FUTURE TRADE

Otago Daily Times, Issue 25756, 30 January 1945, Page 6

FUTURE TRADE

AUSTRALIA AND DOMINION PRIMARY PRODUCTION FIELD The freer interchange of primary products is suggested as the best field for future trade between Australia and New Zealand in a letter sent to the Prime Minister (Mr P. Fraser) by the Associated Chambers of Commerce. This and other aspects of trade between the two countries are put forward in the letter for the consideration of the Government, and in the hope that they will be discussed at the talks with the Australian delegation now visiting the Dominion. “The citrus fruit and potato embargoes are an outstanding case in point,” states the letter. “We submit that, even at the expense of Tasmanian and Victorian potato growers—and no concession can be made without expense to somebody—Australia must be prepared to allow full competition in the Commonwealth by New Zealand potatoes. Locally-grown potatoes have brought absurd, prices in Australia, while our product, denied admittance, was going begging.

Citrus Fruit Trade

“It is unnecessary to stress how New Zealand needs Australian citrus fruits. Here again New Zealand should be prepared to take full importation, subject to necessary safeguards concerning disease. We are informed that the Commonwealth and New Zealand experts concerned have agreed on measures that will ensure adequate ssfety, “While fully of the opinion that future trade arrangements with Australia should permit of the maximum export of New Zealand potatoes, we consider that the minimum the Commonwealth should be prepared to grant is the full importation of our potatoes after a certain predetermined price in Australia has been topped. By this method Australian growers would be assured of a minimum price, exceeding which, New Zealand potatoes would be admitted to ensure supplies to the Australian public at reasonable prices. Such minimum price in Australia would, of course, need to be a fair price not only from the Australian point of view, but also the New Zealand one."

Example of Pea Seed

The letter refers to a number of instances of lines in which New Zealand has prospects of building up a healthy trade with Australia being blocked by the Commonwealth authorities. Copies of correspondence show, says the letter, how Australia has instituted measures against New Zealand pea seed in spite of the decided preference of market gardeners for the New Zealand product because of its higher quality and lower price. “ Even though the two countries produce similar primary products, there are differences in type such as in honey and cheese," adds the letter. “We are assured by the trade in Australia that there is a market for such New Zealand products. In the field of expanded Australian exports of manufactured goods to New Zealand, there are certain directions, which we suggest could well bear examination, involving the use of New Zealand raw materials.”