MANUFACTURING MEAT TRADE

Press, Volume LXXXVIII, Issue 26886, 12 November 1952, Page 10

MANUFACTURING MEAT TRADE

Exporters Criticise British Contract

DECISION TO URGE REVISION

(New Zealand Press Association) WELLINGTON, November 11,

New Zealand has been too timid in negotiating with Britain for a fair share of a highly profitable part of the meat export business, the manufacturing meat trade, according to meat exporters and processers trom all over New Zealand who met in Wellington today. The meeting criticised the terms of the agreement with Britain on manufactured meat. With one dissentient those present decided to ask the Minister of Marketing (Mr K. J. Holyoake) to reopen negotiations with the British Ministry of Food! A deputation was appointed to meet the Minister.

The sole dissentient to this decision was Mr P. B. Borthwick, representing Thomas Borthwick and Sons, Ltd. He said afterwards that he had opposed the motion because it did not set a strong enough tone. New Zealand should not merely ask Britain for a revision of the agreement; she should insist on it. he said. Recent Growth of Industry The meeting of exporters c-nd processors was called bv the New Zealand Meat Producers’ Board, and the chairman was Mr J. J. Evans, general manager of the board. With him was the Director-General of Agriculture (Mr E. J. Fawcett). Manufacturing meat is boneless meat, mostly from cull dairy cows and bulls, as well as tongues of all descriptions, and certain types of pig meat. It is sent away canned or in frozen packs.

The trade grew enormously last season. The meat was sold in Britain off the ration, and much of it brought prices a lot higher than those fixed for ration meat. Prices for cull stock rose in New Zealand to high levels, though this development came late in the season, after most farmers had sold their culls. Last season there was no limit on the quantity of manufactured meat that could be exported. This season, the agreement with Britain laid down a maximum of 20,000 tons in three categories.

Mr Evans said at the meeting that his board and the Government had agreed to this limitation. They thought it was sufficient to take care of all meat properly classed as manufacturing.

Many exporters present denied that the maximum fixed for exports was high enough. Mr N. A. Thomson, representing the Auckland Farmers’ Freezing Company, claimed that the quantity should be increased by 10,000 tons, or even 15.000 tons.

“Trade Severely Hampered’’ Mr J. Wattie, representing the J. Wattie Canneries, Ltd., said the canned meat trade was being severely hampered by Government-to-Government restrictions. New Zealand was one of the largest meat producers in the world, but it had the smallest canning industry.

Mr Wattie quoted figures showing that huge quantities of canned meat were exported last year by Australia and European and South American countries. In recent years, New Zealand had had a wonderful opportunity to get her brands established on the British market, he said, but other countries had been allowed to get in ahead of the Dominion. Today the market was reaching saturation. Mr Evans said in reply that Britain had laid down the quantity of manufactured meat she was prepared to take from New Zealand. The exporters refused to consider any scheme of allocating the business among themselves till Britain had been asked again to increase the total quantity she would take.

“New Zealand should do a little Insisting on her own.” Mr Borthwick said. “Our negotiators have got us into a considerable mess. The proper way out is to free manufacturing meat from quantitative restrictions. The tenor of the next cablegram should be. ‘We insist on manufacturing meats going free.’ ”