BUTTER EXPORTS

Evening Post, Volume CXVI, Issue 105, 31 October 1933, Page 11

BUTTER EXPORTS

MANUFACTURE OF BOXES

SWEDISH COMPETITION

The statement that ;thr. Dominion absorbed approximately 4,500,000 butter boxes per annum, and that it was estimated from a knowledge of the orders in the Auckland province that orders for about 1,000,000 boxes had gone to Sweden in the current season, was

made before the Tariff Commission today in support of an application by X.D.V. Boxes, Ltd., Auckland, for retention of the existing duty on imported boxes. Mr. A. E. Mander, secretary of the New Zealand Manufacturers' Federation, represented the company. It was stated that the principal-com-petitor of the Now Zealand butter-box manufacturers was Sweden, which supplied a standard sawn, nailed box. Until a few years ago New Zealand boxes were similar but owing to the necessity of conserving local timber the wire-bound box was evolved. This contained much less timber than the Swedish box and was undoubtedly _ a much superior article. Owing to improved manufacturing methods the cost of Now Zealand boxes had been reduced considerably during tho past twelve years. Swedish boxes had been sold during the present season at lljd delivered at the-factories. The actual cost of the timber in the Swedish box, if produced in New Zealand, would be 10.8 d, which left no' margin whatever for manufacturing charges, freight to New Zealand, cartage, exchange, and profit to the manufacturer. It was obvious, therefore, that Swedish timber and labour were available at a low figure which New Zealand manufacturers and sawmillbrs could not attempt to touch. The X.D.V. Company had reduced its selling P^^tols Id per box and had sold over 1,000,000 boxes at that price during.the current season. If'the ordeivgjveri to Sweden had been placed in New Zealand, about a- hundred extra hands would have been given employment in the manufacturing alone, and besides the timber the cost would have absorbed. £30,001) in timber royalties1) railway iroights, and labour. In tho ■ making of butter boxes a certain amount of secona-gratle timber was left, which could bo most profitably made into fr.uit cases. \\ un an additional output of 1,000,000 boxes iii' Now Zealand overhead. charges would naturally decrease, which would tend to reduce tho price of boxes slightly in addition to the gain in.employment and tho utilisation of _moro local timber and other raw materials. . '