Record Dairy Produce Sales Outside Britain

Press, Volume CIV, Issue 30712, 30 March 1965, Page 10

Record Dairy Produce Sales Outside Britain

(New Zealand Press Association) HAMILTON, March 29. New Zealand dairy produce sales this season to markets other than the United Kingdom would set a record at something either side of £2O million, the chairman of the Dairy Board (Sir Andrew Linton), told the ward conference at Hamilton today.

Sales of cheese, milk powders and casein to these markets this season were all at levels not reached before, and prices of casein and milk powders were at record heights, he said. Sales of all dairy products up to the present, together with prospective disposals between now and the end of the season on May 31, made a record seem likely. The previous record sales to markets other than the United Kingdom were made last season, when total earnings amounted to about £l7m. Sir Andrew Linton said the board was proud of its record of continued achievement in these markets which had been made in the face of intense, highly-subsidised competition from the other dairy produce exporting countries. Every one of the major exporting countries except New Zealand subsidised dairy produce exports in some way or other. Greater Strides “I am convinced that this year and in succeeding years we will make even greater strides in opening up new markets for the increasing output of the New Zealand dairy industry,” he said. “The competition is severe, not only in terms of the prices at which our subsidised competitors are able to sell, but also because of the great assistance they receive from their Governments with promotion and publicity. We carry the burden of these expensive exercises alone. “Had we the resources which the Governments of some of our competitors make available we could make a

much bigger showing in many markets. We are always conscious of the fact that in our promotions, which are aimed at building new markets for New Zealand, we are spending the dairy farmer’s money, and we have to choose with great care those areas where we will spend considerable sums on promotion and development.”

Sir Andrew Linton said that although living standards were rising’ among the underdeveloped countries, it had to be remembered that some authorities considered it would be hard going for a long time to come to build up commercial demand for dairy products in those countries where these foods were not part of the traditional diet. “Grounds for Hope”

“We are encouraged by the prospects for increasing trade with Japan in cheese, and providing freer access can be obtained for our goods, in milk powders, butter, and other milk products also. There are grounds for hoping that some progress is being made in this direction. “In the United States we operate within quotas and restrictions of various kinds for all products except casein, yet we have been able to increase our sales there very considerably in recent years. Our main exports to the United States are casein, cheese and cream. The past year has seen a dramatic change for the better in American surplus dairy products situation. Production and consumption are now much more nearly in balance than before, and we are hopeful that in consequence, the

American administration will relax the restrictions on the import of our goods.” Sir Andrew Linton said South Africa had been growing in importance as a market for New Zealand dairy produce. Sales to that country this season were 7500 tons of butter, 750 tons of cheese. In the West Indies, New Zealand continued to hold its place as the major supplier of dairy produce. The establishment in the last two years of marketing companies in Trinidad and Jamaica had enabled the board and its agents more efficiently to service the trade which Was running now at the rate of about £2im a year. In Hong Kong, the board, in association with its former chief competitor in the fluid milk field, had set up a joint company to process and to market milk and milk products and the results so far were good. He expected sales in Hong Kong of New Zealand milk solids for recombining and of other dairy produce to increase steadily.