NEW MARKETS IN CHINA

Taranaki Daily News, 27 May 1931, Page 12

NEW MARKETS IN CHINA

OPPORTUNITIES FOR WOOL.

CLOTHING MATERIAL DEMANDED.

Dunedin, May 25. The opinion that China afforded to the primary producers of New Zealand, in certain circumstances and along definite lines, a great opportunity for the development of a new market, was expressed to-day by Dr. Koo, who is on a visit to the Dominion.

Dr. Koo said the first possibility lay in the exportation of sheepskins to China, particularly to the northern area, where a national gown was made from specially-treated skins upon which the wool had been left to a length of about one and a half inches, the woolly side of the finished garment being turned in. Dr. Koo stated that, after having given considerable thought to the matter. he had come to the conclusion- that China offered, to Australia and. New Zealand immense possibilities in regard to the export of wool.

The demand from the Chinese for woollen clothing material was increasing rapidly and in the near future would probably reach immense proportions. He considered, however, that trade in this respect would not be developed, along lines of export of the raw material to Chinese manufacturers, nor would it be possible, owing to high production costs, to find a market for the manufactured article. The only manner in which Aus-

tralia and New Zealand would be able to avail themselves of the advantages of this market would be through establishing mills in China itself, in co-opera-tion with the Chinese Government, which he was sure would be only too willing to work in harmony with oatside enterprise.

Mills would be run by Chinese labour under skilled European direction. In this manner manufacturing costs would be low, while the finished material would be placed on the market free from customs duties.

Questioned regarding the chance which the Dominion might have of opening up a market for her dairy produce, Dr. Koo stated that he thought the possibilities were very considerable. The consumption of both butter and cheese was at present relatively very small, but he thought that an intensive and judicious advertising campiign should play a large part.