Fertiliser Cartage Subsidies

Press, Volume CIV, Issue 30938, 20 December 1965, Page 18

Fertiliser Cartage Subsidies

fFrom Our Own Report rr* WELLINGTON, Dec. 20. A proposal to increase subsidy payments made for carting fertiliser by road to firms is bring considered by the Government. The proposal had been advanced at the Government's request by the Agriculture Department after dtoeovsriw that lamb sales to the North American market during the last four years had earned New Zealand about 30m United States and Canadian dollar*. the chairman of the Meat Board (Sir John Ormond) said today. This is in addition to the many millions earned from beef sold to those countries," ' he said. There had boas much com-

ment recently about meat marketing, some of it misleading. Sir John Ormond said. He thought it desirable to state the facts. “The meat industry is at an important stage of its expansion,” he said. ”Wo must look well ahead to future marketing, and we have been developing plans accordingly. Progreaa in North Ameefean markets* devoloponoot lamb has been a moot significant factor tai this ymirt very good sates of New Zealand “It Inn boon suggested that loss has been incurred for New Zealand in development work, but this is finite untrue. Not only have there been substantial earnings in Canadian and United States dollars from lamb sales, but these sales have been an important contributing factor to the strength of prices in the main lamb market in Ufitain."

Sir John Ormond said that during this year lamb prices in the United States and Canada had been raised by about 30 per eent as a result both of meat market trends and of demand developed among chain stores from the board’s first promotion project in the United States. The board was determined that a new stage in the development of New Zealand's overseas marketing must be reached- the development of sales to a greater degree outside the British and North American markets.

“This is not because of any lack of strength in these markets, where there is strong unsatisfied demand, but because New Zealand obviously must spread the area of her marketing,” he said. “Some newspaper reports have talked in gloomy terms about the forthcoming discussions on New right

of entry to the British market. I have no glbom about it. It is wrong to suggest that the British Government would tend to restrain the flow of New Zealand meat to the British housewife.

“The outstanding fact of the last two years* trading has been the consistency of New Zealand’s supply of meat for the trade in Britain. Other suppliers have also been consistent. and but for the maintenance of the flow of New Zeeland meat tn response to the demand of the British consumer, there would have been a grave shortage in Britain this year.” Sir John Ormond said he wanted to make it clear that New Zealand had no intention of denuding the British market. Increased production was planned, primarily to meet the expanding demand in Britain, but also for developments elsewhere.