POTATO PROBLEM

Evening Star, Issue 23325, 22 July 1939, Page 16

POTATO PROBLEM

SHORT SUPPLIES: PRICES HIGH WHAT GAN THE TRIBUNAL DO 7 GRADING REQUIRES ATTENTION Potatoes continue to soar in price, and to-day King Edwards were worth about £l6 a ton and Arran Chiefs about £ls a ton. Such prices are phenomenally high for this period of the year, would be high, indeed, for the tail-end of the season when prices usually reach their maximum. In 1935 potatoes sold at £l6 a ton in September and October when the season was dying; a year or two before that oven higher values were obtained, somewhere about £lB being the figure. If to-day’s prices are the equivalent of unusually high end-of-season values, what will be the market price at the end of this season ? That is a question which cannot as yet be answered. Potatoes are in very short supply and local stocks are almost exhausted. Consignments will shortly have to come from Canterbury, where stocks are not in very much better shape. As values to-day are £lO

tt tl **'" ‘** rtli on truck in Christchurch, it will be seen that by the time railage and handling charges are incurred the values in Dunedin (without profit) will be well over £l7. That is on to-day’s quotation. In another month the quotations will be higher. " '" . ■ For a while it was anticipated that the end of the season values might not be as high as first thoughts would suggest. North Island potatoes, due to the mild early winter, were coming along rapidly and early diggings were expected. During the last fortnight, however, conditions have been severe, and even in the North Island snow and frost have beeii fairly general. At least some potato losses must have resulted there, but so far no information is available locally as to the extent of the loss. It will be largely on that basis that later prices will be affected here. TRIBUNAL INVESTIGATIONS. The tribunal appointed by the Government to investigate high prices has claimed (rightly) that potatoes are too costly, and, moreover, has advanced the information that _ potatoes are not a perishable commodity. _ It is not known locally how the tribunal will adjust prices when stocks are short, for the demand, under such circumstances, must regulate prices. When stocks are low the vendor can refuse to accept anything but his own values, and these are readily forthcoming for a commodity as essential as potatoes. The tribunal, however, might be able to check speculation in potatoes. This goes on to some extent every year, and probably has been effective to a degree this year. But speculators are canny beings, and they do not care to indulge in their pastime when prices are high, consequently it is doubted if there is, or has been, much speculation this season. Locally, very little speculation takes place, most brokers dealing on a commission basis. The statement that potatoes are not perishable is regarded as somewhat amusing by local dealers. It is tnie that they have a longer life before deteriorating than most vegetables, but they are none the less perishable. They are, even when bagged, subject to climatic changes, and become soft and develop sprouts after being out of the ground any length of time. It is argued that if the tribunal paid some/ attention to enforcing satisfactory grading it might be doing more to make itself really useful. In seaons such as this, when potatoes are scarce, farmers have no hesitation in “ burying ” in the middle of a sack green, diseased, small, and seed potatoes, just to increase the weight. When potatoes are plentiful these “ undergrades are thrown aside and fed to pigs ; but as they are worth their weight in silver at present they cannot be thrown away, so the grower considers. If farmers were forced to stipulate on _ sacks, names, addresses, variety, and size this sort of thing could not take place, oven when potatoes are at their tj ,o Ugijt that to-day potatoes are being held anywhere just to bump up prices. Otago crops are almost exhausted. That is quite certain. A visit round the large stores will reveal that there are only a few tons in the city. If the North Island crop is not as early as originally anticipated in a few weeks’ time there will be one of the biggest scarcities of potatoes ever known in Dunedin, for Canterbury, as has been intimated, is almost as barren of supplies. There are plenty in Australia, it is believed, but at £2O a ton in Sydney, can it even be suggested that importation from there would solve the question of price, even if the ouestion of quantity was partially solved ?