FRUIT EXPORT TRADE

Wanganui Chronicle, Volume 76, Issue 108, 10 May 1933, Page 9

FRUIT EXPORT TRADE

GUARANTEE AND LEVY. In its seventh annual report, covering the 12 months ended November 30, .1932, the New Zealand Fruit Export Control Board states that revenue received from tho export levy of IJd per case amounted to £8271 3s Id, and expenses for tho year under review £8678 7s sd. While realising that tho reduction of the levy from l*{d. to l|d. might, probably result in a deficit, the board decided to make the reduction and so assist exporters. Tho Government guarantee for extra fancy and fancy grades for the forthcoming season has been reduced from Ils to 10s 6d, and the guarantee on good grade. remains unaltered. The 10s 6<l guarantee applies to extra fancy and fancy grades of specified varieties, and the 7s guarantee to good grade of these varieties, and all grades of other varieties accepted by the Department of Agriculture for export. Fruit exported to South America is not covered by the Government guarantee. In addition to including exchange increment, tho guarantee rate for extra fancy and fancy grades is this year reduced 6d per case. With the increase of the New Zealand exchange on London from 10 per cent, to 25 per cent., the guarantee is proportionately diminished, thus making the finance of shipments more difficult. Further difficulty arises through an increase on freight rates consequent to the increase >n exchange, i.c., 13 and twothirds per cent., or approximately 6d per ease. Nevertheless, the increase of exchange rates will mean an appreciable increase in growers’ net returns, and be of immense benefit in assisting growers through the present period of poor prices. During the 1933 season it is not possible to continue the cash advance of 4s per case to the grower for all fruit exported under the 10s 6d guarantee. The cash advance has been fixed at 3s 3d per case. The guarantee conditions agrin include the payment of ljd per case to a central fund established to meet guarantee claims. Last year’s fund amounted to £9391 5s 6d, but was barely sufficient to meet all claims. Tho portion the Government will be asked to meet would be approximately £1343, equivalent to approximately onefifth of a penny per case over the season’s export crop.