THREAT OF LEGAL ACTION AGAINST FRUIT GROWERS

Gisborne Herald, Volume LXXVII, Issue 23219, 3 April 1950, Page 4

THREAT OF LEGAL ACTION AGAINST FRUIT GROWERS

It would be unfortunate if the future of orderly marketing of apples and pears, which was desired by the great majority of growers, should be prejudiced by the short-sighted actions of a fetv, aided and abetted by other sections of the fruit trade, said the chairman of the Apple and Pear Marketing Board, Mr. Harry Turner, Wellington, in an interview, and he hinted that legal action would be taken in a few r days against some growers who were “black marketing” in fruit. He said the board had been active in securing evidence of some of these "black market" transactions and more probably would be heard when action was taken under the board's regulations. Mr. Turner believed that only a minority of growers was concerned. Mr. Turner said he wanted to clear up any misapprehension about the responsibility of the Marketing Department. The department, in terms of a legal agreement, acted as agent, of the board for the assembly and distribution of apples and pears. It dealt with payments to growers, accounting for sales of fruit made by merchants, etc. All matters of policy, which included the fixing of wholesale prices, the release of varieties and the arrangement of export contracts, were dealt with directlv by the board. The board had no desire'to evade its responsibilities, and tile true position was known to most merchants and retailers. Responsibilities Realised Commenting on the suggestion that prices were too high, Mr. Turner said the board had a responsibility under the Act to pay growers a guaranteed average price for all apples and pears submitted for purchase. Storing and transportation costs had increased considerably and were still rising. Wholesale prices had been higher at this time of the year than in recent seasons. The board desired to submit for sale the best quality apples and pears available at prices which would enable it to trade over the season without loss. In the past prices for mid-season fruit had been held by price controls at unreal levels, and up to and including the 1048 season it had been necessary for the Government to subsidise the industry. No direct subsidy was now payable, but as the growers’ price was guaranteed by the Government, il was necessary for the board to market apples and pears at prices which would cover costs.