The Press TUESDAY, NOVEMBER 22, 1960. Lamb For North America

Press, Volume XCIX, Issue 29368, 22 November 1960, Page 16

The Press TUESDAY, NOVEMBER 22, 1960. Lamb For North America

It is difficult to see how the New Zealand Meat Producers’ Board furthers its policy of seeking new markets by deciding that no New Zealand lamb may be exported to North America except by or through the Meat Development Company (N.Z.), Ltd. The chances of making significant sales would surely be infinitely better if the enterprise and resources of the established export companies were enlisted. Indeed, the case for greater initiative is supported by the Meat Board’s own pessimism about developing a market in North America. What has led the board to form this opinion? As recently as last March it was going to great pains to try to preserve an opening for New Zealand mutton and lamb in the United States. After American producers had asked the United States Tariff Commission for greater protection against imports, a New Zealand delegation, led by Mr John Andrew, a member of the Meat Board, joined American importers in resisting pressure in hearings before the commission. Largely because of Mr Andrew’s well-documented and persuasive case, the. commission refused to recommend higher duties; and the Meat Board congratulated itself on preserving for New Zealand a foothold in a potentially lucrative market. Surely those who asked for protection and those who resisted it acted on the presumption that a worth-while market was involved? Admittedly, it may be no more than a potential market at present; but Mr Andrew

argued that population growth alone should ensure increased sales for both importers and producers, and that the interests of all would be best served by encouraging consumption at economic prices. The changed attitude of the Meat Board is hardly the right frame of mind for a selling campaign. When the proposal to set up the Meat Export Development Company was. first discussed many persons were disturbed by the thought that the Meat Board would be competing in the open market with ordinary export companies. This, it was considered, might disrupt the entire New Zealand industry. Fears were allayed when the Meat Board gave an assurance that it would not participate in the management of the company, but would merely cooperate with a compary operated by • members of the New Zealand-owned Freezing Works’ Association. The company, it was said, would explore markets which initially might be unattractive to ordinary private suppliers conscious of their responsibilities to shareholders. Cultivation of the North American market for lamb might be an appropriate task for the Meat Export Development Company, provided established exporters are not interested, in which case the ban on their business would not be necessary. If they are interested their summary exclusion from this venture is not likely to encourage them to co-operate with the board in seeking new outlets. ’ The board surely owes farmers some explanation of its self-contradicting resolution.