UTMOST CARE

Wairarapa Times-Age, 31 March 1941, Page 4

UTMOST CARE

IN REORGANISING PRIMARY PRODUCTION ENFORCED BY MARKET OUTLOOK. STATEMENT BY MR. FRASER. (By Telegraph—Press Association.) NEW PLYMOUTH, March 30. Commenting on the reported statement by the Minister of Marketing, Mr. Barclay (on the subject of restrictions on the export of butter), the Prime Minister, Mr. Fraser, said in an interview at New Plymouth tonight, that clearly New Zealand had to exercise the utmost care in reorganising its primary production in accordance with the external marketing prospects. Warnings to be gained as the result restrictions placed on meat could not be ignored. It was true advice had been received from the United Kingdom Government that the maximum effort should be made to organise the production of cheese, the demand for which was likely to be much better than for butter, ■ “I should like to add,” said Mr. Fraser, “that the Government has made full representations to the United Kingdom authorities on the marketing position and a reply has been received today in which the British Government states that it fully appreciates the consequences of the curtailment of our meat exports and that it is considering proposals which the New Zealand Government has placed before it for meeting what must be regarded as a common problem. Till we know what the United Kingdom has decided upon, it would be futile on our part to lay down any specific policy for dairy produce except in one respect. That is, the desirability of switching over further from butter to cheese. NEGOTIATIONS WITH BRITAIN. “The Minister of Marketing had this fact in mind when he spoke in Christchurch yesterday,” said Mr. Fraser, “and I would like to say while I am in Taranaki that this switch-over should be Carried out as quickly as possible. It should be stressed also that while Britain needs more cheese this can best be done by a change-over within the present limits of the dairy industry and not by the replacement of sheep by dairy stock. It would seem from the prices realised for dairy stock that there may be a tendency to expand our butter production to counteract effects of restrictions on sheep and cattle.

“His knowledge of the position of the dairy industry and of the high prices being realised for stock was the reason which induced the Minister of Marketing to make his announcement. He is anxious to emphasise the fact that the prospects certainly do not warrant any appreciation in the price of dairy stock. In the light of these considerations, care and common sense are needed. The negotiations with the United Kingdom are proceeding.. The possible effects of restrictive action on our economy are fully realised in the United Kingdom, and we may be assured of the maximum co-operation between the two Governments to meet the existing circumstances.”