MARKETING OF FRUIT

Hokitika Guardian, 18 October 1930, Page 8

MARKETING OF FRUIT

COMMITTEE’S REPORT

STANDARDISATION NEEDED. WELLINGTON, Oct. 14. The report of the Industries and Commerce Committee of the House -t Representatives on the inquiry into the grading, packing and marketing «> : fruit, was presented in tlie House r.oThe report stated that evidence.had been taken from forty-four witnesses from all over the country, and this had amply confirmed the contentions frequently put forward in the past I.v both producer and consumer, that riidisparfty between wholesale and retail prices was abnormally great. The 'Widen cc had also confirmed the complaints mat|e by the Fruit Retailers Association of Wellington that unreliable packing, which sometimes amounted to fraudulent practice, was common in respect of fruit and vegetables peered for sale throughout New Zealand, arid that this packing had hampered free trading to tiie detriment of producer, retailer qqd consumer. “While it is realised that the prevailing disparity between the wholesale and retai*l prices of fruit and vegetables is affected by other factors, such as high rents and the perisfiaole nature of the commodity,” the report says, “the committee is forced to the conclusion that 'faulty packing has an extremely detrimental effect, and nonsoquently, in the interests of all concerned in the industry, this should he remedied with as little delay as possible.”

RESTRICTED STANDARDISATION. Remedies generally advocated I>> those representing different interests in the industry were compulsory standardisation of all fruit and vegetables offered for sale, both wholesale and totnil, and the entire elimination of all low grade fruit. While the committee appreciated the possible advantages that would accrue from standardisation, it felt that it could not follow in its entirety the advice tendered concerning it, in view of present difficulties. Its adoption would involve drastic changes in the marketing system. However, it did recommend the adoption of a system of standardisation, but restricted both in its application and in regard to the produce to which it should apply. It was advisable that any system should be kept within such bounds, as would insure reasonably economic control and' a maximum assurance of success. It was believed by the committee that the adoption of a restricted system of standardisation would probably result in general standardisation becoming an accomplished fact more readily and satisfactorily than were the larger scheme adopted at once. The committee recommended that standardisation should apply to the retailer as well as to the producer, so that any advantages to be derived from the system would be shared 1 y the consumer.

WHERE SHOULD IT APPLY. Outlining the restricted system which it recommended the committee said that compulsory standardisation should be made to apjply to all apples, pears, lemons, onions and pptatoes offered for sale recognised commercial channels in the cities and larger towns. These commercial channels were defined as meaning all public auction marts, retail fruit and vegetable shops, other stores selling fruit and public fruit stalls. The articles mentioned lent themselves more read.ily to standardisation that soft fruits and other classes of vegetables, and the committee believed that the benefits of standardisation would be more quickly recognised if it were applied only to these classes of produce in the meantime. The proposal concerning sales through commercial channels should meet all the principal commercial requirements, at the same time leaving the producer as unhampered as possible in the disposal of his produce by private treaty, either to ihe consumer or to the fruit and produce trader, and the latter in the disposal of unstandardised goods in any manner other tliain through the commercial channels referred to. It was evident that additional inspectors would be necessary to enforce the scheme, hence the proposal to :onfine standardisation to certain of the larger towns in the meantime. It was recommended that the additional cost of inspection should be borne by the industry, and to this end the committee advocated the imposition of a levy not to exceed one penny per package, to be collected through a duty stamp to lie affixed by the producer to each package of standardised produce. It was recommended that the Minister should be empowered to extend standardising operations from time to time. FAIR AND HONEST PACKING.

“In the meantime the committee is of opinion,” the report says, “that the marketing methods with respect 10 fruit, vegetables and root crops, apai t from apples, pears, lemons, onions and potatoes, could be improved by the introduction of what are known elsewhere as Fair Marketing organisations, and recommends that if the producers cannot be prevailed upon to form such organisations the Department of Agriculture should consider the advisability of instituting a similar scheme for the whole of the Dominion. The prinrinal requirement under this scheme is that of fair and honest packing.” Briefly the scheme would be operated by the department issuing a registered mark to all market gardeners

and others wishing to join. The rules would provide for fair and honest peeking and the suspension of the use of this' .registered mark if any producer’s package were found, on inspection, to be contrary to the requirements. All fruit or vegetables packed under this scheme would be exposed for sale in auction rooms in lots separate from other produce of a similar class, ana the department would ihaintain a reasonably consistent scheme of inspection in these auction rooms. Together with this scheme would operate fair marketing regulations, under which dishonest packing would lead to prosecution . CONTAINERS. The committee was strongly of opinion that a range of containers of shapes and capacities suitable for all phases of the trade should be selected and brought into universal use by regulations under the Orchard and Garden Diseases Act, 1928. Power already existed to give effect to the committee’s proposals except those dealing with the retail sale- of standardised fruit. As this could be provided for by means .of a simple amendment to the la.w the committee recommended the introduction of amending legislation this session. IMPORTED FRUIT. Discussing imported fruit, the committee said it was unable to make any definite recommendations in view of the conflicting evidence offered. It was clear that exhaustive investigations should be made into this question, particular attention being' paid to the carriage of fruit. Irom the Pacific islands, its repacking in this country by auctioneers, which at present seemed to be done without srufficient discrimination, and to the serious losses incurred by the shipment of fruit in noninsulated vessels. Apparently some of the ships now being used for this purpose were quite unsuited for the work.

Little evidence was offered on the subject of cool storage, and the committee recommended that, the Department of Agriculture and the Department of Industries and Commerce should investigate the possibilities of developing cool storage of fruit in New Zealand. It especially recommended this suggestion to the unemployment Hoard.

The report adds, “In conclusion the committee desires to state that the present report does not claim to be • ntirely conclusive. The subject matter is too Inrge and involved for a sessional committee to deal with in all its ramifications. It is not even clear that a Parliamentary Committee has all file powers that are needed to clear up important doubtful points. In the opinion of the committee either i+ should be appointed as a recess committee with enlarged powers or, alternately, that the inquiry should be continued in four centres by the Department of Industries and Commerce, which already has all the needed powers, and the Department of Agriculture, with which should be associated one- or more members of Parlia ment.”