LOSS ON FRUIT

New Zealand Herald, Volume LXXVII, Issue 23830, 4 December 1940, Page 11

LOSS ON FRUIT

APPLES AND LEMONS EXCEPTIONAL DIFFICULTIES AID FOR THE GROWERS [BY TETjF.GR A PIT SPEC TAL REPORTER] "WELLINGTON, Tuesday Four points emphasised by {.lie Minister of Marketing, the Hon. W. Nash, in liis reply to the second reading debate <m the Agricultural Emergency Powers I Regulations Confirmation Bill in tho House of Ropreseentatives to-day were that the Government accepted fruit marketing knowing there might bo a. loss, it sold more fruit than over before, the fruit was sold at a price lower than ever before, and there had been less wastage. The position of lemons was that the Internal Marketing Department had paid a belter price to the grower than he had received for any of the five previous years, Mr. Nash said. The average for past years was from 5s 9d to (is 3d a case, and the department purchased all lemons at 7s a case. On the sale, a lair amount of .money was lost, but not as much as was lost on apples. Apple Crop Problems "Apples have reached the consumers in the Dominion this year at a lower price than ever before," Mr. Nash said. "We made apples available to the publii at, os (id to Is a case, knowing wo would have to make a loss. The Government did not take on the marketing ol apples and pears because it wanted to. It: was done at the request : of the growers." The department sold 245,000 cases at a traction more than ljd per lb. in May, and 180.000 eases at an average ot 5s l()d a case in June. In one period lit seven weeks it had 1,1.50,000 cases to market, while from February 9 to May ii it had 1.870,000 cases. Surplus on Overseas Market It was physically impossible to store that quantity, as storage had to be found for butter and cheese. The Government got over that difficulty by selling the fruit at a much lower price than that paid the growers. A total of 1,140,000 eases of fruit should have been sent out of the Dominion, and ultimately 580,000 eases were sent. "The surplus on the overseas market will be greater than the loss on the local market," Mr. Nash added. "The loss on the local market was close to £'200,000, while the surplus overseas was a little more than that sum." No Fruit Exports in Prospect The wastage in the season just concluded was less than the average, the Minister continued. He was certain the Government and the department had faced unprecedented diliiculties in having a double supply, and had achieved remarkable results, with some mistakes. Having made those mistakes, he hoped they would profit from them for the future. "We should try to find a way to assist the fruit growers, particularly those on a low economy." Mr. Nash added. "We may pay a little more in the coining season, but the House must not criticise if we make a greater loss, because the evidence is pretty clear that we won't get any fruit away this year."

DISTRIBUTING PLAN COUPON SYSTEM SUGGESTED COMMENT BY MINISTER [by telegraph— special reporter] "WELLINGTON, 'Tuesday The adoption of a system of distributing iriiit. as well as other commodities ol which there is an abundance, by ilie use of coupons issued to the public was advocated by Mr. .1. A. Loe (Democratic Labour—Grey Lynn) during tile second reading of the Agriculture (Kmergeney Powers) Regulations Confirmation Hill in the House to-day. The bill was later passed. When criticising the activities of the Internal Marketing Department. Mr. Lee said: "Would it not lie possible, having guaranteed the grower a price, 10 have his second as well as his Itighgrade fruit, instead of leaving it to rot ? ' 'There are tens of thousands of cases of good fruit rotting which people could eat. They could receive coupons entitling them to a certain amount of fruit, or of any other commodity of which we have an abundance, and the Internal Marketing Department could later cash the coupons and receive a credit Mr, F. W. Doidge (Opposition—Tnuranga): Who is going to pay the retailer? Mr. Lee: He would get credit when be discounted the coupons and the Reserve Rank would guarantee the fruit producer. Mr. W. A. Bodkin (Opposition—Central Otago) asked whether Mr. Lee was now suggesting that after five years of Labour Government the failure in fruit distribution was due to a lack of purchasing power among the people. The Government's greatest difficulty was its vast. army of civil servants, without creating another army to run a coupon syst em. "We won't mind if it is necessary to give the fruit away, but I don't like the ticket idea,'' said the Minister of Marketing, the Hon. W. Xasli, in his reply.

WIDE DISPARITY IN PRICES PROIM CKR AND CONSFMFR [liv i ei.eorapu spki tal reporter] AVKLI.I.X'CTOX, Tuesday "It scents that under these regulations the ninv'iniiT is the forgotten man." said Mr. \V, J. Broadl'oot (Opposition—-Wait.omo), when criticising th" marketing of lemons during a discussion on the Agriculture (Fmergency Powers) Regulations Conlirniation Bill in the House of Representatives to-day. The producer received a bad enough deal, lie added, but the consumer had a much worse one. "There is an extraordinary difference between the price paid to the producer by i lie Internal Marketing Department and the price the consumer litis to pay for lemons,'' Mr. Broadloot. said. "The question of distribution io-dav is one that should give us to think furiously. The producer gets Id for throe lemons and the consumer pats various prices ranging from ljd to 2)j(\ for one lemon. SOLDIERS' DEPENDANTS RATF OF ALLOWANCES [HV TEI,EC R A PIT SPECIAL It EPOItTEIt] WKLLINGTOX, Tuesday An inquiry whether the Government had yet come to a decision regarding an increase of n per cent in the allowances paid to the wives and children of members of the .armed forces was contained in an urgent question asked in the House of Representatives to-day b,\ Mr. .!, A. Lee (Democratic Labour - -Grey Lynn), on behalf of the Hon. W. F. Bar iiard (Democratic Labour — Napier). It was pointed out that such an increase would be in line with the recent rise in the wages of workers under awards. "The whole question of the cost of living and economic stabilisation is under consideration by the Government." said the Minister of Defence, the Hon. F. Jones, in reply.