IMPORTED FRUIT

Dominion, Volume 31, Issue 203, 25 May 1938, Page 12

IMPORTED FRUIT

Prices For Oranges And

Bananas

MINISTER’S REPLY TO CRITICISM

“It is difficult to believe that a retailer should contend that the ruling prices for bananas and oranges in Auckland are excessive under a regulated market or that both these fruits a.e dearer to-day than they have been for some years." said the Minister of Marketing. Hon. Walter Nash, in a statement last evening commenting on an Auckland complaint published in “The Dominion” and other newspapers vosterday. "There are no grounds for the assertion that prices have been permitted to soar at auction under the Government’s scheme of regulation and that retailers have been placed in a false position with the public because the people do not appreciate the high prices paid by fruiterers and therefore expect cheap fruit. “It can be and has been definitely proven that the prices of bananas in Auckland this year have been on a cheaper level than previously, due largely to the fact that since the Government took over in April of this year the total quantity of bananas imported into this country has been considerably increased as compared with last year’s figures,” continued the Minister. "The position concerning the shipment of Cook Islands oranges which arrived on May 4 by the Matua is perfectly clear and simple. Maximum Prices. “Instructions were issued by the Director of Internal Marketing, who paid a special visit to Auckland in connection with the shipment,, that the fruit was to be sold not. in excess of the prices indicated by him. The maximum prices “f Mangaian oranges to which the Auckland complainant has referred ranged according to' size, which regulates the count in each case, from 13/6 to 19/6 a case, the intermediate prices being 14/6, 16/-, 17/- and 18/-. “It was clearly understood by the merchants, however, that such prices were maximum prices and must not be exceeded, except in a few instances in which a small charge for cool storage and repacking, where necessary, was to be added. One firm in Auckland contended that they misinterpreted the instructions as to prices. In fairness to the other merchants in that city and throughout New Zealand, however, it is necessary to state that there was no misunderstanding or misconception as to values in any way so far as they were concerned, the latter having disposed of their consignments at the prices indicated, including where necessary, a small additional charge on such portion of the fruit they were obliged to put in cool store. It was a surprise to the department to learn, yesterday, that a small quantity of Mangaian oranges had been offered under the' hammer in the morning by that firm and that, three cases were sold at 29/3 a case, while the balance, 26 cases, were sold at prices below the above rate, and ranging down to 19/-. “Many thousand cases of Cook Islands were imported this month, and of this number three only were sold at the high price mentioned, and every case other than the 26 already referred to has been sold at the prices arranged by the Government.” Instructions to Firm. Mr. Nash explained that as the prices charged by one firm were contrary to instructions, the Director of Internal Marketing immediately advised the firm definitely and emphatically that on no condition were any further quantities to be offered at prices other than those fixed. “The Auckland complainant. Mr. S. Coleman, also referred to (lie non-im-portation of Australian oranges.” said Mr. Nash. “While small shipments of Australian oranges have in the past been imported info New Zealand during the month of*May, it is well recognised in the trade that such early shipments have a detrimental effect on the market here, owing to their lack of sweetness, which makes them unacceptable to the public taste —a view which is substantiated by the merchants throughout the Dominion. Accordingly, arrangements were made whereby importers could continue to import Californian oranges, which are popular and sweet-tasting at this time of the year. “lir order, however, to guarantee that the public would be assured of procuring Californian oranges at reasonable prices, a small shipment by way of reserve was recently importer] into the Dominion by the Department. Importers strongly advocated that the immediate marketing of these oranges would involve them in serious financial losses and, accoi<ngly, the department undertook not to release the shipment until the end of this month. Shipment from Australia, “The fl st shipment of Australian oranges is leaving Australia for the Dominion next week, the quantities being imported from that source being adequate to ensure that the fruit will be sold a- reasonable prices.” Mr. Nash indicated that the Government would do everything in its power to enable the public of New Zealand to obtaiu supplies of oranges and bananas at. prices consistent with reasonable costs of production, plus transport and distributing charges. Referring to the fixing of the price of Samoan bananas since the Government introduced market regulation, lie said the prices charged had been lower in Auckland than elsewhere in the Dominion. The last shipment that arrived was sold in Auckland at 15/6 a case for best-quality green Samoans, the quantity imported and allocated to Auckland'city having been determined after taking into consideration the viewpoint as expressed by the Auckland fruit merchants.

Cost of Ripe Bananas.

“Dealing with the question of the high prices obtaining for ripe bananas, we cannot dispute the fact that for a ridiculously small proportion of the total shipment prices have soared above what the Government considered to be a reasonable value,” said Mr. Nash. “When this was pointed out to the Director of Internal Marketing, however, immediate action was taken to avoid a recurrence of the trouble, and instructions have been issued to the distributors concerned that in future the price of ripe bananas shall be based on the original green ex-wharf prices plus out-of-pocket expenses for ripening and other incidental costs only.

“The step which the Government has taken in connection with the marketing and distribution of imported fruits has been endorsed by fruit retailers and the public generally.” concluded the Minister, "and it is difficult to understand why such a statement should be made by a representative of that section of the trade which has so strongly

advocated Government regulation of the marketing of these fruits. The action we have taken has already been amply justified, especially considering the fact that the scheme has only recently been introduced. This is exemplified in the prices being charged for good-quality bananas and oranges all over New Zealand, and in Wellington to-day retail prices range from eight to 18 bananas for a shilling, oranges being priced at five to 12 a shilling, and up to 16 a shilling for lower-grade lines.”

DUNEDIN MAN’S COMMENT

Public There “Better Off Than Ever Before”

By Telegraph—Press Association. Dunedin, May 24.

“The Dunedin public is better off than ever before as far as the marketing of fruit is concerned." a member of the fruit trade in Dunedin said to-day when asked to comment on the complaint by Auckland retailers that the Government scheme of control had had the effect of increasing the price of bananas and oranges. Before Government control came into operation. Auckland paid the lowest lauded cost for fruit, he said, and the cost increased steadily, by reason of extra transport charges, as it reached the southern centres. Now, however, the Government had fixed a landed cost based on the average transport charges paid by all centres, so that Auckland, which had been geographically favoured in the past, now assisted in the payment of extra lauded costs which had hitherto been borne by southern fruit traders.

The high prices paid at auction for bananas and oranges in Auckland, however, could have no parallel in Dunedin. where fruit was not auctioned but was sold at a fixed price.