FRUIT INDUSTRY

Waikato Times, Volume 125, Issue 20950, 1 November 1939, Page 14

FRUIT INDUSTRY

DIFFICULT POSITION NOT WANTED OVERSEAS f LACK OF SHIPPING SPACE (By Telegraph.—Special to Times) WELLINGTON, Tuesday The problem facing the Government and the fruit industry as a result of the probable loss of the export market through the war was discussed tonight by the Minister of Marketing, the Hon. W. Nash. The problem, arose, he said, because the United Kingdom Government had notified New Zealand that it did not desire to buy any fruit this season. Apple and pear production for this season, said Mr Nash, had been estimated at 3,403,000 cases. Normally up to 1,500,000 cases were exported and about the same number sold on the local market. Growers’ Position This year growers were faced with a dangerous position, arising from a very large crop and the possibility of no European market. The United Kingdom Government had requested that shipping space should be devoted to essential food, with preference to dairy produce and meat. The New Zealand Government had made every effort to secure space for fruit, but so far with no indication of success. Mr Nash said the Government had for some years assisted the industry with a guaranteed price for export fruit. Two years ago a subsidy had been extended to locally marketed fruit, but the experience then showed that it was not desirable to repeat the experiment, since the Government had to find about £85,000 to square the accounts. Mr Nash said the Government had suggested that the whole marketing procedure should be delegated by the Government to the Fruit Board —which meant that the board would take responsibility for the marketing of all the fruit—and that the Government would enter into a contract to take 1,000,000 cases at 6s 9d a case f.o.b. and take the risk of getting them away from the Dominion. If the Government could not find shipping space for this fruit, then it would not be marketed in such a way as to destroy the chances of the rest of the fruit. If the Government could not find a market for the 1,000,000 cases it would not undertake to waste the fruit; it would not destroy it. Every Grower To Share In addition the Government would undertake to try to find space for more fruit, and would buy every case for which space could be found. This system would give the Fruit Board £350,000 with which to start |he year and the money could be so pooled that every grower would share. The Government, however, had been asked to take over the whole of the crop at a guaranteed price. It had been suggested to the board that the Government could not reasonably be expected to take the whole crop at a guaranteed price, and the growers are to re-examine the position with a view to finding a scheme whereby the grower would receive satisfaction, the public would be provided with ample supplies at fair cost, waste would be avoided, and too heavy a charge would not ' be made on Government funds.