LABOUR LOOKS TO JAPAN Dairy Sales Prospects

Press, Volume CV, Issue 31003, 8 March 1966, Page 3

LABOUR LOOKS TO JAPAN Dairy Sales Prospects

(N.'Z. Press Association) WHANGAREI. March 7. A Labour Government would back the dairy industry in an all-out drive to increase sales to Japan of Ne w Zealand butter, cheese and milk powder, the | Leader of the Opposition (Mr Kirk) said in Whangarei today. Japan in the next five years: represented the best prospect j for expanded sales of dairy products, Mr Kirk said. Japan’s import demands for dairy products could increase by 100 per cent in five years and 200 per cent by 1975, he said. Mr Kirk arrived in Whangarei this morning to start a two-day tour of the area, including visits to butter and milk powder plants. “New Zealand's co-opera-tive dairy companies have always been to the fore and have given a lead in the modernisation of the plant and the expansion and diversification of new markets. “They ought not to be hampered at any stage in their A

further efforts to develop and , diversify New Zealand's ex- | ports. “The industry should be ■backed by a vigorous export l development agency appointI ed by the Government. This i should not compete with the I dairy industry, but should ■ provide valuable research land development facilities Mr Kirk said several trends I were emerging in the sale of I dairy products. “On the debit side, the European trend towards selfi sufficiency is continuing, and it is probable that European j dairy surpluses will continue,” he said. “But on the credit side United States dairy surpluses are rapidly disappearing, and U.S. production is dropping. Japan appears to provide the main opportunity for expanding sales.” By 1970 Japan would need dairy products equivalent to one million tons of imported milk and by 1975 two million tons. “New Zealand’s present milk production is over five and a half million tons a year. Of that we export products made from more than four million tons,” Mr Kirk said. ■ “As the world’s most efficient dairy producer, we

should realistically aim to fill at least 75 per cent of Japanese demands,” said Mr Kirk. “We will only do it with an all-out effort." Other developing countries had set out to match Japan’s rate of growth, he said. New Zealand must make similar efforts to match their tastes and demands with New Zealand production.