Strikes Threaten N.Z. Trade

Press, Volume CVII, Issue 31502, 17 October 1967, Page 32

Strikes Threaten N.Z. Trade

(Special Crspdt N.Z.P.A.) LONDON, Oct. 16.

This week may well prove a vital one for New Zealand butter supplies to the United Kingdom because of the effects of the strikes at the London and Liverpool docks.

The unofficial dock strikes have made idle more than 100 ships at Liverpool and London, reducing Britain’s exports and adding to her economic troubles. It is understood that more than 13,500 tons of butter are being held up by the strikes, and that supplies to the British market are now coming fropa stocks on hand in cool stores here.

But British consumption levels are running high, and should the strike continue beyond the end of this week it seems likely that New Zealand will be faced with an extremely serious situation. The situation is complicated even further by the fact that Australian butter supplies are being held up, too. Frequently when there is a shortage of supply from one of the Anzac nations the other “takes up the slack.” Neither nation suffers because the one that has supplied the extra quantities generally supplies a lesser amount later in the year, thus allowing the other to catch up on the market loss. Both countries being hit at the same time the result could be, if the strike continues much longer, a loss of sales

for a period and a flood of strike-bound butter from both countries arriving in cool stores in the same period. In the meantime, before this strike-bound butter arrives the British Government, under extreme pressure from Continental suppliers, might well be tempted to authorise additional deliveries from Europe. Should it decide, to do so, the effect on the market of these supplies followed by the release of the strikebound butter could cause major problems for New Zealand in particular. The quantity of New Zealand meat delayed by the strikes is reported to be about 16,500 tons. Although this is a large quantity, the amount of New Zealand meat in store is said to be sufficient to keep the market well supplied for

at least two or three more weeks before a crisis point may be in sight. The worst worry the strikes are causing to meat traders is the effect they will have on future shipping schedules, particularly in delivering the first of the new season's supplies. This disruption of shipping schedules is of equal concern to dairy industry authorities. The central issue of the dock workers’ dispute is the problem of . overmanning. Dockers are protesting about new work rules involving a change from a system of casual labour to guaranteed jobs. Another feature is the rebellion of the workers against their leaders in favour of local “firebrands. Communist agitation is also present.