THE FRUIT INDUSTRY

Manawatu Standard, Volume LV, Issue 230, 27 August 1935, Page 5

THE FRUIT INDUSTRY

FEDERATION’S REVIEW. The 19th annual report of the New Zealand Fruitgrowers’ Federation, Ltd., to bo presented at the conference in Wellington next month, states that during the past twelve months business conditions, although difficult, have shown a slightly better tone than for the previous twelve months, due no doubt to a return of the confidence in the industry. The policy of the directors lias been to endeavour to assist growers, while at the same time hearing in mind the need of safeguarding the organisation. “Although the business handled hv the federation during the period under review shows a slight reduction in comparison with that for the same period during the previous year, this is accounted for, in some measure, by the decreased production in the main fruit growing areas,” the report adds. “The fall in Nelson’s export alone was nearly 50 per cent, and in the face of this decrease in fruit production the turnover must be .considered eminently satisfactory. The ravages of codlin moth in both the Auckland and Hawke’s Bay districts also had its effect on the turnover, and we extend to the growers in those areas our sympathy in the heavy losses which they have sustained. The policy of the organisation is to handle, as far as possible, only those lines which have been tested and proved. It lias been possible to make slight reductions in prices of packing material, and it is hoped that further reductions will be possible during the coming season. “Owing to the decreased turnover of £22.000 the nett profit of £llOO naturally compares unfavourably with the previous seasons. Sundry debtors at £54,500 arc at a figure slightly in excess of that for last year, and in view of the low crop, a number of growers are probably carrying forward fairly large stocks of materials. We do not think that this will very seriously affect next year’s figures, if the anticipated large crop materialises for the coming season. Stocks on hand show a slight increase, due also to the aforementioned reasons. All other assets have been written down in accordance will present-day values. In comparing the liabilities, it is noticed that the balance due to the Bank of New Zealand has increased. The increase is. of course, natural after a season such as we have experienced, hut it is confidently anticipated that with better prices obtaining overseas growers’ accounts will ho materially reduced before the end of the year. Sundry creditors have been considerably reduced, and now stand at £4600.

LOCAL MARKETS. “Despite the efforts of the ‘Dominion mark,’ local markets still continue to cause great anxiety. Returns generally are far from payable, and in view of the export restrictions, the question of rational marketing in New Zealand will assume larger proportions than ever !x?fore. Additional quantities of fruit have been handled bj T the department, but prices have been low. Present conditions indicate that) the forthcoming cool store season will show reasonable returns to growers. As a result of a resolution passed at the last Dominion conference, the executive met the president of the New Zealand Fruit Brokers’ Federation, and conveyed the resolution from the conference. Subsequently, the various brokers’ associa-

tions were approached and proposal* were discussed with them, whereby the federation and the brokers could work together with regal'd to the selling and distribution of ‘Dominion mark’ fruit. Finally, the executive met to consider proposals and counter proposals from the Brokers’ Federation. After due consideration, the executive was of the opinion that it could not commit the industry to some of the suggested terms without first allowing the industry an opportunity of discussing them. The proposals will be discussed by delegates to the Dominion conference, and we are hopeful that from their deliberations something tangible will eventuate which will he of assistance to the present policy of the ‘Dominion mark’ department. EXPORT WORK. “At the conclusion of the last export season, namely, November-December, the federation, as agents for the Fruit Board, ceased to operate in connection with the accounting for export fruit, although an arrangement was entered into between the two bodies wlierby the federation represented the Fruit Board in the major fruitgrowing districts. We think all "will agree that the arrangement which was entered into was carried out with credit.”