BRITISH PRICE FOR N.Z. GOODS

Press, Volume XCV, Issue 28263, 29 April 1957, Page 12

BRITISH PRICE FOR N.Z. GOODS

“Would Sell And Buy Elsewhere”

(N.Z. Press Association Copyright) LONDON, April 26.

Speaking in a radio broadcast,’ the Deputy-Prime Minister (Mr K. J. Holyoake) said that New Zealand must get an economic price for her goods, or she would be forced into selling, and buying, elsewhere.

Mr Holyoake, interviewed in the 8.8. C. programme, “At Home and Abroad,” said that prices of New Zealand dairy products in particular had fallen “rather frighteningly” in Britain recently.

Mr Holyoake said that was a reason why he was leading a New Zealand trade delegation in talks with the British Government. He said: “Trade must be mutual.” Britain had to pay more for New Zealand primary products. “We are selling our butter at something like £75 below cost,” he said.

He said that markets could be encouraged or controlled by quantitative regulation or preferential tariffs. Asked whether there were not a political relationship involved in New Zealand's trade problems with Britain, Mr Holyoake replied that the Dominion was a very staunch supporter of the United Kingdom, and that the unity and strength of the Commonwealth made not only for Commonwealth progress, but for world progress.

Trade had to play an important part in this respect. Mr Holyoake said: “We do not wish to see your preferences decreased in any way. “I’m afraid that if you cannot sell our products at prices that will cover costs, of course it means that we must sell and buy from other countries. I very much regret that that is a fact.” Mr Holyoake said that New Zealand had considerable markets on the Continent. He said that this 1 trade with Europe was growing, but was at the moment complementary to that with Britairi. When asked whether he could foresee any immediate increase in this trade: “I think it will grow just through normal progress.” Mr Holyoake was reminded of a similar trade mission to Britain last year from Australia, which involved talk of Australia’s reducing imperial preferences.

Mr Holyoake said that the Australian position was somewhat different from that of New Zealand. Australia had developed her secondary industries considerably.