INTERESTING REVIEW

Evening Post, Volume CXIII, Issue 26, 1 February 1932, Page 10

INTERESTING REVIEW

MR. GOODFELLOW ON . EXCHANGE

Reviewing the dairy export situation, Mr. William Goodfellow, managing direc-tor-of the New Zealand Co-operative Dairy Companj', Hamilton, remai'ks on the great increase in consumption of New Zealand Iratter in London following its low retail price. As for the Canadian market, Mr. Goodfellow observes that Montreal quotations for butter approximated 21 cents per lb, ■which-made importations from New Zealand out of the question. As the tariff agreement between New Zealand and Cauada had to be ratified by both Govern-1 ments it was very doubtful if it would be effective during the present export seasou. In any case, Cauada did not require butter at present.

Some f.o.b. business in butter had been done by London operators at up to lO'Jid for January-February shipment and make. The introduction of the exchange pool evidently gave buyers more confidence in a continuance of the present rates. Referring to the exchange position, Mr. Gopdfellow said the Government control of the exchange might be imperative in order to protect the good name of New Zealand in London, but there was no justification for the rate being held down to the existing figure. Extremely ■ high rate's, he considered, would inflate local costs and were undesirable, but nevertheless the rate should be advanced to at least 20 per cent., a figure which would afford material assistance to the exporting industries.