MEAT EXCHANGE AGREEMENT

Press, Volume LXXXVIII, Issue 26728, 12 May 1952, Page 8

MEAT EXCHANGE AGREEMENT

N.Z. BEEF AND PORK FOR SALE IN U.S. CANADIAN PRODUCE TO GO TO BRITAIN (New Zealand Press Association) WELLINGTON. May 10. Agreement has been reached by the Governments of the United Kingdom, New Zealand, and Canada on a scheme whereby Canadian meat will be shipped to the United Kingdom in exchange for New Zealand beef and pork which will in turn be sold in the United States. It is possible that the New Zealand beef already in store and still to be killed will fall short of the quantity that will be required, and in the meantime the New Zealand Meat Producers’ Board has taken steps to postpone the shipment of all classes of beef. This was announced to-day by the Minister of Marketing (Mr K. J. Holyoake). “As a result of an outbreak of foot-and-mouth disease in Saskatchewan, Canadian livestock and meat which would normally be sold in the United States are not permitted entry to that market.” said the Minister. “Canada, therefore, has a surplus of beef and pork, and this has led to the exchange agreement among the Governments concerned. “The United Kingdom will pay New Zealand in sterling at the existing New Zealand-United Kingdom contract rates, and Canada will receive the proceeds from the sale of the New Zealand produce in the United States. "As the New Zealand meat has to be exported frozen it will realise less in the United States than would have been received for the fresh Canadian product. “Although there will be a net loss to Canada.” Mr Holyoake concluded, ‘Canada wishes to recompense New Zealand for the trouble involved in making the exchange, and the determination of a share for New Zealand in any excess there may be of the net United States proceeds over the sterling proceeds is under consideration.”