NEW ZEALAND GRAIN AND PRODUCE.

New Zealand Herald, Volume XXXVIII, Issue 11781, 10 October 1901, Page 5

NEW ZEALAND GRAIN AND PRODUCE.

NO CAUSE TO 11 IMMEDIATE ALARM. The Australian cablo message publisher] in yesterday's issue concerning the delivery of the Federal Budget, announced an increased tariff on certain articles, among other commodities mentioned being grain, in which New Zealand deals with the Coinmonwealth States to a considerable extent. With a view to obtaining some information concerning the probablo effect of tho imposition of the duty on tho export trade from this colony, a Herald representative called on some of the leading merchants of Auckland interested in tho export to Australia of grain, etc., but found that in the majority of cases tho gentlemen Waited upon had not yet given tho question carofull consideration, and preferred not to oxpress themselves other than in a general way, pending further information from their agents and representatives on the other side.

Mr. 11, P. Oakden, manager for Messrs. A. S. Patorson, a firm handling very largo quantities of grain in tho South, when spoken to on tile tariff, said that it means about 7id per bushel duty on grain, a tariff that would undoubtedly liavo a serious effect on tho export from New Zealand during years in which the firms of the colony interested in the trade were carrying a large surplus of grain. At the same time he did not see that there was any great cause for alarm at the present time, and probably not for some two or three years to come, and pointed out that in the case of a drought or grain famine in Australia the Commonwealth States could not do without New Zealandthe market on the other side would have to respond to ours never mind what the tariff imposed might be. The stocks o£ grain held in New Zealand just now are very limited, while there is every indication that the coming harvest will bo a late one and by no means as heavy as was tho case last year. That the stock at present is very limited may be gathered from the fact that the holding in Southland does not exceed about 170,000 sacks, including tho stocks threshed and not threshed in the country and tho stocks carried at the Bluff, Invercargill, Gore, and Waikaka. It was of course not anticipated that the tariff would bo as stiff as that imposed, and Mr. Oakden clearly sees that in tho time of a heavy surplus in this colony and the absence of drought or famine New Zealand exporters must suffer unless direct communication is kept up with South Africa, and that country continues to draw largely on our grain. Present indications (ho considers) point to the continuance of a considerable trade with South Africa, for r.t least a couple of years to come, aa that country will have to draw on New Zealand until matters arc settled down there and agricultural pursuits are thoroughly restored. Mr. Oakden also stated that from information in his possession it was evident that operators in the grain trade in Australia had anticipated the tariff by buying largely, which goes to show that New Zealand exporters cannot look forward to the grain merchants of the Commonwealth States being large purchasers of grain this year, even should there happen to be a Bur plus in this colony. Mr. John Hall, of T. 11. Hall, and Co., in the course of a brief conversation, stated that his firm was mainly interested in the export to Australia of dairy produce, etc., and with the meagre information to hand he was not prepared, without due consideration and further advices, to give an expression of opinion as to the effect of the tariff on the commodities handled by them. He, however, stated that as for as he could see at present the tariff would make itself felt to a much greater extent amoncr the firms exporting grain than with any other merchants in this colonv. Like Mr. Oakden, he foresaw that the imposition of the tariff would be a serious matter to New Zetland grain merchants in the years of a larg; surplus. but pointed out that the trade with Australia depended largely on climatic conditions, as in the case of drought or famine on the other side, the merchants there would be compelled to come to New Zealand for their supplies even if the tariff was much higher than that mentioned in the Federal Budget.