N.Z. DAIRY PRODUCE

Greymouth Evening Star, 16 April 1934, Page 5

N.Z. DAIRY PRODUCE

EXPORTS TO BE RESTRICTED? [PEB PBESft ASSOCIATION.] WELLINGTON, April 15. Although it is not unanimous, the Dairy Export Board is believed, by a majority, to have bowed at last to the Government, and accepted the principle of a definite restriction upon the exportation of dairy produce to Britain. The past week’s conference between the Cabinet and the Board has been secret; but word has leaked out in Auckland that, while negotiations continue, the Board has capitulated. It is stated that the Board has given the Cabinet to understand that, if the Government cannot devise any other way of raising prices on exports, the Board reluctantly will consent to their restriction in accordance with the wishes of Britain. This is a remarkable reversal of the stand which for two years past the Board has been making against the curtailment of exploitation or production. How tne dairy farmers generally will react to tne development is yet scarcely indicated, but production seems destined for a definite setback.

No. statement has yet emanated either from the Ministers or Board members, Mr Forbes having said that the matter itself and the continued negotiations remain confidential. Dominion arrivals and stocks of butter and cheese in Britain are substantial, and the price is not improving. The final decisions are yet awaited, but the restrictions reported to have been agreed on in principle will be of a character enforcable in legislation.

There are reports that the exchange I rate may presently be lowered by at least five per cent. There is now some difficulty over transfers. PRIME MINISTER’S STATEMENT. 1 CHRISTCHURCH, April 16. I Rumours that the Government, as J the result of the recent conference -i With representatives of the Dairy Cori/- | trol Board; is considering the question of the restriction of export for I the dairy industry, are not edrifirriied' | by the Prime Minister, who was iri- ■ terviewed; ,

“The Dairy Board,” said Mr Forbes, “waited oh tlie Government with reference to the present position of the dairying industry, arid advanced recommendations. We answered that their requests would be given con si deratiori at the first opportunity. Tlie matter will' be considered this week. Mr Forbes added, in reply to a question: “Tlie British Goverririierit is not troubling about the question of quotas. It has made other arrangements. I do not think that the quota is one of the remedies that can be applied.” BOARD REPLIES TO CRITICS WELLINGTON, April 16. In a statement, replying to criticism regarding the distribution of New Zealand dairy produce in England, the New Zealand Dairy Produce Control Board states: Such criticism usually comes from New Zealanders returning from a holiday at Home. In the majority of cases, it alleges one of three things—lack of publicity, poor diiSr tribution, or low quality. The suggestion is made frequently that secondgrade butter should not be shipped, as it affected the reputation of New Zealand butter generally.

The Board points out that during this season £37,<500 is being spent on advertising in England, the levy having been increased to allow this to be done.

The lack of distribution idea is purely a myth, for New Zealand butter can be obtained throughout England, even in the smallest villages. No second-grade butter from New Zealand is now sold in the shops in England, the very small quantity that is shipped going direct into manufacturing channels under the Board’s supervision. Sometiriies, low-grade butter is sold under the “Empire” brand, and if a buyer asked whether it was New Zealand butter, he may be told it was, and thus wrongly obtain prejudice against our butter. There is still hope that at some later date, an amendment to the Merchandise Marks Act may riiake it compulsory to sell butter under the name of its country of origin, in which case New Zealand would certainly benefit. NEW TRANSPORT PROCESS. CHRISTCHURCH, April 15. Now that indications at Wellington are for the imminent restriction of exports of butter to the Uniteu Kingdom, it is announced that the new process, which will enable butter to be shipped from New Zealand unfrozen, is a complete success. The process will enable the butter. to ariive in England with all its original freshness, and so compete in quality with the Danish butter. It is believed that the lower moisture content of the new process product will become a factor under any British quota scheme, which mignt be brought into operation. . The first calculations for a. saving or £371,000 to the industry in New Zealand by the reduction in moisture have been accurately checked and are now thought to be conservative. Further, export would be reduced by 8000 tons, basing that figure on present output, while quality would be enhanced. The new process, therefore, will in a great measure meet the export restriction, and exporters are viewing the imposition of the export quota without the apprehension that would have ruled under the old conditions. . This week will see the flist shipment leave the country under the process, introduced at the Kiwi Dairy Company’s factory at Christchuich by Mr L Hansen, manager, for the investors, who belong to Christchurch. The investors expect a revolution m transporting if satisfactory arrangements can be made with the shipping interests. Mr Hansen says that under the new method, butter is made under a vacuum process and treated by the , carbon-dioxide method to keep it fresh for the trip to the British Market. The manufacture is of the Danish type, and keeping tests up to six months carried out locally have been completely successful. The trial shipments are small and are being carried out by private contract, but Mr Hansen states that the process enables one plant to turn out 100 tons a day, which was more than enough for any New Zealand factory. The cost of the treatment was only 7/6 per ton, and it was expected that New Zealand butter under the process would fetch a penny or twopence per pound more in Britain, the freshness being retained

to enable the commodity to compete equally with Danish butter. AUSTRALIAN APPRENSION. SYDNEY, April 16. The “Herald’s” Canberra, correspondent says that the United Country Party fears' that if the suggestions made by Mr. Bruce for the limitation of exports of Australian primary produce are adopted, they will have serious repercussions on Australian agricultural industries. Members of the Party in the Federal Parliament will strongly oppose the proposals, which are now being discussed. MEAT IMPORTS REGULATION (Recd. April 16, 10.15 a.m.). LONDON, April 15. The Reorganision Commission for fat stock, appointed by Mr. Elliott, under the chairmanship of Lord Bingley, has recommended the regulation of imports of meat, whether, fresh, frozen, or chilled, from foreign and Empire sources. It is suggested that negotiations with the Dominions should be opened immediately. The autumn imports should' be regulated with especial care, giving the Home producer a freer market. The Commissioners consider that the Livestock Marketing Board, in consultation with the trade, should approve persons, through whom the producers should sell, thus encouraging the most efficient channels of marketing. The Commission also favours the centralisation of slaughtering.