SALES TO THE EAST

Evening Post, Volume CXVI, Issue 31, 5 August 1933, Page 12

SALES TO THE EAST

N.Z. DAIEY PRODUCE

NO PROFIT IN THE TRADE

(By Telegraph.) (Special to the "Evening Post.") CHRISTCHURCH, August 4. In spite of assertions to tho contrary, tho Dairy Board is not convinced that New Zealand can extend its sales of dairy produce in tho East to any appreciable extent, according to a statement made by the secretary to the board (Mr T 'C Brash) in addressing a conference of dairy company representatives in the Chamber of Commerce. He also said that the board was now able to afford only £10,000 a year on advertising overseas, but this was quite an inadequate sum. "The board has been dealing with tho question of marketing in the East for sonic time, and no opportunity is being missed," said Mr. Brash, "but quite frankly, there is no likelihood ot any great quantity of New Zealand dairy produce finding its way to that market." The quantities of butter shipped to Eastern ports during the last two seasons were given as follows, the 1931----32 quantities being shown first: —India, Burma, and Ceylon 2900 and 2500 boxes; Straits Settlements, Dutch East Indies, and Philippine Islands, 2600 and 5000 boxes; Japan, 1200 and 1000 boxes; Shanghai and Hong Kong, 2000 and 6500 boxes. Totals, 8700 and 15,000 boxes. . Last year Shanghai and Hong Hong imported about 600 packages of New Zealand cheese, and this season approximately 700 packages were sent there, said Mr. Brash. However, it was only some of tho European population and some of the wealthier Chinese and Japanese who were able to buy imported butter and cheese. Japan's population of 60,000,000 could' consume only about 2000 tons of butter a year, and of that amount about 1200 tons were made in Japan. New Zealand and Australia shared the quantity imported. There was, however, a duty of about 6d a pound on butter entering Japan. China's total imports were about 500 tons of butter a year, the Dutch East Indies imported about 3000 tons, and Malaya a very small quantity. Australia had a regular fortnightly service to Eastern ports, largely because she supplied wheat and flour to those countries, approximately £1,000,000 worth of flour alone being shipped. Apart from this Australia imported goods worth about £7,000,000 a year from the Dutch East Indies. To ship New Zealand goods to the East would cost almost twice what it cost to ship goods from Australia, and this, together with the regular shipping, almost gave the trade to Australia. The total export of butter from Australia to the East was about 5000 tons, and it was not increasing. Australian merchants, incidentally, were of opinion that it would not increase. To enable New Zealand to gain a larger share of the present'sooo tons would mean cutting prices to a point that would make trade quito unpayable, said Mr. Brash. There had been no profit in tho trade to the East with dairy produce, but those who had been shipping small, quantities were attempting to hold what trade there was in the hqpo that it might improve.