Short Dock Strike Unlikely To Affect N.Z. Supplies

Press, Volume CX, Issue 32352, 18 July 1970, Page 1

Short Dock Strike Unlikely To Affect N.Z. Supplies

(IV.Z.P.A. Staff Correspondent) LONDON, July 17. New Zealand supplies of butter, cheese, and lamb are unlikely to be badly hit by the British dock strike as long as it does not extend beyond four or five weeks. The position for butter and cheese will depend mainly on whether several water front stores now holding New Zealand dairy produce decide to go on strike too.

At present, some waterfront storemen have joined the strikers, but most New Zealand produce is in “free stores.” “Regular supplies” of butter and eheese should be made to retailers and outlets for at least five weeks. But dairy marketing officials said today that the position could change overnight if more stores go on Strike. Counting British and Irish produce and imports from all other countries, it is estimated that there is two months

supply of butter in store in London, and about 20 weeks supply of cheese. Price Rise .Unlikely In the case of dairy produce, New Zealand is unlikely to raise its price to profit from hoarding and rationing. New Zealand earned praise during the 1966 dock strike by not doing so, even though stocks ran very iow. New Zealand's action in cooperating in this field is a useful bargaining point when it comes to renewing trade agreements for dairy produce, and negotiating a special agreement if Britain enters the Common Market.

In the case of lamb. New Zealand has sufficient in store in London to last for more than a month. On July 3, there was about 28,000 tons in store, about the amount normally sold in July. There were

further stocks held by the trade and by shops and chain stores.

Of 22,000 tons due to arrive in July, 10,000 tons or more has already been discharged from ships. Counting all imports and British production, it is estimated there is sufficient lamb in Britain to last for six weeks- —and it could last longer if there is housewiferesistence to the inevitable higher prices. The New Zealand Dairy Board is concerned that the dock strike might be prolonged and thus result in ships not being available to lift the new season’s dairy produce in September. A Dairy Board spokesman in Wellington said today that

because of the recent drought the board had a rather smaller tonnage of dairy produce than usual afloat to the United Kingdom. “Stocks in Britain are adequate, but we are mainly concerned that the strike should not delay the departure of ships scheduled to arrive on the New Zealand coast in time to load dairy produce in September.” be said.

The board saw prompt delivery to overeas markets of produce manufactured early in the new season as important.

An officer of the New Zealand Meat Producers’ Board, asked to conunent on the strike, said: “It depends how quickly it is settled. We have pretty good stocks in the United Kingdom enough to last for some weeks.”

He also pointed out that between two-thirds and threequarters of the season’s lamb output had been shipped to Britain and landed. Manufacturers’ View

A prolonged British dock strike would affect New Zealand industry in two ways, said a spokesman for the New Zealand Manufacturers’ Federation today.

The importation of materials from Britain to New Zealand in four to six weeks time would be restricted, and there would be a disruption in trading in ports on the routes to Britain.

“Apart from this, there will be no substantial immediate effects,” the spokesman said.