N.Z. To Sell Aust. Up To 1500 Tons Of Potatoes

Press, Volume CIII, Issue 30496, 18 July 1964, Page 1

N.Z. To Sell Aust. Up To 1500 Tons Of Potatoes

Up to 1500 tons of potatoes, estimated to be worth approximately £45,000, if the full quota is met, will be exported from New Zealand to Australia this season.

Australian and New Zealand authorities announced yesterday that the necessary approval had been granted. However, there are a number of factors governing the possible exports. These include the Australian quarantine regulations, processing •tests, and the price of the potatoes in New Zealand.

It is expected that most of the potatoes will come from the South Island and that the shipments will begin early next month. The delivery will be spread over several weeks, the bulk of the consignments being completed by the end of August or midSeptember.

However, if the local price to growers rises higher than the present levels, it is quite probable that the exports will not be made.

Latest reports indicate that growers are receiving about £25 a ton for potatoes, but by the time they are landed in Australia the total cost a ton, including freight, and in Australian currency, could be as high as £57 or £5B. The most recent reports from Australia put the Australian price about £6l a ton, which does not leave a great deal of latitude for price fluctuations that could price the New Zealand potatoes out of the market.

Cooking Test However, the New Zealand potatoes first have to undergo processing tests, such as cooking, to ascertain whether they are suitable for Australian requirements. A merchant said he knew of one firm which had submitted 10 samples for process tests and had had only one accepted.

Australian quarantine regulations have also to be complied with and in some New Zealand quarters these are regarded as being quite strict. The potatoes do not have to be washed, but have to be packed in new bags, as well as being inspected. The merchants- concerned are making every effort to ensure that the potatoes are of first-class quality and well up to the Australian require-

ments. Cooking tests on samples of lines thought to be suitable are being carried out in New Zealand as well as in Australia.

If this shipment is successful, New Zealand interests are hopeful that it will open avenues for more trade in the future. One authority said, however, that he did not think it was likely that there would be additional shipments this season. It has been suggested that a New Zealand representative should accompany the consignment and be present during the quarantine inspection and processing tests.

The total amount which can be shipped is only a small one and should not adversely affect New Zealand's supplies, nor be detrimental to the Australian growers’ markets. Local merchants are hopeful. that the exports will enliven the inter-island trade which has been sluggish and sporadic this season because of heavy North Island supplies, without increasing the! price. ‘•Desirable” The New Zealand Potato Board chairman (Mr W. M. Williams) said yesterday that this year there had been increased potato production in the North Island with the result that the demand for South Island potatoes had been delayed and shipments to the north were down 10,000 tons on last season. The yield from the South Island crop was considerably lighter than in previous years, but as only a short marketing period remained, the board considered it desirable to approve this export. Mr Williams .said that the business was possible only at the prices ruling today. The exchange rate and freight charges made it most difficult to quote satisfactory prices. Any increase in price here might well prevent the

sale, particularly as it was only for potatoes for processing, and therefore only a limited quantity.

The Australian Minister for Customs and Excise (Mr K. Anderson) had authorised the importation of potatoes for this season, the Australian Trade Commissioner for the South Island (Mr M. G. B. Coultas), said yesterday. It had been emphasised that the imports were limited to a maximum of 1500 tons, that the potatoes be used only for processing, and that delivery be confined to the port of Sydney. Mr Coultas said.

Mr Anderson had said that it was thought the shipments would not affect the Australian prices for table potatoes.