FRUIT EXPORT YEAR

New Zealand Herald, Volume LXX, Issue 21576, 22 August 1933, Page 5

FRUIT EXPORT YEAR

HEAVY FALL IN PRICES LARGE STOCKS IN LONDON CONDITION, CAUSES CONCERN A review of the fruit export year was given by Mr. H. E. Stephens, chairman of the Fruit Export Control Board, at the annual confcfcnco of Canterbury fruit exporters last week. Mr. Stephens said the season opened with fairly satisfactory prices, and taking into consideration the condition in which most of the fruit was arriving in England, the exporters were fortunate to secure the prices they did. However, halfway through the season prices fell away noticeably. Australia again dumped very large quantities of apples -on the London market, and, with the restricted buying power at Home, prices "slumped heavily.

The board's, brokers had undoubtedly done a great deal to sustain prices for ■Dominion exports, but it remained to bo seen whether their efforts would continue to be successful. 111 face of the low prices ruling, it seemed very doubtful whether anything could bo done to keep up prices. Account sales for New Zealand and Australian fruit sold in London on July 5 had just been received and provided an interesting comparison. The bulk of the New Zealand fruit sold on that date at 9s (3d or 10s a case. This was certainly not a high return, but the Australian fruit brought far less. The highest prices ranged between 5s 6d and 5s 9d. Considerable quantities went for 2s 3d to 2s 6d, and the great bulk sold for from 3s to 4s.

Prospects Unfavourable At the present time about 222,000 cases of New Zealand fruit were in cool storage .in London, and another 91,000 eases of Otago fruit was in store. London reports said that the prospects were unfavourable for the rest of the season. English apples were now goitig on to the market and it would be very difficult to dispose of the remainder of New Zealand's fruit at anything like profitable prices. The condition of fruit exported had caused the board much concern, Mr. Stephens said. Nelson fruit kept very badly both this season and last, climatic conditions having a great deal •to do with this. However, ho> believed another reason was the use by growers of nitrogenous manures not properly balanced with other manures. Definite results had been secured by growers from the use of nitrogenous manures, and they had been tempted to. uso them to the exclusion of others. Good crops had certainly been secured, but fruit had not been produced with the "keeping texture" required. Discussing market, conditions during the season, Mr. Stephens said the board had been sending fruit to tho Continent. One shipment went to Germany, where the market was fairly good at the time, 7s 6d net a case being realised. This was just enough to give growers a profitable return. Money from South America A shipment was also packed for France, but before it reached that country the French Government banned importations. The shipment was diverted to Holland, and realised good prices with two other shipments, one of which realised 9s c.i.f. a case, and the other 9s Gd c.i.f. It had been hoped to put 50,000 cases into Canada, but no moro than about 20,000 were sent. Payable returns were realised, tho conditions and texture of tho fruit being praised. It was hoped to increase exports to Canada next season. The position regarding South America was difficult, for about £12,000 was still in the Argentine to tho credit of tho Fruit Board, which was unable to secure the money owing to Government restrictions. However, 70,000 cases wore sent to South America altogether, about 20,000 going to tho. Argentine. It was still difficult to say how the board was going to get its money. It had been hoped that something would be dono under the recent trade treaty between Great Britain and the Argentine. However, New Zealand could not bo brought under the treaty,'and the only alternative was to buy Argentine produce for disposal overseas, and so realiso the amount owing.' Even then thero were complications, 'for the money realised on sales of Argentine produce had to bo returned to that country, whore permission had to be secured from the Exchango Board for its release. It had boon promised that this permission would be granted, and it was hoped that a solution would bo found. A representative of tho board had gone to tho Argentine to deal with tho situation. Size of Apples A consignment had gono to Brazil, realising 10s 3d and 10s 9d c.i.f. in sterling. Although thero was not much chance of putting apples into tho United States, thero was a possibility of sending pears thero in greater quantities. Mr. Stephens said growers should discard anyidoa of exporting largC-sizo apples, which had not returned a profit to exporters during the last two seasons. It would bo far better for growers to develop a local market for these apples. Primary producers could not carry on without tho present high exchange, Mr. Stephens said. Considerable criticism had been levelled at tho Government on this question, but fruitgrowers considered that tho Government had dono a very fine thing in pegging the exchange. Mr. Stephens said the London agents would have to work without a commission this year, owing to the state of the market and tho terms ot their agreement. However, tho firm would no doubt make an effort to hold tho board's business, as it would not want its reputation to suffer.