FRUIT RING

Southland Times, Issue 19311, 1 August 1924, Page 6

FRUIT RING

CONTROL BY AUCKLAND MINISTER’S GRAVE CHARGES (Our Parliamentary Reporter.) WELLINGTON, July 31. The grave charge made in the House last week by the Minister for the Cook Islands (Sir Maui Pomare), that there was in Auckland a “fruit ring,” which controlled the prices of Island fruit, was amplified by him this afternoon in a fuller statement of the circumstances as they are officially known to him.

The question of legal proceedings was raised by Mr W. J. Jordan, Labour member for Manukau, who, with the consent of the House of Representatives as a matter of urgency, asked the Minister whether in view of the statement he made on Tuesday last in the House regarding the existence of a “fruit ring” that was operating in Auckland, he would institute proceedings for restraint of trade.

Sir Maui Pomare: I am rather pleased that the Hon. member has brought the matter up, because I believe several members of Parliament have received telegrams from fruit merchants in Auckland regarding the statement made in Parliament during the discussion on the Ngakuta’s shipment.

With respect to the telegram forwarded by the secretary of the Auckland Fruit importers’ Association to the Right Hon., the Prime Minister, and also to the Leader of the Opposition, protesting against my statement made in the House on Tuesday when discussing the shipment of Island fruit ex Ngakuta, that the price of fruit was too high because of the existence of a "fruit ring,” I desire, said the Minister, to refer to the following points:— “(1) As the result of complaints and dissatisfaction expressed to me by Native growers in the Cook Islands, there has been within the last 12 months a close investigation by competent officials, of the methods of sale and distribution of Island fruit in Auckland.

“(2) This is an extract from one report submitted: ‘The policy of the local merchants is to call a meeting before the arrival of the steamer and agree on a price to be demanded from the buyer. For sales ex wharf, the prices vary according to the quantity already on the local market and the quantity coming down on the ship.’ Another report indicates that the disposal of Auckland fruit is undoubtedly subject to control by the Auckland merchants concerned. I have also received advice from the Cook Islands that at one of the outer Islands, at any rate, the fruit merchants of Auckland sent instructions to their representatives to endeavour to induce the Native growers td sign a petition urging that the Eastern Pacific cargo steamer should not call at Wellington on alternate trips.

“(31 These reports justify me in asserting that the disposal of Island fruit at Auckland is the subject of concerted action on the part of the merchants. If this is not evidence of a ‘ring,’ it appears to prove control, and one knows that ‘a rose by any other name, etc.,’

“(4) The telegram in question may be divided into two parts: (a) I am entitled on the evidence which is in my possession to express my own opinion cn a condition of affairs which is almost impossible of definite proof. If legal proof were available it would not be necessary for me to express an opinion as formal proceedings could be taken in the Courts.

There appears to be no reason why I should withdraw either with or without a suitable apology; (b) I think I fully realise the necessities and exigencies of the trade as well as the Importers’ Association, and the circumstances as I know them do net support the assertion that my reference to the existence of a fruit ring or control has been made with the object of misleading either members of Parliament or the people of New Zealand.

"I may add,” said the Minister, “that the Wellington fruit merchants wrote to me i.bcut the same subject. At least they gave me that courtesy. The Auckland merchants did not. They circulated members in the House in regard to the matter.”