BANANA TRADE RISKS

Sun (Auckland), Volume III, Issue 880, 25 January 1930, Page 13

BANANA TRADE RISKS

“WILD STATEMENTS” IN DUNEDIN AUCKLAND’S* FAIR CONDUCT Criticism from the Dunedin Chamber of Commerce concerning the allocation of Samoan bananas brought by the Maui Pomare was classed this morning by Mr. E. C. Turner, of Turners and Growers, Ltd., simply as “wild statements.Mr. Turner explained the exact manner in which the tender for this year’s total output of Samoan bananas was gained by Turners and Growers, Ltd., and gave it as hiß view that the Dunedin criticism had been prompted by a section of Southern buyers. When the Government found last year that its handling of the trade was not profitable, it decided to let a contract for the conduct of the trade. The Auckland firm's tender for the whole output was above those from the South for even a portion of the output. The root of the trouble seemed to be that certain persons in the South were disgruntled. Naturally the Auckland houses handling the fruit were more likely to put consignments through to Southern firms with which there had been business associations before the tender. Complaints apparently had been represented by the "disgruntled section to the Dunedin Chamber, and the imputations made from there were entirely wrong. DUNEDIN MIS-STATEMENTS Mr. Turner has returned from the South where he supervised the distribution of the fruit brought by the Maui Pomare. Mr. Turner referred to the statement by Mr. A. H. Allen, president of the Dunedin Chamber, made before the distribution instructions came to Mr. Turner, that Dunedin had been given only 1,050 cases of Samoan bananas. It actually had received 1,630 cases, all sold through recognised Dunedin wholesale firms, with which Auckland houses had previously dealt. A mis-statement from Dunedin was that Samoan bananas were carried on the railways at lower rates than Fijian. The Railway Department had charged highest imported rates on Samoan bananas and New Zealand rates on Niuean. The disparity—more than double—was not understood in Auckland unless it had the purpose of giving the South Island preference in railway rates. The South Island and Wellington had contracted for all bananas from Niue. Auckland had not received any of the last shipment by the Maui Pomare. Wellington received about 30 per cent., and the South Island the balance. Auckland would not have paid the heavy railway charges on the fruit had it not been thought advisable, in view of the ripeness of the cargo. The president of the Dunedin Chamber had not mentioned that Niuean bananas were sold in Wellington and Southern towns at 9s 6d a case, 2s a case less than the Auckland contract price for Samoan. LOSS, NOT PROFIT A message from Dunedin saying that Auckland shippers should come out on the right side in the sales of the Maui Pomare fruit in Dunedin was denied by Mr. Turner, who thought there would be a loss. The prices ranged from 5s a case upward. Mr. Harvey Turner, managingdirector of the firm, has sent a message to the Dunedin Chamber asking it to offer to take control of the total Samoan output for the current year. The offer was conditional on the sending of all shipments to Dunedin while the Chamber was to retain the profit or suffer the loss on the recent Maui Pomare shipment. Another Auckland view gained by The Sun today was that the Dunedin complainants were anxious to derive benefits from the trade, but preferred to have outside merchants having the risk. The South Island actually received fruit of excellent quality and the allocation was entirely fair. Past experience had showed that, when banana shipments were likely to deteriorate in quality, the vessel had been diverted to the nearest ports, Auckland or Wellington.