The Press MONDAY, DECEMBER 21, 1959. Reverse for New Zealand Meat Trade

Press, Volume XCVIII, Issue 29083, 21 December 1959, Page 14

The Press MONDAY, DECEMBER 21, 1959. Reverse for New Zealand Meat Trade

The transfer of the Saracen from the shipping trade between New Zealand and North America is a little like robbing Peter to pay Paul The Saracen, on which New Zealand meat producers have depended to develop their North American market, will be used to augment the present shipping service to Japan, with which New Zealand also hopes to increase trade under the terms of the 1958 treaty. A smaller ship, the Egyptian Reefer, will replace the Saracen on the North American run; but, unlike its predecessor, the Egyptian Reefer cannot carry chilled meat. The New Zealand Meat Producers’ Board, which has expended much effort and money on. promoting sales to the difficult but lucrative North American market, deserves sympathy for this serious and apparently unexpected reverse. In recent years the board has tried conscientiously to lessen the dependence of New Zealand meat producers on their traditional markets. The interruption of regular transport to an area wheft the board’s campaign might be expected to yield encouraging results is unfortunate; but shipping companies can hardly be blamed for wanting to use their ships on the more profitable routes The types of meat ' New Zealand is likely to sell in Japan differ greatly from those sough’ in North America. The North American trade is essentially a quality one, for which New Zealand prestige must be maintained and enhanced. Generally the Japanese are very much less exacting. The prices they are prepared to pay are correspondingly lower. Most North Americans have yet to be persuaded of the merits of New Zealand lamb. However, the decline of beef herds in the Americas has opened up a hew

opportunity for New Zealand beef exporters. Beef production is a speciality to which, according to many experts, New Zealand farmers should pay more attention if the primary industries are to prosper as they should. Without suitable shipping to America, New Zealand will be denied, at least temporarily, a share in the world’s best beef market. Lack of return cargoes for ships unloading New Zealand meat at North American ports seems to have led to the unfortunate change. To what extent this is attributable to New Zealand’s import policy, which still bears harshly on dollar trade, should be worth determining. Most other countries of the sterling area, including Britain, have already liberalised their policies on dollar imports. It is time New Zealand followed their example. American goods may be expensive and therefore unattractive to New Zealand importers with alternative sources of supply; but they would provide useful standards of comparison and should stimulate New Zealand industrial initiative.

This year the Meat Board was empowered by the Meat Export Control Amendment Act to arrange consignments by air. In present circumstances the board has reason for satisfaction in its far-sightedness. The "hairman of the board (Mr J D Ormond) months ago expressed the hope that soon it would be possible to deliver New Zealand meat to North America within a week of killing. Whether regular air consignments would be as economic as sea-borne cargoes still appears uncertain. Backloadings are as much a problem for airline operators as for shipping companies: and until New Zealand’s attitude to dollar imports is more liberal the meat industry’s transport worries are likely to continue.