CITRUS FRUITS

Northern Advocate, 14 July 1933, Page 6

CITRUS FRUITS

SUPPLIES FROM AUSTRALIA. NON-LIFTING OF EMBARGO. RETAILERS PERTURBED. (Special to “Northern Advocate.”) AUCKLAND, Thursday. Citrus fruit importations from Australia and the embargo thereon formed the principal item on the agenda at a meeting of fruit retailers yesterday, and it was decided to. send the following resolution to the Acting PrimeMinister, the Rt. Hon. J. G. Coates; — “This meeting yiews with grave concern the seeming lack of sympathy of the Government in regard to ihe importation of cheap orange?, mandarins and pines from their only economic place of production, Australia, and we respectfully request your very urgent consideration of the matter. “Further, we will communicate immediately with fruit retailers throughout the country to organise a Domin-ion-wide consuming public petition to press upon Parliament the extreme gravity of the situation. We also beg to inform you that this week’s shipment of Island oranges has not reduced local prices to any material extent, and the wholesale prices still range from 1/4 to 1/7 per dozen, and we cannot possibly retail them at less than 2/ per dozen.”

ORANGE EXPORTERS. FEDERAL ASSISTANCE. LOSS OF NEW ZEALAND TRADE. CANBERRA, July 11.. The Federal Cabinet has decided that the Government will guarantee to exporters of oranges, for the current season only, reimbursement of their "out-of-pocket marketing expenses, in order to compensate ior the loss of the Now Zealand market for Australian citrus fruits by the operation of the fruit embargo. . The decision was announced by the Prime Minister (Mr Lyons), Avho said: “The Government acknowledges that the sudden loss of its most important export outlet has been a severe blow to the Australian citrus- industry. The circumstances are quite beyond the control of citrus growers, and considerable difficulty is being experienced in rapidly developing new iharkets, or increasing exports to existing markets, apart from New Zealand. The Government also realises the importance of stimulating the export of oranges to other countries, not only to compensate for the loss of the outlet in New Zealand, but also to prepare the way for the satisfactory disposal of the surplus of the future, which is estimated at 1,000;000 bushels when all groves are in full bearing (about 1936). ’ “Last year orange exports amounted to 339,000 bushels, of which 260,000* bushels went to New Zealand.

“In view of the circumstances, the Government has‘decided to guarantee to exporters of oranges, for the current season only, reimbursement of their out-of-pocket marketing expenses! This arrangement means that eo-dperation is established between the growers and the Government. The grower will provide the fruit and meet the market; the Government will bear any loss of out-of-pdeket expenses. The Minister for Commerce (Mr -Stewart) will immediately convene a conference of representatives of the industry and Commonwealth and State departments to discuss conditions under which fruit will be picked and packed, so as to ensure the greatest measure of protection to growers and the Government. The help thus afforded the industry Will enable it to adjust itself to the loss of the New Zealand market, and will, the Government hopes, lay the foundations for an expanding export trade in oranges, ”

Proposal Explained. In a statement later, the Minister for Commerce (Mr Stewart) emphasised that the proposal was free from the undesirable features associated with the bounty method of assistance. “ A very real difficulty in the .way of market exploration,'”' said Mr Stewart, “lies in the heavy expense of packing and transport connected with export, these costs greatly exceeding the value of the fruit itself. It is estimated that the costs of marketing in the United Kingdom amount to 13/ an export case of one and a half bushel. In the circumstances, it was felt that the Government would be justified in encouraging the enterprising export grower by indemnifying him against the loss of his out-of-pockot expenses, leaving him still to carry the risk of the fruit itself. The basic principle of the arrangement is that, should the prices realised in England or other oversea markets, plus exchange, -be insufficient to meet the marketing costs, the Government will reimburse the grower to the extent of the shortage. We have already received evidence of the wholehearted support, of the growers, and have been assured of their loyal co-operation.”