FRUIT EXPORT TRADE

Evening Post, Volume CXVIII, Issue 34, 9 August 1934, Page 16

FRUIT EXPORT TRADE

PLIGHT OF INDUSTRY

THE LOCAL MARKET

"Evening Post," August 0,

"Business conditions have been difficult," reports the New Zealand Fruitgrowers' Federation.

"Whilst it is claimed that in the United Kingdom trade is improving, the position of primary producers in this Dominion has grown steadily worse. The federation is a primary producing organisation, and suffers accordingly. The intense nationalistic spirit which- has spread throughout the world, bringing with it the ring-fencing of every country by -tariffs and quantitative restrictions, has brought about an apparent over-supply of all the foodstuffs in which primary producers are interested. That it is only apparent can be proved by examining the consumption figures relating to these necessities of life. "Nevertheless the fruitgrowers, along with other farmers, are suffering severely under these conditions." '. RESERVE BANK ASSURANCE.

The federation, however, recognises the great assistance given to the industry by raising the rate of exchange New Zealand on London. "The action of the Government in fixing the exchange rate at 25 per cent, (it is stated)- has practically saved the industry from bankruptcy. The net return received by the grower tor the fruit after all packing costs, transport, and selling charges have, been paid is in all congcience small enough, but it is due to the exchange rate that he gets, anything at all for his-export fruit. The actual increase in cost of production by reason ot this exchange on any materials imported has been infinitesimal. The statement by the Reserve Bank that there was no likelihood of a reduction in the exchange rate in the near future will have given general satisfaction." , A VARIETY OF REQUESTS. When the federation meets in Wellington next month it will have a pretty lull order-paper to consider. Among the proposals likely' to be made will be demands for a'refund of tax on motor spirit used in farm tractors as allowed to fishing boats, viz., 8d per gallon; exemption ot niotor-lorries feeding railways from the, heavy traffic licence; discouragement by the Government of further planting ot; orchards until the industry has recovered; from the depression; exclusion of certain: articles and structures, defined as tools of trade," from assessment tor rating; reduction of railway freight rates on carriage of fruit and vegetables; reduction ot rates of freight on fruit on inter-island steamers; and reduction in cost ot ease timbers. BARRED FRUIT IMPORTS. The federation reports that during the year the Australian authorities litted tne embargo in so far as fruit from areas not affected by fireblight in New Zealand is concerned; such fruit is not allowed entry into Australia. But it is understood that negotiations are under way whereby further lifting of the embargo is probab c, and this, the federation believes, should be of benefit to the exporters oE the Dominion, "provided always that any alteration in the embargo does not mean that the local markets will be flooded with Australian citrus fruits." The conference will be asked to approve opposition to "any attempt to hit the embargo on Australian fruit entering New Zealand, it being authoritatively stated that the ravages of the Oriental Peach jUoth in the Gouibtivn Valley alone cost stone-fruit growers £30,000 annually. Various types of fruit fly, thrip, etc., were also a definite menace t:o ihc Zealand fruit-industry." Auckland citrus-fruit growers will pioTiose that "the federation be asked to keep a close watch on matters affecting the citrus industry.with a view to restricting imports of fruit and^ citrus products, including peel in brine." It will also be proposed that bteps be taken to have the importation c _ dried fruits from South Africa discontinued, failing which a substantial duty be nnThe' Government is to be asked thoroughly to investigate the question of importations of canned and dried fruits (believed to be subsidised) from Australia, and tlie "canned and dried fruits and jams from South Africa, as the same is very seriously handicapping the expansion oi the industry, both primary and secondary, in New Zealand. , , With regard to the domestic market remits to be' considered will bo the marking with place of origin of all fraits exposed for sale in shops; a charge to be made for all eases; that ways and means be devised oi "preventing the sale .or apples and pears on the local market at ruinous prices"; that "no apples for consumption be sold for a sum less than 2s per case net ex grower's shed and that every avenue be explored in an endeavour to obtain strict adherence to such a principle amongst growers." , , : The federation urges that the placing "of large quantities, of low-grade fruit on the local markets 'detrimentally affects the selling price of well-graded lines. There is still a vastly greater amount of lowgrade than high-grade Teaching the mar- # kcts." :