THE YEAR'S TRAD

Rotorua Morning Post, Volume 3, Issue 623, 30 August 1933, Page 4

THE YEAR'S TRAD

LATEST RECORo notable features pd, government returns MAKING UP LEEWAY Wellington Q0i The frade figures for the yea ed June 30, which is reallv rt | of the export season, discIoS6 stantial rise in the value of e compared with the previous vea increase is due to increased and not to any improvement i ue, but the fact that the v0lu I output has been more than maj I ed, eve'n though much of it ^ | unprofitable, is an encouragino [ It means that the Dominion is position to take advantage o general rise in the price level There is always a danger price level falls, of production j off. Naturally, when product unprofitable, costs have to bem of reserves of capital, and if th cess cannot be availed of, the try has to cease. This pr0ces, erally takes place more qUie| manufacturing than it does in ing. During the last two or years, there has been a steadyi off in the output of manufac i industries all over the world b the economic report of the Leas Nations points out, the agriet couritries have practieally main their high level of produetivitj course this cannot go on, as it vious that an unprofitable basii not he continued indefinitely many cases pastures are not bei newed and other costs are beins lected, with the result that r must decline. Whether, in th - spect, New Zealand is in a wors ltion than other countries is known, but members of the A| tural Department who are in touch with the situation are op tie enough to helieve that tbe I) ion can hold on to her position; least another season. This mean if prices improve next season, ti minion will reap the full benefit Exports The exports for the year June 30 last totalled £38,44 which is an increase of £2,899,0 the previous year and £1,500,6 two years ago. The values of , principal classes of produce exf for the year are as f ollows (the es for the previous year are gi\ parenthesis) : — Wool, £6,70 (£5,552,885) ; frozen meat, £8 213 (£8,790,684) ; butter, £10 894 (£10,187,507) ; cheese, £4 148 (£4,570,132) ; sheepskins, ; 614 (£773,946) ; apples, £64 (£758,016) ; gold, £1,199,002 (i 476); tallow, £466,474 (£450, hides £337,283 (£295,840). The foliowing are the quantit the more important items:— 1932-33 19 Wool, bales ... 801,633 66 Butter, cwt. 2,430,234 1,96 Cheese, cwt. 1,919,155 1,62 Frozen Meat cwt. ... 4,689,899 4,27 Tallow, tons 26,510 2 Hemp, tons ... 4,300 The value of the exports, e: ing re-exports, for the last ten ; ended June 30, is as f ollows: — 1923-24 £47,859,6( 1924-25 56,625,3' 1925-26 - 45,504,0-1926-27 45,457,4£ 1927-28 54,184,5' 1928-29 55,288,4( 1929-30 46,223,0! 1930-31 36,275,6! 1931-32" 34,060,0: 1932-33 36,868,2! It will be seen that there 1 have to be a tremendous recovt prices, ^notwithstanding the incr output, before New Zealand ea within striking distance of the r figures of 1924-25. A Lot of Leeway In reviewing the recent pric the London market for the pr: produce of the Dominion, the Gc ment S'tatistician states that ti creased output of butter has mei a weakened market, resulting much less improvement in the values and a fairly heavy decli the units value, as compared last year. During the six m ended June 30 last, butter has d ed in value by 15.5 per cent. in parison with the corresponding I for 1932. Wool, on the. other has practieally managed to ma its position on the markets, i negligible decline in unit valu sustained the increase in total i on a level eommensurate with th corded on a quantity basis. The notable feature about the con tive figures prepared by the Gc ment statistician is the increa 14.8 per cent. in the unit val frozen mutton. This has pi'O an argument for the advocates ( quota system. It will he remem that under the -Ottawa agrec meat was placed under a quota, dairy produce was admitted ft far as the Dominions were cor ed with a tariff on the foreignei far the tariff has not_ prevente. f oreigner from exploiting the E' market, and dairy produce prices continued to decline. On the hand, under a quota, meat prices hardened. There is no dou t from a puf ely economic pomt o the case for a quota is overwhei hut there are other factors to | en into consideration.