HIGHER BUTTER QUOTA FOR N.Z.

Press, Volume CVI, Issue 31318, 14 March 1967, Page 1

HIGHER BUTTER QUOTA FOR N.Z.

(New Zealand Press Association) WELLINGTON, March 13. Under the butter quota for the next quota year, beginning April 1, New Zealand has been allocated 8000 tons more than its basic quota in the last two years, the Prime Minister (Mr Holyoake) said tonight. Commenting on the British Government’s announcement of the quotas, Mr Holyoake said that New Zealand had been allocated an initial quantity of 176,000 tons.

This was also 6000 tons more than New Zealand’s contractual minimum, under the new trade agreement, of 170,000 tons, he said.

In a statement, Mr Holyoake said that the recently concluded consultations between the New Zealand and United Kingdom Governments were the first held since the new trade agreement was negotiated last year. Under that agreement, New Zealand was guaranteed a minimum quantity of 170,000 tons in any quota year. This provision replaced New Zealand’s previous right to send 40 per cent of total permitted imports. The Prime Minister said that as announced by the Board of Trade, imports authorised in the 1967-68 quota year would total 470,000

tons, consisting of 440,000 tons basic quotas and 30,000 tons supplementary quotas. Mr Holyoake said that last year the total authorisations were 435,500 tons including basic quotas of 421,000 tons and supplementaries of 14,500 tons. Basic quotas for some suppliers were suspended or reduced last year because these suppliers did not have butter available, and part of the increased basic quota figure for 1967-68 represented a restoration of last year’s cuts. The figure also included an increase of 3000 tons in Ireland’s basic quota. The Initial allocation to Australia for 1967-68 was 72,200 tons, 5500 tons greater than their basic quota in 196667. The Prime Minister said that the 1967-68 arrangements also provided for additional supplementary authorisations I of 10,000 tons in case some > countries failed to meet their . quota entitlements, and a re- ’ serve quantity of 5000 tons ’ which could be issued in the ) light of circumstances at any

time after consultation with Australia and New Zealand. Referring to discussions which had taken place during the quota consultations on “near butter” imports (butter, oil, etc.) into Britain, Mr Holyoake said that these had risen considerably in the past year and were posing a threat to the quota system. Mr Holyoake said: “We would have preferred the immediate imposition of controls but we are confident from the exchanges we have had that .should things get out of hand, the British authorities will take prompt action. “They expect imports of near butters to revert to a more normal level in view of the increased supplementary allocations. “However, if things do not go as expected then obviously we shall have to consult further with the British Government “In the meantime, the situation is being kept under close observation," he said.