TRADE WITH SOUTH AFRICA.
ITS PROSPECTS. AND POSSIBILITIES. There arrived by the s.s. Talune yesterday morning Mr W. H. Ballard, whe for the past twelve months has acted in the capacity :of representative of Messrs A. McArtlnir and Co., of Sydney, Mr-Ballard has visited all the important trade centres of South Africa, and is tolerably familiar with the requirements and prospects, of South African trade In the course of conversation with one of our reporters, Mr Ballard stated that there are fair prospects of opening up trade between New Zealand and South Africa in produce. At present the bulk of the supplies are being drawn from America and British sources. The Americans will be found he assured out representative, very formidable competitors unless colonial prices are made materially lower than they at present rule. The Americans are giving great attention to the South African trade, and all their products are specially prepared to suit the market while prices are such as to command an increasing trade. “What are the characteristics of. the trade?” asked our reporter. “Well,” replied Mr Ballard, “the population of South Africa is for the most part coloured, the proportion being one-third white and two-thirds coloured. With such a population, quality is not so important a consideration as cheapness. It is this point that the Americans have carefully studied, and if New Zealand seriously contemplates competing for a share of the South African trade, then prices wiF have to be brought down to the level of American, while ,the quality must bo just a shade better, In short to succeed New Zealand must give a better article at less price, or at least, at the same price.” In answer to a question as to what lines were most saleable in South Africa just now, Mr Ballard said that there was a very large consumption of tinned meats. The denudation of the flocks and herds through the ravages of tho rinderpest has caused a famine in fresh meat and in the outlying districts tinned meat was the only available substitute. This trade is almost wholly in tho hands of the Americans, and the packers of the United States are turning out goods designed specially to meet the requirements of South Africa, and at a very low cost. There is a very fair demand for colonial butter, in fact the whole of tho South African markets are now being supplied from Australasia, so far as imports are concerned. According to Mr Ballard there are one or twd brands of New Zealand bntter recently placed upon the South African market that have given considerable satisfaction. With regard to cheese the consumption of the colonial product is very restricted. The explanation of this is that the white population there is largely Dutch, and they naturally prefer the product of Holland. There is, however, a fair sale for American Cheddar, and Mr Ballard sees no obstacle to successful competition on_ the part of the colonies. The real trouble with respect to colonial cheese is that up to the present there has not been a sample placed upon the market that has been equal to the requirements of tho trade or suited the popular taste. These difficulties can be easily surmounted by giving special attention to the subject and by producing an article that will be acceptable. The trade in bacon and hams is almost entirely in the hands of British and American producers. The consumption is fairly good with a 'tendency to steadily increase. The colonial product would be saleable provided quality and price were satisfactory. According to Mr Ballard there is a big demand all ‘over South Africa for flour at present, but the Americans have complete control of the market. Owing to the shortage of the Australian supplies last year tho trade that had been previously built up was lost, but now that supplies are again available colonial flour is finding its way into the South African markets. There is also a fair demand for oats. Cape barley, maize and other cereals, but here again American competition is an important factor. Fodder is also required in South Africa, but Mr Ballard does not think it possible for Australia to compete against America. The Americans making a speciality cf the preparation and packing of fodder against which the colonials have no hope of competing. For frozen meat thera is a more or less steady demand, but the prospects of this trade are not so pronounced as we have been given to understand. The market is already well -Supplied and further competition is promised .- from the River Plate. At any rate the meat likelv to sell in this market would be second grade. Mr Ballard is on a business tour of New Zealand, and will spend a month or more in the colony visiting the various producing centres, and those who are interested in exploiting the South African market' will no doubt find an opportunity of meeting him and discussing the subject.
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Bibliographic details
New Zealand Times, Volume LXIX, Issue 3777, 27 June 1899, Page 7
Word Count
830TRADE WITH SOUTH AFRICA. New Zealand Times, Volume LXIX, Issue 3777, 27 June 1899, Page 7
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