TRADE WITH BRITAIN

Manawatu Standard, Volume LVII, Issue 219, 16 August 1937, Page 12

TRADE WITH BRITAIN

DAIRY PRODUCE POLICY. OPPOSITION TO LEVY. AUCKLAND, Aug. 14. “The United Kingdom has not yet decided what its policy is to bo in regard to dairy produce,” said Hon. A\ . Nash (Alinister of Marketing), on his return to-day. “The prospect had been that there would be a levy put on Dominion butter and cheese imported into the United Kingdom in order to give more assistance to the Home farmers. New Zealand’s policy, one which I have consistently advocated, is definite opposition to any form of levy. On the positive side we have advocated regulated expansion until the needs of the United Kingdom consumers are met. No other policy can be advocated when there are sources available to meet the needs of those who are at present going without. . . “I have also pointed out that any levy on Empire dairy produce would he discriminatory as regards New Zealand, for dairy produce normally amounts to 40 per cent, of our exports. No other Dominion has a percentage even onequarter of this. I feel that the United Kingdom recognises the justice of this statement. Recently the United Kingdom announced that it was giving assistance to its Home farmers m certain circumstances, but this was not to be by means of a levy on imports of Empire dairy produce. ''-However, until the United Kingdom decides as to its dairy produce import policy, it will not lie possible to decide New Zealand’s position. In the meantime the situation is satisfactory.” . A special point in connection with dairy produce, said Air Nash, was that the tentative agreement with Germany provided that a considerable portion of the credits accruing to Germany from New Zealand purchases of German goods was to be utilised in the purchase of butter. THE AIEAT TRADE.

“When I left for England mutton and lamb supplies from New Zealand for 1937 were still indefinite and subject to the prospect of a smaller allocation than for 1936,” Air Nasli stated. “In addition, the freedom from a levy on New Zealand mutton and lamb entering the United Kingdom was to expire in August, 1937. I may say immediately that the result of the negotiations during the early months of this year has been to ensure that New Zealand is to be free from a levy on mutton and lamb for future years. In addition, the New Zealand mutton and lamb allocation for 1937 is to ho the highest in our history, 4,010,000 cwt. Tins is in accord with our objective of regulated expansion of necessary food supplies to those who need them. For future years the allocations will be the subject of negotiation between the New Zealand and the United Kingdom Governments, the objective being maximum supplies to consumers at prices consistent with reasonable remuneration to producers. This result was achieved only after lengthy discussions and the recognition of the essential validity of the New Zealand point of view.

“New Zealand’s position in the pork and bacon trade of the United Kingdom is quite satisfactory for 1937. New Zealand can send to the United Kingdom as many porker pigs as she lias estimated will be available, 16,000 tons. For future years the position is still under negotiation as far as baconers are concerned, and it is the baconer trade which is important in the United Kingdom. Now Zealand has a 10 per cent, increase for 1937 on her 1936 allocations. This, gives a very satisfactory figure. For 1938 and 1939 similar increases may be expected, but I wish to emphasise that New Zealand must make every attempt to supply the typo of product the English market needs. In baconers there have been some shortcomings in quality. More will have to be done in the way both of grading and of encouraging the export of the right type of baconer pigs.”