GOOD MARKET FOR N.Z. BEEF PREDICTED

Press, Volume XCV, Issue 28284, 23 May 1957, Page 7

GOOD MARKET FOR N.Z. BEEF PREDICTED

Good markets for New Zealandbeef are predicted by Mr A. B. jjaker. a membei of the New Zealand Meat Producers’ Board. Examining markets for beef, Mr Baker said that whereas in 1938 Britain produced 605.000 tons of beef and veal and imported 589.000 tons, last year she had provided 790.000 tons herself and imported only 439.000 tons, though her population was now 7 per cent, greater. This substantial increase in Home output had been the direct result of a policy of heavy subsidy to the livestock industries now totalling about £2som a year British Production

“With this policy in operation, Britain today produced more than 63 per cent, of her own meat supply whereas in pre-war years she produced only 51 per cent.,” he continued. ‘‘Britain is able to supply a greater portion of her own needs and by increasing the volume of meat tin the market under this subsidy system she is able to restrain prices and, without depressing the income of her own farmers, get cheaper imports than she would otherwise do. Britain gets more meat from her own land. It is expensive meat but the cost of it is offset considerably by reduction in the amount that the public has to pay for imports Still Scope

“We have, of course, to accept that situation, but we believe there is scope for New Zealand producers to supply a larger portion of Brtam’s imports than we have done and that we can command remunerative prices. We have asked and I believe we shall eventually get the right to a greater share ot this market, and we believe we can supply it. “Our concern should be to enlarge our supply and to increase the quantity of chilled beef we export to Britain. To enjoy the most remunerative portion of the market we need to present weekly good quality arrivals of chilled beef.

‘To achieve this we seek a greater production of high quality beef and, most essential, a faster, more regular delivery of chilled beef to the market. There are fast ships which can take our beef to London in not much more than 30 days. These particular shipments arrive in excellent condition and sell close to or equal to the Argentine prices.” Of markets outside the United Kingdom Mr Baker said that these could not all be regarded as stable or assured but in total they offered attractive opportunities.

In 1955-56 New Zealand exporters had placed 40.7 per cent, of the country’s total beef exports, or 48,000 tons, in these markets. The sales made to the Continent

reflected the increasing, demand tor meat with rising living standards. Increased Demand I" West Germany, which took 13,500 tons of New Zealand beef last year, there was an estimated 10 per cent, increase in the demand for beef in 1957. In this country there was an active farmers’ bloc known as the Green Front, whose political opposition to imports could be very considerable and in the present year, because elections were in the offing, there might be some reluctance in German Government quarters to extend import licences as fully, but the general trend, with the present strong economic position of the country, was towards a continuing increase in meat importation. New Zealand had also sold 7000 tons of the same class of meat to Italy, whose general level of meat imports had also greatly increased. There had also been a significent increase in shipments of beef to North America. By the end of April they totalled 3500 tons and by the end of next month this total would reach about 7000 tons. This compared with total exports to this destination last year of 1400 tons. Since the period of the occupation a taste for meat had also developed among Japanese and substantial imports, mainly of boneless beef and veal, were being made this year by Japanese firms New Zealand shipments to Japan last year were only 111 tons, but this year at least 10.000 tons would be shipped and it was likely that this total would be considerably increased.