EXPORT PRICES

New Zealand Herald, Volume 81, Issue 24972, 15 August 1944, Page 6

EXPORT PRICES

ElillOllSlN COMPARISONS STATEMENT BY MINISTER "For some months past farmers in Now Zealand have been disturbed by comparisons between tlie prices paid for New Zealand export produce and prices paid for the produce of other countries," says (lie Minister of Agriculture and Marketing, Mr Roberts, in a statement just issued. "These comparisons," the Minister adds, "purport to show that New Zealand farmers have .somehow been penalised in the arrangements made for the sale oi their produce." Alter considering at length sources of errors in a number of price comparisons published, Mr Huberts points out that the only fair comparisons that can be made of export prices for butter and cheese are between New Zealand and Australia. Canada and the United States were normally importers of butter. Similarly in cheese the United States and Argentina were not normally exporters to the United Kingdom. Mutual Aid Agreements

Before the war Canada normally enjoyed a higher-priced market in Britain for her fully-matured cheese than did New Zealand for relatively immature cheese, says the Minister. Now Canadian cheese is exported to Britain under a mutual aid agreement which makes it impossible to compare New Zealand f.o.b. juices with payments received by Canadian farmers. This produce is sent to Britain and sold by the British Government to the trade at a price which bears no necessary relation to the prices received by the Canadian farmer in a country where costs are high. Proceeding to compare the f.o.b. sale prices to the United Kingdom of Australian and New Zealand butter and cheese, the Minister states that, expressed in New Zealand currency, the price of Australian butter is ir>..'i()d per lb, while i lie price of New Zealand butter is ]5.59d per lb. Australian ehee.se is sold to Britain at !'.!l7d per lb, New Zealand cheese at 9.72 d per lb. In both eases New Zealand is receiving a premium over Australia in the export prices for these commodities. The difference is based on market premiums which existed before the outbreak of war. Value oi Subsidies When returns to the farmer are considered, the Minister's statement continues. it is necessary to take account of the value of all Government subsidies to_ hold down farmers' costs, either directly or indirectly. When there is added to the basic guaranteed price the various cost allowances which Slave been made since the outbreak of war, and the value of all the subsidies for the benefit of the dairy farmer, and this total is compared with corresponding Australian figures, New Zealand no longer appears in an adverse Comparisons of prices of Australian and New Zealand dairy produce must also take into account the fact that Australian dairy companies obtain proceeds from the local market where wholesale prices are higher bv 2d per lb than f.o.b. parity, and higher than local market prices in New Zealand. In the case of beef, the only countries for which export prices can be compared, the Minister states, are New Zealand, Australia and Argentina. Here again the comparisons can only he made on the basis of the full United Kingdom purchase price. Jn New Zealand this is made up as follows: Prices paid to farmers at port works, •lis per 1001b; credited to Meat Pool Account and Meat Stabilisation Account. 5s lOd per 1001b; total 30s lOd, the United Kingdom f.o.b. price. Normal Pre-war Premium The United Kingdom f.o.b. price for Australian beef is approximately the same as this. The corresponding price for Argentine beef is 40s 6d per 1001b. This represents the normal pre-war premium which Argentine beef obtained on the United Kingdom market. In tho case of pork and bacon the comparisons that are commonly made are not valid, the statement adds. Some of the United States prices are not borne out by official publications, but even then comparisons cannot be correctly made because of mutual aid agreements. "What matters most to farmers is not the prices they are paid for their produce, but the margin be- | tween those prices and their costs," concludes the Minister.

MEDICAL NEEDS EAST COAST BAYS AREA The need for better medical attention for the residents of the district between Castor Bay and Torbav was emphasised in a. letter from the East Coast Bays Central Committee, representing six ratepayers' associations, which was received by the Auckland Hospital Board last night. With an increasing population, now over 3000, and more than doubling in the summer season, the committee considered a resident, doctor or district nurse should be provided. After several members had pointed out that a similar position existed in other areas, tho chairman, Mr A. ,T. Moody, said the question of the provision of a medical officer was not the board's concern. On his suggestion, it was decided to refer the matter to the Finance Committee to consider the appointment of an additional district nurse in the area. NO DOCTOR AT IvAWHIA (0.C.) lIAMILTOX, Monday "Something must he done in the matter," said Mr F. Findlav, M.P., chairman of the Waikato Hospital Board, today, when referring to an application by members of local bodies at Kawhia for the board's help for a medical practitioner to replace the late l)r P. W. Metr/.ics. Mr Findlav said that lit present the salary and the sub>idv were not sufficient to attract a doctor to Kawhia. It was decided that Mr Findlav should take up the matter with the Minister of Health and the Director-General ol Health to see if a higher Government subsidy could be arranged. HORROR FILM RAN SYDNKY, Aus to Motion picture exhibitors, alter consultation with representatives of the State Government, have agreed not to show horror films at children's matinees. Motion picture interests have also agreed to make plain in advertising matter the significance of the terms for "adult" and "general" exhibition.