EXPORT DAIRY TRADE.

Poverty Bay Herald, Volume L, Issue 16497, 1 August 1924, Page 6

EXPORT DAIRY TRADE.

NEW ZEALAND DELEGATION IN CANADA.

SUGGESTED COMBINE OF TWO DOMINIONS.

MONTREAL, June 16— Mr. William Grounds, chairman of the delegation of the New Zealand Dairy Export, Control Board pow touring Canada in search of information regarding the export dairy trade to Great Britain, made the suggestion to t'ho Montreal Produce- Merchants’ Association, which handles Canada's dairy exports, that Canada should ultimately combine with New Zealand to secure the control of exports of cheese to Great Britain in order to stabilise market prices there. Mr. Grounds urgued that since New Zealand and Canada together practically supplied the whole of Great Britain’s 'importations of cheese, they could in this way prevent the overloading of the British markets, with consequent periodical slumps in prices, which cause severe* losses to the producers of both Dominions, while distributors and speculators in London stored;the overplus and reaped the benefit. Mr. Grounds’ suggestion, which was made at a luncheon to the New Zealand delegates by the Montreal Cheese and Butter Export Trade, came somewhat as a surprise and was not received with enthusiasm, the older members considering that such a pooling of interests of the two Dominions was impracticable. Discussing the matter subsequently with the correspondent of the Daily Telegraph, Mr. Grounds said that while he had thrown out the suggestion of co-operation between Canada and New Zealand to secure the contrah of the exports of cheese to Great Britain, .this was evidently impossible at the present time, since, while New Zealand producers and the whole trade were highly organised on co-operative lines, Canada’s trade in producing, marketing, and exporting was not organised and was handled entirely by competing firms, Mr. Grounds added that the New Zealand Export Control Board would have absolute control over that Dominion’s exports of butter and ebecse regarding the amounts and times of shipment in order to prevent the periodical glutting of the. London market. Fluctuations in prices were causing losses to New Zealand producers. lie said that, last year several immense -consignments of Ne w Zealand butter arrived’lit the samp time at the London market, flooding the, dealer, with the result that shippers lost 56s per hundredweight '-vliieli were subsequently added 1 to the profits of the English speculator,s. The new Control Board intends to provide storage in New Zealand in the hope of giving producers arid shippers there the- control of the market Instead of the present system of leaving the control of prices in the hands of London buyers. The New Zealand Commission leaves Montreal on Monday for New York oil route for England, and will continue! inquiries before the* startipg of t lie operations of Hie Export Control Board in New Zealand.