope in the not too distant future,” he said, “to get a say in our freight rates.’’