MARKET FOR POTATOES

New Zealand Herald, Volume LXX, Issue 21466, 13 April 1933, Page 7

MARKET FOR POTATOES

FIRMING IN AUSTRALIA LACK OF GOOD RAINS In view of the possible removal of the embargo on the entry of New Zealand potatoes into Australia, the following report on tho Melbourne market is of interest: —"Tho market is much firmer due to unfavourable crop conditions caused by lack of good rainfall. Considerable damage has been done to tho intermediate crops by grubs, a large portion of the crops having been lost. Frosts also took heavy toll in some districts, and it is feared by growers that yields of tho late crops will be greatly reduced owing to lack of rains. There is a good inquiry for potatoes for future delivery, and buyers have been offering Melbourne prices at growers' rail station. Growers are disinclined to sell freely at the enhanced prices. Growers fear that tho suggested removal of the embargo on the importation of New Zealand potatoes will prevent them reaping the benefit of high prices. New Zealand is reported to have heavy supplies available for shipment at about £3 a ton. and it is understood that it would cost about £7 10s to land them in Sydney. Even should growers have to compete with New Zealand they would still be able to obtain a piofitable price based on £7 10s for the imported product. A demand from Australia, however, would tend to harden prices in New Zealand, and the more values increased there the greater the benefit to the Australian grower. Immediate good rains in Victorian* growing districts, however, might have a 'bearish' effect on prices in Melbourne."