A LEAK STOPPED

Evening Post, Volume CXIII, Issue 141, 18 June 1927, Page 10

A LEAK STOPPED

APPLE GUARANTEE

STATE'S LOSS LAST YEAR

A BETTER OUTLOOK

Considering that Governmental " economy " is in the air, and. that there is even some talk of raising the incomo tax, it is good news to hear that this year the State will not be called on to find money under the apple export guarantee to anything like the amount paid out last year, & 82,619. ( In fact, though nothing- official is available on the subject, it is understood that the Governmental expenditure under the head of the guarantee will be quite small. Last year was coal strike year in the United Kingdom. New Zealand and Australian apples arrived at a bad time ,—bad for delivery and doubly bad for consumers' purchasing power. The British industrial paralysis gripped the young apple' export industry of this country at a very critical stago of its growth. The Dominion's .very best season for apple and pear production turned out to be Britain's worst for business and • buying. On the whole, the New Zealand Government was lucky in getting out with a guarantee disbursement of £82,619. AUSTRALIAN PESTS.' Last year these ovents figured much in _tho Press; this year little has been written. In this case, no news has been good news, for the New Zealand apples have had a successful export year. But in Victoria there has been a lot in the papers, for a local calamity (the thrips pest) has practically ruled that State out of the apple harvest. Indeed, Australia generally has had an indifferent year from the point of view of pests, which fact may to some extent have helped the prices of New Zealand apples on the British market.

When it became known last year that the New Zealand apple crop was a "bumper" one, and would yield about 700,000 cases for export, speculation became active as to whether the oversea demand would maintain a level equal to the economic marketing of a crop which must increase more and more as orchards come into bearing. Anxiety was increased by the strike Conditions referred to. The results of this year ! therefore come as something of a tonic. The tendency of apple production to expand is indicated by the fact that though much of the fruit, particularly in.Hawkes Bay, was ruled out of the export market through being marked by Uail, the export this season is expected to reach a figure not very much loss than last year's; it is 1-expected to total 670,000 cases, of which Britain should' take 600,000, South America 70,000. The degree of success attained encourages the hope that New Zealand is building up such a position in overseas markets as will make the exportable surplus profitable, and that the Government guarantee, which has been invaluable in establishing the finance of apple export, will presently become unnecessary. When it is remembered that apples account for about 75 per cent, of the 30,000 acres of commercial orchards in New Zealand, the importance of giving the apple industry.a sound leg in external markets, as well as one in internal markets, is obvious. LOCAL MARKET CONTROL. Mention, of tlie local market is a reminder ; that the Fruit Control Act provides for control of supplies to the local market, but apple-growers, consider that the votir.g requirement of tho Act—under which local control cannot be set up save on a 60 por cent, vote of all thoso entitled to vote—is too stiff. They regard 60 per cent, as high, arid consider that the percentage should be calculated on those who vote not on those entitled.

If local control boards were set up they would find plenary powers in the Act, but it is recognised that control is not a very popular word just now, and it has been suggested that any local control board should undertake to abstain from exercising the full powers of the Act. In that caso, the board would bo known as much by its pledges to do as by its pledges not to do. In some quarters it is considered that a local control board or boards should concentrate on the standardisation of fruit going into the local markets. If standardisation means compulsory grading, a complete insistence would evidently mqnn a largo and expensive inspectorial staff; but it would bo a much simpler process to merely onforco a minimum quality, and by such means it is considered that the low grade fruit now sent to market could be shut out without incurring any excessivo inspectorial cost. Compulsory elimination of all apples below, a certain grade, and voluntary schemes of standardisation supported by thoso growers who know what grading means and who are prepared to take tho trouble, are put forward as.a Bafe line of compromise—a starting-point in the work of improving marketing. If mention is made of the Dairy Board's setback, the fruit grower will probably reply that the dairy controllists attempted too much too quickly and that butter and cheese, with their storage possibilities, are an altogether different proposition .to apples and pears.