Dairy Board’s exports to Middle East double

Press, 7 March 1984, Page 19

Dairy Board’s exports to Middle East double

PA Wellington The Dairy Board virtually doubled the volume of its exports to the Middle East in 1983, its chairman, Mr J. T. Graham, told delegates at the New Zealand Co-op Dairy Company ward conference in Hamilton.

“Iran has emerged as a major outlet and has shown a particular willingness to develop trade with New Zealand,” he said. “Outside of Russia and the United Kingdom, Iran is the biggest importer of butter in the world and has the added advantage as a market that it is unlikely ever to achieve self-suffi-ciency. The trade which has been developed this year is likely to be further securea by long term contractual arrangements,” Mr Graham said.

The board was just beginning to reap rewards for its marketing efforts in Iran when the revolution forced an abrupt' halt to the trade. The subsequent war with Iraq has made trading conditions even more difficult, but the board was able to break back into the. Iranian market last year. Mr Graham said that

while the board would need to keep its pricing pencil sharp to maintain its presence in Iran, “the extra dimension of regular access to the Iranian market is an important factor in diversifying our outlets.” The board has also penetrated the Gulf States and Saudi Arabia with the overall result that sales to the Middle East region in 1983 will exceed 50,000 tonnes, up from 27,000 tonnes the previous year, he said. The board saw the region as of importance as it had the ability to pay and was unlikely to move to the levels of domestic dairy S (reduction which were a eature of many of New Zealand’s other outlets, Mr Graham said.

The board was strengthening staffing of its Bahrain office for .both technical support and consumer marketing. “iV-i- ,