H. —30r„

" (e) Quality.—As regards quality, this contract to be severable as to each package, and the buyer shall not be entitled to reject any part of a delivery which is in accordance with the contract. In the case of inferiority in quality or condition of part or the whole of any delivery, such part or the whole shall be taken by the buyer at an allowance, or rejected as may be decided by arbitration hereunder. This clause, however, in no way overrides the provision with regard to franchise or dirt and/or water, which must be read as referring to any delivery as a whole. Certificate of Origin : ' These goods are grown, produced, or manufactured in the British Empire and have been or will be shipped from a port in the British Empire, or in such manner as to be in the same position as if shipped from a port in the British Empire.' The seller shall furnish a certificate of origin in the form valid at time of shipment, otherwise he shall be responsible for any duty or extra duty incurred by buyers through non-production of such, certificates. " (/) Analysis. —Should any dispute arise as to the amount of dirt and/or water, the tallow is to be sampled by Messrs. A. Norman Tate and Co. at destination (or such other place as may be assented to by the sellers) and analysed by them, their decision to be final. Any excess of dirt and/or water over 1 per cent, to be allowed at invoice price. Cost of sampling analysis to be paid by the losers. " (g) Delivery.—Each delivery to stand as a separate contract. The name of the vessel and marks and full particulars to be declared to the buyers in writing with due despatch. Should the vessel arrive before receipt of appropriation and extra expenses be incurred, such expenses shall be paid by sellers. " (h) Arbitration.—Any dispute arising out of this contract regarding the quality or weights shall be settled by arbitration in London in accordance with the rules endorsed on this contract, such claim for arbitration to be made within forty-two (42) days of the discharge of the vessel at the port of destination, and to be passed on without delay. The arbitration to-be held within seventy (70) days of the discharge of vessel at the port of destination, unless buyers' and sellers' arbitrators or umpire agree to extend the time. Any other dispute arising out of this contract shall be settled by arbitration in London, as soon as it may arise in accordance with the rules endorsed on this contract. On the application of either party the award may be made a rule of the High Court of Justice or any division thereof. All claims to be made without undue delay." Discussions with Tallow Interests in New Zealand. On the 12th December, 1939, when the first indication was received from the United Kingdom that the purchase of New Zealand exportable surplus of tallow was contemplated, the Minister of Marketing called a conference of representatives of the New Zealand Meat Board, North and South Island Freezing Companies' Associations, Master and. Live-stock Butchers' Associations, and the New Zealand Soap Manufacturers' Association. At this meeting general aspects relating to the possible purchase agreement with the United Kingdom were discussed, and representatives present were invited to submit to the Minister any practical suggestions which would assist in devising the marketing machinery most suitable to meet the situation. Throughout the detailed price negotiations which subsequently followed, the Marketing Department was in frequent consultation with the executive members of the Freezing Companies' Associations and the Butchers' Associations, who together represented the main suppliers of tallow. Finally, when negotiations had been finalized with the United Kingdom Government, officers of the Marketing Department and Price Tribunal, together with members of the executive committees of the New Zealand Soap Manufacturers' Association, held a conference at which the local market procedure was determined and prices adjusted so as to bear a direct relation to the export-value equivalents. This enabled the local soap-manufacturers to continue to secure their supplies from all sources without a further delay, and, furthermore, established a definite basis on which soap-prices could be controlled in relation to their tallow content. The basis of purchase from the New Zealand manufacturers of tallow is full purchase price at f.o.b. The United Kingdom sterling c. and f. prices (less freight charge) were converted into New Zealand currency prices, off which was deducted 4s. 6d. per ton to cover both the Marketing Department's administration expenses and also an interest amount due to payment being made to New Zealand manufacturers some seventy days before payment was received from the United Kingdom Government.

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