FRUIT INDUSTRY

Dominion, Volume 24, Issue 290, 3 September 1931, Page 10

FRUIT INDUSTRY

Value to Dominion GROWTH OF EXPORTS Developing Local Trade The increasing importance and value to the Dominion of tlie fruitgrowing industry was stressed by Mr. T. C. Brash in his address to the annual meeting of the New Zealand Fruitgrowers’ Federation yesterday. About 30 delegates were present. Of 20,000,000 acres of land under cultivation in the different classes of farming approximately 26,000 acres were in use tor growing fruit on a commercial scale, he said. A very big proportion of this land was of poor quality and quite unsuitable for other classes of farming. From that point of view fruitgrowing was a national asset. There were over 10,000 men, women and children settled on the 26,000 acres of orchards. If the balance of the 20,000,000 acres was as closely settled there would be a population in New Zealand of over 8,000,000. This emphasised the value of fruitgrowing as a method of absorbing labour. In addition there were thousands of people employed in the handling of fruit on the local market. Further, when it was so necessary that the value of exports should be increased so as to provide a favourable trade balance the growth of the fruit industry was of considerable value. Mr. Brash quoted figures showing that the export of fruit had grown from 34,585 boxes in 1920 to 1,349,893 boxes in 1931. Taking an average net value overseas of 10/- a case this meant that there would be brought into New Zealand for fruit shipped during the 1931 season a sum of £674,946. Prices Fairly Steady. The exporters of fruit probably had suffered less in proportion than any other class of exporting primary producers. The prices of fruit overseas had not fallen to the same extent as those of other foodstuffs, and the past season’s exports would give a better average return than that for the previous year. This was somewhat difficult to understand unless it was because fruit had never had any period of boom prices. In New Zealand during the war when other food products were being exported at phenomenal prices, the export of fruit was prohibited. According to figures compiled by the Empire Marketing Board, the consumption of fresh fruits in the United Kingdom had increased from 70.3 pounds a head in 1924 to 82.8 pounds in 1930, an increase of 12Jlb a head. The imports of apples into Britain totalled 6,182.000 cwt last year, the percentage grown in British countries having increased from 43.90 to 61.90 in 1930. The quantity imported from the United States showed little increase, but had not been less than five million cases in any one of the last five years. Against this the combined quantities from Australia and New Zealand had not in the highest year on record exceeded 4i million jeases. There was a growing tendency on the part of U.S.A, and Canada to hold quantities in store and spread deliveries, thus increasing competition for Australia and New Zealand. Acting on the recommendation of Mr. ’J. L. Brown, chairman of the Fruit Board, increased quantities of fruit had been shipped to the European Continental markets. Benefit Through Exchange. The exchange was very much to the advantage of exporters, standing at the present' time at almost £lO per cent. This premium was estimated to be at least 1/- a case on the total export. This was a distinct gain to exporters, but there was one feature which was not helpful. The exchange premium to growers in the Commonwealth was something like 3/- a case, and enabled sales of Australian apples to be made at a considerably lower price than those from New Zealand and yet give a profitable return to the exporter. This did not tend to keep up prices. Export Organisation. The fruitgrowing industry was fortunate in its organisation for export. That the growers themselves were able to retain complete control of finance, shipping, distribution, and marketing, was of inestimable benefit. The “Commonwealth Journal of Scientific Research” recently remarked that “New Zealand exports the greater proportion of its apples under a single organisation which controls both the packing and marketing ends. This organisation, rather than the quality of the fruit produced in the orchards, has been responsible for New Zealand fruit averaging 2/- to 3/- per bushel better than Australia.” The system of pooling which had been adopted in the provinces, end the division of different markets, hnd placed on the staff of the federation an enormous amount of work. The Local Market. Referring to the local market. Mr. Brash said the internal sales committee appointed in 1928 had taken an active part in collecting evidence for the Parliamentary Committee of Inquiry set up last year. Unfortunately nothing had been done with the report of the Parliamentary committee, and apparently no advance could b.e made along that line. The sales committee had almost reached the conclusion that no improvement could be brought about unless the local market section of the Fruit Control Act was put ipto operation. A recent development-in Great. Britain, had, however, opened up possibilities in another direction. This was the “national mark scheme” introduced bv the British Ministry of Agriculture in 1928. Briefly, this provided that a national mark was registered and provided for the I use of growers who undertook to pack and grade to a certain standard. It was optional for growers to use this mark, but once having applied for the right to use it and given the necessary guarantee that the standard set would be complied with, they were bound by the regulations. It meant that the grade or standard of any commodity bearing the national mark could be relied upon. Failure to pack according to standard meant the cancellation of a grower’s right to use the mark. There was before the British House of Commons a Bill which provided compulsion on minorities similar to the New. Zealand Control Act. but it was maintained that in connection with those products on which the national mark had been adopted, success was already assured without compulsion. In the meantime the directors had provided that £l9OO be set aside for the development of the local market.. They were of the opinion that the time had arrived when this question should become a distinct section of the federation’s work.