LINES INCREASE FREIGHTS

Press, Volume XCVIII, Issue 28896, 16 May 1959, Page 14

LINES INCREASE FREIGHTS

Meat Cargoes To U.S. West Coast Ports (New Zeaiana Press Association/ WELLINGTON, May 15. Shippers of New Zealand meat have been informed that freight rates to West Coast 5 ports in North America are to be increased as from August 1 next. Rate adjustments have been circulated and these include an increase of 17.38 per cent, in the freight for beef in cartons, 7.5 per cent, for beef in quarters and 6 per cent, for lamb in carcase. The increase follows last week’s announcement that there would be no freight increase for the 1959-60 season under the contract between the Conference Shipping Lines which operate between New Zealand, Britain, Europe, the East Coast of North America and Mediterranean ports and the producer boards.

The chairman of the Meat Board (Mr J. D. Ormond) in a statement tonight took strong exception to the Pacific coast increases and issued the following statement: . “I am Informed by the New Zealand office of the Crusader Shipping Company that the Australia, New Zealand and South Sea Islands, and Pacific Coast conference has substantially increased the rates of freight on meat from New Zealand to Honolulu and West Coast North American ports as from August 1, 1959. “The company states that though not a member of this conference, it proposes to continue its practice of accepting the conference lead in regard to rates of freight. “I have also received a circular from the agents of the Lauritzen Company which tells us that, as ■ a consequence of the increase imposed by the conference, they have also been com pelled to increase freight rates to the same destinations. “Both these companies, so they say. have to fall into line with increases decided by this con ference—this even though it is clear to us that such an increase could lead to embarrassment to our trade to North America, a trade that is vital to our economy. “My board has the statutory duty to arrange shipping for our export meat, and does not recognise the conference which has imposed this increase in freight rates. “My board has not contracted with any particular company, or group of companies, for the carriage of meat to destinations in the Pacific, for very good reasons to date. “This freight increase has been strongly taken up with the companies concerned and producers may be assured that the position in the future in regard to shipping services in this area wili now be thoroughly re-examined by my board.” The present freight rates to West Coast North America ports with the new rates in parenthesis are (per lb gross weight): Beef, in cartons. 3.25 cents (3.815 cents). Beef, in quarters. 4 cents (4.3 Cents). Lambs, in carcase, 5 cents (5.3 cents).