N.Z. Protest On Butter Control

Press, Volume CVIII, Issue 31634, 21 March 1968, Page 22

N.Z. Protest On Butter Control

"The Press’’ Special Service

WELLINGTON, March 20.

New Zealand has protested to the British Government that the whole British butter import quota system could 6e undermined by the absence of controls on mixtures of butterfat and sugar containing less than 50 per cent of butterfat.

In a strongly worded statement the Minister of Overseas Trade (Mr Marshall) made it clear that New Zealand Is still seeking controls on all such mixtures, whatever their butterfat content. “On the basis of our discussions with the British authorities,” said Mr Marshall, “we had expected that they would confine trade in near-butters and butterfat and sugar mixtures to the agreed global quota of 9000 tons.”

Mr Marshall described the decision to restrict only mixtures with 50 per cent or more butterfat as “a surprise and a disappointment.” “In our view, this will not prevent continuing evasion of the quota system,” he said. “The history of the American market shows how quickly exporters can adapt their products to new requirements. Before, Not After

"We are making further representations to the British Government on this question. I am hopeful that we will be able to persuade it to close this loophole in the quota system before, rather than after, the opportunists and speculators have had a chance to exploit it.” Mr Marshall said that in the last three months imports of butterfat-sugar mixtures in Britain had risen rapidly. Such mixtures—known as

junex—are used in ice cream and baking. They can also be separated into their butter and sugar components. The main threat to the New Zealand butter market in Britain now comes from the supply of junex from the glutted dairy stores of continental Europe.