ISLAND ORANGES

Wanganui Chronicle, Volume LXXXIII, Issue 19829, 2 May 1927, Page 6

ISLAND ORANGES

HIGHER RETURNS WANTED PRICE FIXATION TACTICS OF GROWERS (Special to “Chronicle.”) AUCKLAND, May 1. “The New Zealand dairymen tried price-fixation and they failed,” says to-night’s Sun. “To-day, in the distant Pacific, producers are adopting the same tactics. Whether their efforts are to meet with success should be known by the end of next week. “At this time of the year New Zealand merchants have been accustomed to draw on the Cook Islands for their orange supplies. The Cook Islands, with their low production and packing costs, have generally been able to market reasonably-priced oranges, and regular shipments during the season have beed made to New Zealand. “Growers in the Islands have complained for some time now, however, that the prices paid by New Zealand merchants have not compensated them for their labour, and have been incessant in their demands for higher values. This year they are reported to have combined, and refused to sell under a price which works out in the vicinity of Is 2d a dozen, landed in Auckland. When rejects are allowed for, Auckland merchants contend that this price is extortionate. “At the present time matters are at a deadlock. The buyers cannot see their way to accede to the growers’ demands, and the sailing of the regular boat, due to leave for the Islands next week, is reported to have been cancelled pending news of a settlement. “Although negotiations have been carried on for the last three months, all parties concerned are most reticent. A conference between merchants’ representatives and the Prime Minister and Sir Maui Pomare, Minister in charge of the Jslands, was held during the week, but what happened, is being kept a close secret. The latest telegraphic advice from Wellington is to the effect, however, that the Government is leaving no stone unturned to effect a satisfactory settlement. “A factor giving Auckland merchants concern is the possibility of the Wellington merchants giving into the Islanders’ demand and the borrt being diverted to that port.”