Effects Hard To Foresee

Northern Advocate, 10 January 1939, Page 7

Effects Hard To Foresee

-SAYS MERCHANT

When the fixed prices for kauri gum were referred to Messrs M. and S. Kokich, gum merchants, of Whangarei, they commented that it would be very difficult to foresee the actual effect the move would have upon the industry. The minijnum prices were perfectly reasonable compared with those ruling recently, said Mr M. Kokich. The guaranteed price would probably suit the digger in a bi'g way, but it was possible that the smaller digger might find the trade less attractive. Standardising Too Late

Whilst standardising the gum was a move in the right direction, Mr M. Kokich had one fault to find; he believed that this move should have been made immediately after the war when gum was in great demand and large quantities of indifferent quality were shipped overseas. So far as the guarantee was concerned, Mr Kokich felt that the Government may have “bitten off\ more than it can chew.” Any ofrm of guarantee is difficult when market prices are subject to fluctuation. No Official Communication His firm had received no official communication in regard to the subject, but Mr Kokich interpreted the press message from Auckland to mean that diggers could sell to the highest bidder, and need fall back on the Government only when times were bad. Grading of kauri gum was a difficult task,, it was expained, and could be done with precision only when machinery was available. - In the case of the buyer on the field it was a matter of judgment based on x’esults of px-evious consignments graded at Auckland. Quality Gum Scarce Whilst the prices offered for 80 per cent, pure gum indicated that quality gum was required, it was stressed that often much work was involved in obtaining gum of this type. With very little virgin gum land left, the product was well mixed up with soil after previous diggings and consequently was in a much less pure state. Considering that lesser quality gum was generally available, Mr Kokich doubted if it would pay diggers to endeavour to bring the gum up to the 80 per cent, standard.