Orange Trade

Proposed State Market Board Creates Stir in N.Z.

THERE has been a stir in the Cook Islands-New Zealand fruit trade, which appears to have resolved itself into the old struggle of State control versus private enterprise.

In this journal, in March, we published a statement made apparently on behalf of the Cook Island orange growers. It was alleged that, under the existing sys tem, in which growers sell their oranges to agents in the Islands, to be marketed by the latter at New Zealand, the growers are penalised. It was claimed that by the time the numerous interests concerned had received payment for cases supplied, freight, commission in Raratonga and New Zealand, and various marketing charges, there was very little left for the grower.

The agents and N.Z, distributors have replied with spirit, to the effect that, after they have taken the numerous risks of transport and market vagaries, and the added risk of poor quality fruit, they fre quently make a loss and the growers get the utmost return they can expect in the circumstances.

This controversy has been going on for years. Finally, the N.Z. Government has taken a hand, and proposes forming a Cook Islands Fruit Board which will take control of all fruit from the moment of delivery at the Islands packing sheds until it is sold in New Zealand. It will distri bute cases to the growers, grade and pack the fruit and arrange for shipment.

The profits will be distributed among growers under a system by which growers will receive an even payment —that is to say, a proportion will be withheld from distribution when prices are good, so as to provide a fund for bigger payments to growers when the market is unfavour able. The main object is to guarantee to the growers a minimum rate for their fruit.

The various interests concerned with Cook Islands fruit trade are vigorously resisting this new system. The Auckland Fruit Importers’ Association has been active; and the Auckland Chamber of Commerce (according to the N.Z. Herald of May 25) has been supplying the N.Z.

Prime Minister with “the strongest pos sible objections against the proposed Cook Islands Fruit Control Board.” The Cham ber, among other things, alleges that the Board is largely the outcome of the fact that the Cook Islands Department has not

enough to do, and that this new method of employing the officials is a departmen tal ruse for avoiding the amalgamation of the Cook Islands Department with the Department of External Affairs. The Chamber is emphatically of the opinion that the creation of a new Government trading body of this description is undesir able and that in the end the Cook Islands orange growers will be considerably worse off.

The Government, however, seems deter mined to proceed with its plans. It is apparently encouraged in this decision by the fact that a similar body to that pro posed has been for years marketing in New Zealand the bananas grown for the N.Z. market by planters in Western Samoa —a system that, so far as we know, has worked satisfactorily.

Little has been said in these arguments about the lack of suitable shipping facili ties. That is one of the really serious factors —the arrival of the fruit in New Zealand in poor condition indicates a lack of proper carrying facilities. It is sig nificant that Cook Islands interests to-day are inquiring as to whether it is possible to induce a line of steamers which runs from Europe through Panama to New Zealand to call at Rarotonga to pick up oranges. Those vessels frequently go from New Zealand to Europe full, and return empty. It is thought that therefore they would be glad to carry oranges in their refrigerated space from the Cook Islands to New Zealand, and thus allow the fruit to arrive in New Zealand in first-class condition.