POTATO POSITION

Evening Post, Volume CXXIV, Issue 57, 4 September 1937, Page 11

POTATO POSITION

THE EXPORT ASPECT

PLENTY AND PRICE

Potatoes are the basic food of the majority of the people, and New Zealand can, and does, grow a good article. Given favourable seasons, it is a heavy producer, early or new potatoes being a specialty of the favoured Pukekohe district, Auckland, but the South Island is the main source of supply and production there has been heavy this season, so heavy that it has permitted the export of heavy shipments of specially selected and graded tubers to South America. Last year Uruguay and Argentina took 4711 tons; this year the export has totalled 15,580 tons, valued by the Prime Minister, speaking in Dunedin a day or so ago, at £.131,357.

This South American outlet for New Zealand produce has been beneficial to the potato grower by relieving congestion of. the New Zealand market, production this year having been heavy. But for the South American trade potatoes might have been selling at. prices so low as to involve the producers in heavy losses. On the other hand, their gain may be at the expense of the New Zealand consumer.

A 1 Press Association message ■ from Christchurch today states that potatoes provide the chief topic of market interest. Auckland reports state that supplies there are scarce and that prices are high, but it is difficult to account for this statement in view of fairly substantial shipments that have been made to the north recently.

Potatoes are being offered in good quantities from the country, but at present few buyers are available. There are practically no orders from the North Island,. and the trade is not disposed to take undue risks at this late stage of the season. Reports from outports indicate a very dull demand. The price in Canterbury is nominally £8 on trucks, but there is little activity. ARE SUPPLIES HELD BACK? A shortage of supplies of potatoes has been reported from the South Island. It is considered by some Auckland merchants, however, that growers in the south are holding back fairly large quantities and that the present shortage is due to the export to South America. This market was opened last season, and strenuous efforts have been made to exploit it to the utmost. The Auckland market will be dependent on South Island supplies for some weeks, and Jhere is a possibility of an advance on the present high retail prices, which range from 2d to 2^d a Ib. The question that New Zealand consumers, as direct and indirect taxpayers, will ask themselves is, "Why should we be forced to pay high prices for a basic foodstuff in order that people in South America may eat our potatoes?" The supply of first grade potatoes for the New Zealand market is understood to be short, and stocks held are described by a local merchant as including first quality grades, but are largely of inferior sorts, only the best having, been shipped. The position would appear to be dear potatoes and those not necessarily of the best grade. However, Wellington has no shortage of supplies, at prices ranging from £10 to £13 per ton, but, paradoxically, prices are understood to be higher in Canterbury for potatoes grown in that district than they are in Wellington.