DOMINION PRODUCE

Poverty Bay Herald, Volume LIX, Issue 17950, 30 November 1932, Page 12

DOMINION PRODUCE

LOW PRICES IN BRITAIN MANY ADVERSE INFLUENCES MARKETS OVER SUPPLIED The vital topic of markets for New Zealand produce was discussed by Sir 'Harold Beauchamp upon his return to Wellington from England. “The present year has so far witnessed a period of abnormal depression, accompanied by a drastic slump in the prices realised for all the primary 'products exported from New Zealand,’’ said Sir Harold. “No market has escaped the landslide in values. The Dominion’s chief exports, wool, .meat and dairy produce, upon which tho prosperity of the country largely depends, have suffered most severely. “Tn the present chaotic state of the world’s affairs it would bo futile to attempt to forecast with auy degree of accuracy the future trend of tho markets for our primary commodities. War debts, political and financial conditions, exchanges, etc., arc so complex a nature as to suggest a very slow recovery to anything approaching normal. What appears ‘to 'be in doubt is whether recovery can assume really satisfactory dimensions until much has been done to clear the channels of ■trade from the obstructions which have ■pressed so heaviily upon it in recent years. But there arc undoubtedly signs of returning confidence, and should this bo justified by a genuine trade revival, then it is quite possible 'that we may,see better times ahead in the not very distant future. LAMB STORES: FULL “There is undoubtedly considerable confidence in the future in the manufacturing districts, but political and ■financial conditions are still very unsettled on the Continent of Europe and in the United States of America. It is to be hoped, however, that the present improving tendency is nit indication of the approach of better times for New Zealand farmers. “The Now Zealand lamb season opened earlier than usual, and values continued to improve until the cud of April, when the arrivals became too heavy for the demand and a gradual decline set in. Now, in spite of heavy selling the stores are still full and prices show little inclination to rise. The New Zealand lambs in store arc not improving in appearance and will not compare favorably with the fresh arrivals from Australia. It is difficult to feel optimistic about, the remainder of the season, which may possibly end with values only slightly higher than those now ruling. “The New Zealand mutton position has been dominated throughout by the low price of lambs. Supplies of 'mutton have been extra heavy and not, at any time were there hopes of an improvement. Forward advices continue to show that there is still a large quantity 'to be shipped and future prospects leave little hope for increased values this season. RECORD PRODUCTION “Production was again a record during the 12 months ended June 30, 1932, the quantity of New Zealand butter imported into the United Kingdom, as compared with 1930-31, being as fol- ! 10w5:—1930,31, 1,749,800cw‘t5.; 1031- ! 32, 2,068,450'CWit5. Market: prices were i generally lower, 'however, and the valuation of this quantity was not greatly in excess of the previous year, the figures being £10,968,249 for this year and £10,416,544 for 1930-31. “During the period under review values were at their highest point at I the beginning of October, when nrf rivals from European .sources and from the Antipodes were lightest, but. for tho | greater part of the 12 months the range iof fluctuations was between 94s and 112 s. This low level of prices was I attributable to plontitude of supplies, (coupled with reduced spending power jof practically all countries. Actually j supplies were almost continually in cx- | cess of the demand. Quota arrangements and higher import tariffs in Continental consuming countries diverted ’extra supplies of butter to'the United Kingdom, causing specially low prices to prevail. For this reason tho 10 per ■cent, preference to Dominions’ butter which came into operation during the year could not effect an appreciable imiprovement in values. SOME PROMISING FACTORS “The quantity of New Zealand 'cheese made during the year ended June 30,1932, showed a,shrinkage from j the previous 12 months and reflected a i change over 'to butter manufacture in many quarters in consequence of the more serious fall in market values of ! New Zealand cheese in the season before. The following are the comparajtivc figures:—l93o-31, 1,932,000icwt., value £5,926,530; 1931-32, 1,709,623 cwt., value £5,150,821. “Except for a brief advance at the •beginning of October to 72s per cwt., [market values for New Zealand cheese I moved during most of the season fie- , tween limits of 54s to G4s. Comsumpition was often disappointing even at the lowest levels and tho cheapness of I alternative foodstuffs, such as meat and bacon, was doubtless accountable for this. Tho quality of our cheese is still the subject of adverse comment and our methods of manufacture, in my opinion, need overhauling.’’