EUROPEAN MARKETS.

Taranaki Daily News, 8 June 1921, Page 5

EUROPEAN MARKETS.

THE AFTERMATH OF WAR. EFFECTS ON DAIRY INDUSTRY. The various phases affecting the European markets at the present time were illustrated by Mr. M. Nathan, of Joseph Nathan Ltd., in the course of an interview at New Plymouth yesterday. His remarks had particular reference to the dairy industry. “When I left England on December 18 last depression was beginning, more particularly because of the vacillating policy of Germany with regard to reparations,” Mr. Nathan Gftid. “The acceptance of the Allies’ bill for reparations which has since been reported in the cable news should make a great difference to New Zealand, for this reason: Germany, as I know from personal experience, is in great need of raw products, and where this interests New Zealand particularly is in flax, casein, wool and dairy produce. Our firm had three men in Germany a little while after the armistice, making inquiries, and they stated that the factories were working night and day, but the general population showed the terrible effects' of the war. The reports were, heart-rending as to the condition of the little children running about; it was plainly to be seen that they had been starved for fate. “This shortage of nourishment for the children was illustrated by a visit the German Food Controller paid to London for the purpose of consulting the British Food Controller as to the means of purchasing foodstuffs. The rate of exchange was then in the region of 300 marks to the £, compared with a normal rate of between 20.2 and: 20.4 marks to the £.

Summing up the position in this connection, Mr. Nathan said that, direetly the exchange could be brought down to a reasonable basis, there would be a big opening for New Zealand products in Germany. The position in regard to frozen meat was also undergoing a change. In pre-war days it could not be sent to Germany or France, because of certain sanitary laws there in force. The after-war shortage had caused France to abrogate these laws, so that New Zealand had an opportunity to export there, and Germany would probably follow suit. Germany in pre-war days had been a great purchaser of casein, coming next to America in this respect. Nathan and Co. had been able to dispose of small parcels of caseih in Germany recently, but owing to the rate of exchange the trade was kept in small compass.