AMERICA AS A MARKET.

Taranaki Daily News, 18 February 1922, Page 2

AMERICA AS A MARKET.

■ FAST TRANSPORT ESSENTIAL. EXAMPLE. OF OUR COMPETITORS. A VISITOR’S OPINIONS. Some .interesting remarks and valuable suggestions concerning New Zealand’s trade with America were made recently by Mr. Alfred Benjamin, an Australian, who has been thirty years in the general produce trade and is a recognised authority in connection with the meat, wool and butter market. For many years past his headquarters have been New York. He emphasises the need for faster transport service for our products. Chatting to an Auckland Star man, Mr. Benjamin said:— “My idea of coming to this country was to study the ,economic situation and to see if America cannot be brought closer to Australia and New Zealand commercially and otherwise. In order that this desire can be realised, it will be necessary to shorten the steamship service between here and San Francisco to at least 14 days, which, in my opinion, is primarily the most important factor making a value for New Zealand products, particularly meat, butter and wool. The other markets of the world, Denmark, and Argentine, were formerly a long way from America, but, by reason of developed transportation facilities, the Argentine has been literally brought to New York, and is now within 15 days, made possible by the inauguration of an American steamship service of vessels which more than compare with the Niagara, clipping off 18 or 19 knots 'as against a speed of about 14J knots done by the steamer referred to. Denmark is within ten days of New York. Thus the products of these two producing countries are conveyed to America and reach the markets regularly, which makes their value greater. But with New Zealand, Ameica has a service of your products possibly, once every two. months direct to New York, and the fastest service is 23 days, which is a waste of time on the Pacific Ocean.

“It is, in my opinion, the Government’s duty to encourage and protect this country’s products, and it can only do this by initiating a fast transportation service. I would like to point out to you that we recently had the opportunity of buying New Zealand lamb, and we made a very good offer, but on account of slow delivery we were compelled to eventually place the order in the Argentine. A LITTLE HISTORY. “I was the first to introduce New Zealand lamb and mutton into the U.S.A, at New YqFk. We only took a small quantity at first, but it gradu. l.v increased and become a factor on the market.” Referring to the big shipment of careases of mutton to America some time ago, Mr. Benjamin said that m#at was purchased largely by the ‘Big Five’ in Chicago. They expected the people of New York to do something they had never done before, and that was to take New Zealand mutton. Now, America is only a beef and lamb market, and Americans must have the best quality. On this occasion they dumped too much on the market at one time, which brought about a glut and ended in disaster. It was unfortunate, too. that that winter was a very mild one ,and this, of course, lessened the demand and caused a big slump and did the meat trade that season a lot of harm. “But,” said Mr. Benjamin, “you want to remember that there is a market at all times in the United States winter for New Zealand products, provided you will take the market value.” DANISH AND NEW ZEALAND METHODS. The position of Denmark is that this country produces large quantities of butter for which she must find an outlet. She is now consigning it to New York toabe sold to the highest bidders in parcels of 500 boxes or more. This means that Denmark is assuring a distribution of her products, and the Americans would prefer to buy butter at a differential of 5 cents per lb, because the delivery is certain and the quality is a standard guaranteed by examination on arrival. The difference between the Danish and New Zealand methods of doing the business is this—that the Danish people consign their butter to be sold on inspection to the best buyer, while New Zealand wants Americans to buy and put the money in New Zealand without any guarantee that the producer stands behind his product. The New Zealand shippers demand that their Government grader’s certificate be final without recourse. Why cannot the New Zealand shipper stand behind his own Government’s certificate and permit inspection before payment? The American knows what he is going to buy. At present a certificate is issued, but whether the products are right or not is unknown, except, perhaps, too late.

GOOD PROSPECTS FOR 1922. “This year in America has started well, and they regard it as the most promising anil prospective since the armistice. The United States has gone through hard times. In August there were eight million .people unemployed, but the number now is only one and a-, half to two millions. The clouds are passing away, and it is believed that 1922 will be one of the most prosperous years, industrially and commercially, that the land of the Stars and Stripes has ever experienced. “Those who send goods to America should know that the workers of America buy onl£ the best, the best article always, and they are prepared to pay extra to get it. The purchasing power of the working people of America is greater than that o-f any other workers in the world, and that, of course, makes the price.”