NEED FOR NEW MARKETS

Hawera Star, Volume LII, 7 July 1932, Page 6

NEED FOR NEW MARKETS

dominion dairv produce POTENTIAL SOURCES OF DEMAND MINISTER ADVOCATES URGENCY The need for an expansion of New Zealand’s dairy produce nfaxkets and the desirability ox securing direct contact with potential Continental and Eastern sources of demand were, stressed by the Hon. R. Masters', Minister of Industries and Commerce, when speaking at the opening of the Stratford AYmter Show; last evening. The quantity and quality of practically "all, exports liad greatly ' increased owing to tlie adoption of better and more scientific methods, and it was his desire, to put before the people the absolute necessity for realising that while they were making use of those scientific methods of improving their goods they were, failing at the other end in marketing those very fine goods, s.aid All* Masters. 'Whereas in 1914 Great Britain imported £24,000,000 worth of butter, in 1931, with an increase in population of only 2,000,000 people, it imported £46,000,000 worth. This indicated that a point might shortly be reached where Britain would, be unable! to absorb much, more of the class of goods New Zealand was sending. G BOW Til OF EXPORTS In the same, years, the amount of cheese imported increased from £7,966,000 worth to 4:9,000,000, and wool from 4:31,000,000 to £6o,ooo,ooo—the latter figure for sake, of more correct comparison being taken in 1928.. Of meat £62,000,000 worth was imported in 1914 and £90,000,000 in 1931. AU that primary produce was going on to the same market, and it had to be remembered that foreign countries were also qx-j pioiting that market for all they werei worth. For instance, in 3,914 Denmark \ exported £24,000,000 worth t.q Britain, ■ but in 3.930 the volume had grown to £52,000,000. Thus, unless New Zealand found new markets it would be'in' the position of having all its eggs in the one basket, and that basket in danger of being overloaded. In view of the large increases in the production of other countries the position looked serious unless there was aif alternative. An alternative lay in the search for new markets, and those markets were open to New Zealand provided energy and initiative were displayed in their exploitation. At present 92' per emit, of New; Zealand’s' exports wept te British territories and 88 per cent.' to Britain. Contrasting with this, South Africa exported only 51 per cent, to British territories, Australia only 53 per cent, ami Canada 27 per cent. YVlhere, aske.d the Minister, was the balance going ? To outside, markets,' of course. France imported £52,0p0,000 worth of butter, cheese, wool and hides per annum, but only £4IB,OUQ worth came from New Zealand. In considering those figures Mr Masters reminded his hearers that Great Britain did not itself absorb all the produce imported but in turn exported a great deal to the Continent of Europe.. SECURING DIRECT CONTACT. It was for New Zealanders themselves to get into direct contact with the purchasing Continental countries. As an illustration of what might be done, he said Germany, certainly a difficult country to trade with, used imports worth £77,000,000, of which New Zealand shared to the extent of only £306,000. Belgium, a country desirous of trading 'with New Zealand, used £20,000,000 of the products New Zealand, exported, birfc tiie Dominion sent only £145,000 direct. Every week he received letters from China; Japan, the ' Malay States, Penang, Singapore, and the Dutch East Indies, all inquiring why New Zealand did not push its export trade in those countries. The Alalai- States, he explained, imported over 250,000 boxes of butter last year, but only 1000 came from New’Zealand. It was' Australia that was doing the trade there.

He had been told that the trouble lay m shipping/ said Mr Masters, but recently a Japanese shipping line had agreed to run direct to New Zealand, subject to a guarantee of secui-ing full refrigerating loads, and would carry produce direct to China. Another steamship company was also willing to operate in the same waters, so shipping could not be considered a serious obstacle.

“I am willing to dip into the future, and I can realise that unless we in New Zealand are more alive to the position of our exportable commodities in from eight to teii years we may see butter-fat at a ’much loweu price than that which rules to-day,” said MiMasters. “The responsibility is not wholly mine; it is not my function nor my duty to market goods, but my services and my advice are at the disposal of anyone who seeks it.” New Zealand had its dairy boards, its meat boards, its fruit and honey boards, whose' duty it was to market the produce they were concerned with. He understood those several boards had collected over £500,000 from the producers for that- purpose, and today it seemed undoubtedly their duty to explore other markets. Mr Masters felt it an opportune time to bring such matters ‘before an audience of primary and secondary industrial people who, lie said, were keenly interested in his subject, and he hoped if anything lie had said could do anything in the direction of stirring up thoughts regarding new markets, then he would feel he had done something in the interests of primary producers of New Zealand. If one reviewed tbe past a record of progress over a period" of years could be seen, and was 1 it reasonable to assume that deterioration would set in? What was being experienced now had been experienced before. The country would emerge from it and the experience would probably do much good. “AVhy, iii the words of Macaulay,” he said, “should we look back to see nothing but progress and look forward to nothing but"deterioration ?”