“Undue Pessimism” In Fixing Of Meat Prices

Press, Volume XCVIII, Issue 28832, 28 February 1959, Page 12

“Undue Pessimism” In Fixing Of Meat Prices

(New Zealand Press Association) WELLINGTON, February 27. Making allowance for the peculiar features of this season’s trading, he believed that meat operators in New Zealand had been “unduly pessimistic” in the fixing of schedule prices, said the chairman of the New Zealand Meat Producers’ Board (Mr J. D. Ormond) tonight.

"In looking* at the price of our lamb in the United Kingdom there

are seasonal factors that have to be taken into account,” said Mr Ormond.

“The present time is a period of the year at which imported lamb prices in London customarily reach a low point from which they recover,” said Mr Ormond. • “In the first two months there has been a supply of home produced sheep meat which would normally have been marketed in the later part of last year. There was also a much increased weight of Australian meat on the market. Supplies from New Zealand have been about the same as they were last year. “Immediate Factors” “These immediate factors have

no doubt influenced meat operators in New Zealand in the fixing of schedule prices to the farmer for his lambs and sheep. There is also the reduction in wool values and in the realisations from some by-products. “Making allowance tor these considerations. 1 believe nonetheless that operators have been unduly pessimistic. The meat market in the United Kingdom is thoroughly sound and after disposal of the factors I have mentioned I believe there will be the customary movement in price.

' “Demand for New Zealand meat outside the United Kingdom continues. Shipments of the present seasons meat in the period from the start of the season on October 1, 1958, to January 31, 1959, to markets outside Britain were in advance of those at the same date a year ago.”