BUTTER DUMPING

Gisborne Times, Volume LXXIII, Issue 11737, 8 September 1932, Page 5

BUTTER DUMPING

DANES MAKE A. START.

EFFECT OF THE “CLOSED DOOR” ON CONTINENT.

BRITAIN AND THE 'OTTAWA RUMOURS. ’ (Special to the Times). LONDON, July -28. The early season spurt of Russian butter dumping has broken down, (says tho Empire Dairy Council) but now has begun tho more menacing Danish dump—a steady and persistent increase in exports to tho United Kingdom market to compensate for tho loss of Continental markets. Official figures published this week by the Empire Marketing Board vindicates up to the hilt the prophecies made a few weeks ago hy Home and Empire-butter interests here that tho imposition of quotas and higher tariffs by the Continental dairy importing countries would result in the deflection to the United Kingdom of a substantial proportion of the Danish butter thus rejected. In the' five weeks ended A Fay 27, the Danes’ total average weekly exports dropped by 2000cwts., as compared with the corresponding period of last year, but they sent aOOOcwts. a week more to tlic United Kingdom market while their exports to Germany dropped by fiOOOcwls a woo],. In the next five weeks the United Kingdom quota from Denmark i' nso on an average by 11 .OOOewts a week as compared with 1931. while Germany’s dropped hy 7OOOewts. a week. Tn the fortnight ended July 15, Danish exports to the- United Kingdom again, rose by OOOOcwts per week, while those to Germany dropped hy over OOOOcwts a week, and to other countries by about 4500cwts. OVER- THE TARIFF WALL. T,«hjs li.ttMe statistical comparison at least-, provides convincing evidence that; Britain’s ten per cent, import duty is wholly inadequate m keep out excessive imports when the quotas abroad artificially inflate the surpluses available for dumping in. this country. While Danish production has receded, her output to the United Kingdom has substantially increased. Under Hie inexorable pressure of economic events she is cheerfully tumbling her goods over the low tariff wall. For it is better to pay the ten per coni'- duty and accept a lower price than to have no market at all.

Britain is receiving with phlegmatic reserve the pretty collection of guesswork' reports now emanating Lorn Ottawa. People are equally unmoved by the- attacks on certain British statesmen belonging to the United Kingdom delegation, and litilo credence is given to the reports of disunity. The rumour that agreement lias been reached by the Dominions as to the recommendations which shall be made to the United Kingdom delegation regarding butter has created a lively satisfaction on this side, where public opinion i- certainly not averse in additional restrictions on foreign* particularly Russian imports, but it is recognised ilia I agreement between the Dominions is only the first stage.

The reception accorded the Dominions’ recommendations hy the British delegation will bo known long ere this letter reaches Now Zealand, hut if. mav safely be predicted that the extremely friendly relations established by,the New Zealand Dairy Produce Board, with the United Kingdom producers will lubricate the wheels of negotiations during the next- few da vs.