CAUSE OF LOSS

Hokitika Guardian, 24 September 1932, Page 6

CAUSE OF LOSS

BY N. Z. FRUIT GROWERS i WELLINGTON, September 22. Inflated evcliange is to blame to a large extent for some of the troubles of . the New Zealand fruit-growers in a report; by Mr H. Turner,- London manager of the New Zealand Fruit IjJxp'prt Control Board, 'presented at the annual Conference of the New Zealand j Fruitgrowers’ Federation lin.rWellingi kpn, ..to-day;, Mr Turner said the Australian exchange of 25. per cent, had induced {shippers to greatly increase their quantities of fruit irrespective' of 'quality. ( ... • ,i Mr; jHirnbr said the inexorable law of Supply and-demand was what mainly, held the; balance between profitable aficl unprofitable prices for fruit, but this, year, there had been placed in the New Zealand adverse cbndit'iqnjs over; whiph :-the - board' had no'control Un'd wfiich ,-hacl ,had -the efi feet’,. of further weakening a market {■ Jlready (asuredi of increased qi.uantities' and a lower range of prices. He | referred to the exchange problem.

Irrespective of Quality. j With exchange at 25 per cent, in favour of Australia the result had been to' induce shippers to greatly increase , quantities irrespective of quality, and j the opinion of those handling large ! quantities of Australian fruit was that the standard of quality had never been so low. While this had had the effect of further emphasising thte marked difi fete rice' ‘between the standards of New Zealand' and the bulk of Australian fruit',' and had enabled the Dominion to mahitiViil; and at times increase the margin of price in its favour, it was undoubtedly' a fact that heavy quantities'''of fiiu if had reached the English market ’which should never have left the country iof origin. One firm heavily interested in Australian fruit had stated, that’at least 500,090 eases of this'fruit i.cotild, and should, have been dumped before shipment, to the final fiiianfclal ( beqefiti of both the shipper anh tliq industry generally.

i - Bljnd; Faith In Exchange. “I havefnef hesitation in blaming the inflated exchange rate for a large measure ojf bur troubles,” Mr Turner continued, l “particularly in its influence towards hastening, the downward rusli | of prices, as th6re ; seemed to be a'bted