BRITISH MARKETS

New Zealand Herald, Volume LXXIII, Issue 22512, 1 September 1936, Page 15

BRITISH MARKETS

DOMINION PRODUCE

PROBLEMS TO BE FACED INCREASED MILK OUTPUT THE PROSPECTS FOR MEAT Problems that tlio Minister of Marketing, the Hon. W. Nash,, may have to face when he is negotiating to secure fresh marketing agreements with Great Britain were discussed by Mr. John Morgan, agricultural editor of the London Daily Herald, who arrived from Vancouver yesterday by the Niagara to obtain first-hand knowledge of marketing conditions in tho Dominion. Mr. Morgan's mission is to present tho case for the New Zealand farmer to the British public, and it has the backing of the New Zealand Government, which is supporting the proposal in every way. While in the Dominion he will have informal discussions with members of the Government on the problems of British markets, and will also give several broadcast talks. He will write a series of articles about the Dominion, and give further broadcast talks when ho returns to Great Britain. Tho second reason for his visit is the interest that is being taken in the Government's new legislation. The Daily Herald feels that this is exactly the moment to put New Zealand in the news in Great Britain. The Milk Marketing Board Mr. Morgan, who is a member of tho advisory committee of the Labour Party, gained practical experience of New Zealand farming conditions in 1926, when lie was farming at Waikanae, near Wellington. „ The expansion of agricultural marketing bodies was mentioned by Me. Morgan as among the problems that Mr. Nash will have to face. "In the first place, the fact has to be recognised that the position has altered materially since Ottawa," said Mr. Morgan. "When tho Ottawa agreements were reached, there were 110 agricultural marketing bodies established in Great Britain. To-day, probably the largest business interest of its kind in Great Britain is tho Milk Marketing Board, which controls tho disposal of every gallon of milk produced in Great Britain. It has a monthly turnover of £4,000.000. "This board is faced with a rise in milk production within the last two years, which amounts to 400,000,000 additional gallons per annum," continued Mr. Morgan. "The milk is being disposed of through an expanding creamery industry. The creamery section, quite apart from the Milk Board, which only handles milk as such, is organising itself on lines which seek to protect tho home market for the home producer of milk products. It is actually promoting a marketing scheme seeking statutory control of imports. Attitude to Price Guarantee $ "In spite of all this, there is every desire in Great Britain to give New Zealand primary producers all possible facilities." Referring to guaranteed prices, Mr. Morgan said there was not the slightest doubt that the organised farmers in Great Britain were extremely critical, both of the effect of exchange and a standard price policy. "The weakness of a standard price policy is that for its perfect working you need complementary machinery on the other side, which does not exist to quite the same extent as here," said Mr. Morgan. "This means in all probability that New Zealand will have to accept the best elements available in the ordinary trading position overseas for some time to come, though in this connection New Zealand farmers will have to take full account of tho Milk Marketing Board, and tho marketing board proposed by the National Association of Creamery Proprietors. Future Meat Supplies "Actually New Zealand is in a very strong position regarding future meat supplies," stated Air. Morgan. "Without being in the least derogatory to the quality of available New Zealand boef, any transference to New Zealand or Australia of markets formerly held by the Argentine is not likely to hit the English farmer so hard. One has got to recognise that Argentine supplies of high quality reaching the Home market offered the maximum competition to the home production of beef. "The fact that very large business interests are transferring to New Zealand and Australia means that they are committing themselves to a business policy of stimulating supplies. They must take full cargoes home. At the same time tho English farmer would like to see a duty on colonial meat. But the Government at Homo is evidently very anxious to do nothing to deter or discourage the Dominion farmer. There is no likelihood of a meat tax on Dominion produce."