N.Z. blamed for big U.K. cheese shortage

Press, Volume CXIV, Issue 33513, 19 April 1974, Page 3

N.Z. blamed for big U.K. cheese shortage

(From D. 41 ID BARBER, N.Z.P.A. staff correspo-.dent)

LONDON. April 18. Britain is facing an acute shortage of cheese, and there is growing talk of its being rationed before the end of the year.

I New Zealand, which ihas diverted much of its traditional cheddar supply to the higher priced United States market, is being blamed for the shortage.

The situation emphasises the case for higher prices that the Minister of Overseas Trade (Mr Walding) put to the British Government during his recent tour of E.E.C. capitals. “RISE FIRST” Seeking a 15 per cent price rise for New Zealand dairy exports to Britain, Mr Walding said: “If we get a better return, we may be able to increase supplies. If we don’t we will have to protect our own interests and sell to the highest bidder.” Ministers of Britain’s minority Labour Government, striving to honour their election pledge to peg food prices, urged Mr Walding to increase supplies. But he made it clear that a price rise must come first, and this has to be approved by the E.E.C., which has a special agreement governing New Zealand’s dairy exports* to Britain.

. New Zealand, Britain's largest cheese supplier, shipped only 45,000 tons of the 67,500 ton quota the E.E.C. allowed for last year. PRODUCTION DOWN Drought, which cut over-all milk production 10 per cent, : limited supplies, and an emergency United States import quota of 55m lb at prices [more than twice those prevailing in London, are reasons [for the shipments across the -Pacific. New Zealand's exports to Britain are now a trickle compared with last year’s 1200 tons weekly, and are expected to be well below the 1974 quota of 60,000 tons. The British Milk Marketing Board says cheddar stocks are down 25 per cent on last * year, to 60,000 tons, and that

there is a real risk of ratioring by the end of the year. CONSUMPTION UP Despife a series of recent price increases — which did not benefit the New Zealand farmer because E.E.C. levies absorbed them — consumpItion is rising as housewives switch to cheese dishes because of soaring meat costs

Kaimai tunnel. —Work stoppages and difficult rock iotmations have delated the scheduled Kaimai tunnel hide through date from late this year until February next teat the Ministry of Works and Development resident engineer (Mr J. D. Benntoni confirmed yesterday. Four miles of the SJ-mile tunnel lhas been cut. —(P.A.)