TRADE WITH ARGENTINA.

New Zealand Journal of Agriculture, Volume II, Issue 1, 16 January 1911, Page 49

TRADE WITH ARGENTINA.

PROSPECTS AND CONDITIONS.

In his final report to the Department regarding the New Zealand exhibit at the Argentine Exhibition and the prospects of trade with Argentina in New Zealand products, the Trade Representative states that the bulk of the' seeds and grains were distributed amongst estancieros who were interested and asked for them. Samples of seeds, hemp, twine, &c., were also. presented to the Agricultural Society, from which warm thanks were received. The kauri-gum and timber exhibits were being taken on to New York.

Regarding the main, object of his mission to Argentina— the promotion of .an export trade to that country from . New Zealand—-Mr. 'Glow states that no stone has been left unturned to secure information bearing on the matter. The knowledge acquired by him' leads him to express his confidence that a splendid market exists in South America for New Zealand apples, jams, preserves, hops, hemp, rope, and timber, providing that these products can be landed at a price that will enable them to compete with goods from other countries. At the present time several shipping companies are engaged in the trade from European and North American ports, and freights from these are at a fairly low figure, the goods being landed right at the docks in Buenos Aires. Products from New Zealand, on the other hand, have to be transhipped ■at Monte Video and brought on to Buenos Aires by river-boats. The latter are all under the flag of one company, which, having the monopoly, charges very stiff freights. Could this drawback be removed, Mr. Gow is confident that South. America offers one of the best markets in the world for the New Zealand products mentioned above. The market for woollen goods is not so promising. All wool articles are subject to a heavy duty, which, added to the river freights, transhipping -dues, &c., would place the goods in the hands of the retailers at almost prohibitive prices. Woollen materials containing only a slight percentage of cotton mixture are admitted at a low duty, and the market is supplied from North America, England, and Germany. The latter conn try has the bigger hold, as a result of the lenient terms allowed by German firms, compared with those given by others. The Germans very often allow twelve months’ credit, and this is an arrangement against which English and North American firms cannot compete. The market for New Zealand grass-seeds should develop, into a good ■■one if properly worked. The heavy duty on grain such as wheat, barley, oats, &c., precludes the possibility of a profitable business being due in those lines even if a demand existed. Building-stone is plentiful in various parts of the Argentine and Uruguay, and thus the chances of an opening for Oamaru stone are small. There is absolutely no market for kaurigum. Should arrangements be made for the supply of apples from New Zealand, other produce,.such as cheese, potatoes, hams, bacon, poultry, eggs, : &c., could be introduced in due course, and the opinion is given that the field would prove in time to be an unlimited one for all these articles.

To successfully establish business relations, New Zealand exporters must have a representative in Buenos Aires. Such representative, moreover, must speak the language of the country (Spanish), have a thorough knowledge of existing conditions and Customhouse work, and be able to arrange freights from Monte Video. Intending exporters are warned not to ship goods to Argentina on consignment unless they have a responsiblerepresentative to attend to their interests.