THE OTTAWA CONFERENCE AND THE DAIRY INDUSTRY.

Waipa Post, Volume 44, Issue 3183, 28 May 1932, Page 5

THE OTTAWA CONFERENCE AND THE DAIRY INDUSTRY.

A Sioux and his squaw from Dakota Were asked what they thought of the

quota. From their speech, which was queer And uncouth to the ear, They seemed not to care an iota. —Punch, 30th December, 1931

Sir,:—l think the above quotation about sums up the general attitude of the public to the coming Ottawa Conference despite the possibility that the repercussions from this important meeting of Empire statesmen and advisers may have a very far-reaching effect on the dairy and meat industries of New Zealand. Before the delegates leave for the Conference it is surely important that the dairy and allied industries should immediately consider the quota proposition from every possible angle, lest support be prematurely given to proposals inimical to the best interests of this country. If the scheme submitted to the Conference by the United Kingdom representatives absorbs the whole oi our butter and cheese under a 10 per cent preference and our delegates can satisfy the United Kingdom with a quid pro quo in United Kingdom products, no change, presumably, of any kind need be made in the present marketing conditions, and freedom to sell c.i.f. or send on open consignment, will continue, through the present importing and wholesale channels. In the absence of any knowledge of the proposals which the United Kingdom representatives may decide to place before the Conference, the following propositions may be worth considering:— 1. What is to be our attitude if the United Kingdom offers to accept free of duty only 85 per cent of our butter and all our cheese, and how is it intended to apportion .this quota of butter to New Zealand factories ? 2. What will we do with the re-* maining 15 per cent of butter, if shut out by the United Kingdom ? - 3. What further preference are we prepared to give to United Kingdom products ? 4. If the extent of our preference is insufficient to satisfy the United Kingdom’s needs, will our. representatives accept a lower quota ? 5. Will our delegates support the scheme if it involves sending all our dairy produce forward to the United Kingdom, on open consignment ? 6. Does the quota system involve arbitrary control of New Zealand produce and fixation of prices by some Government body in the United Kingdom in co-ordination with representatives in London of the New Zealand Dairy Board ? 7. If it does, then how is it proposed to deal with factories which prefer to sell f.o.b. or c.i.f. for whole or part of their produce ? 8. Will the New Zealand Dairy Board continue to regulate shipments or will monthly arrivals be governed by the British authorities ? The sub-committee set up by the Imperial Conference in 1930 to consider the butter quota system, import boards, and bulk purchasing schemes comprised representatives from the United Kingdom, Canada, Australia, Irish Free State, and New Zealand under.- the chairmanship of Mr A. W. Street. New Zealand was represented by Dr G. Craig and Mr W. Ferguson. The committee’s findings indicate that the application of a quota scheme would be a fairly involved process, and it further states that if an import board were constituted it estimates that it would be necessary to have a standing credit of about five millions pounds sterling for butter alone. It seems to me that no scheme will benefit us which does not allow all our produce to be exported to the United Kingdom and provide for the continued expansion of the dairy industry in this country. To what extent we prepared to give way to obtain from the United Kingdom this preference ? The whole question should be seriously considered by* every dairy factory directorate in New Zealand, and their opinions transmitted to the Government.—l am, etc., J. T. MARTIN. Wellington.