Copra growers suffering

Press, Volume CXV, Issue 33957, 25 September 1975, Page 3

Copra growers suffering

Pacific Islands copra growers are the victims! of a pernicious pricing system which they cannot understand and which is irrelevant to 'New Zealand market conditions, the director of Volunteer Service Abroad (Dr David Stone) said yesterday. The island producers des-i jperately need the kind of: ! stabilisation arrangements; that New Zealand farmers! (have long demanded fori i their own produce, and in some cases have obtained. ; Speaking at a forum at' 'Lincoln College on “New (Zealand’s obligations to the! '.Third World," Dr Stone said [that New Zealand had the; j opportunity of applying, ini iits own corner of the world,!'

■ the principle that its Deputy [Prime Minister has been supporting in recent international meetings at the ’United Nations, and else--1 where. “In generally welcoming [proposals for commodity ar- ; rangements put forward by ' U.N.C.T.A.D. the Commonwealth group of experts, 'Mr Tizard was not only exi pressing support for what he [called a ‘step beyond political freedom to economic justice’ for the developing nations. He was also, as he [said, speaking on behalf of a [country which understands only too well the importance of stable arrangements for prices and earnings in regard to its primary, produce,” Dr Stone said. “New Zealand is the sole -market for copra exported [by the Cook, Niue and ,To[kelau Islands, and also norjmally takes about one-third [ of the annual crop of Western Samoa. Altogether, the amount involved is about 7000 tonnes a year. This copra is processed in New Zealand.. Among the princi-

y'lpal products aie con-' iiifectionery fats and coconut[ - oil used in biscuit manufac-; e'ture. and, to a,lesser extent.,: - isoap. "The prices received under; g; contract by one of these! -[small .island nations well! vjillustrate the plight of the; i-'copra growers." Dr Stonei i.[said. “In only three of the; -13 years, from 1960 to 1972,[ s ,did returns for copra exceed -’the price set early in 1960.1 - In 1973-74 the price soared! gito unprecedented heights,! eibut then crashed this year! a.to a level little above what' s it was 15 years ago. e “The copra growers are r now receiving only a frac-: Htion of the income' they had '-jin 1960. “This is a situation that eiwould not be tolerated by d|our own New Zealand prim-' >- art 7 producers. “The basic reasons fo.r the d fluctuations, and general I - decline, in returns is that! a copra prices for the Newt Zealand market are based on s'[ world prices set in London,! in the long term this is in! - the interests neither of the; growers nor of the New) Zealand processors and' manufacturers. “But it is the producers j [who are the main losers because if the price rises' 'above a certain level the! [manufacturers normally buy l

'substitute products else■where,” he said. “The answer to the prob-; . lem lies in stabilisation arrangements specially designed for New Zealand, and 'its island suppliers," Dr: 'Stone said.