Lamb Rises To Peak Price

Press, Volume CI, Issue 29851, 18 June 1962, Page 15

Lamb Rises To Peak Price

PALMERSTON NORTH. June 17

A mefeoric rise during the last six weeks bad br"'”-’i , ’t ’emb to a boom price of 26? d per lb for the main ran’e of 29-361. b, Mr H. A. Seifert, a spokesman for the meet industry, said in Palmerston North. The level had been exceeded only twice in the last four years—by the 28d which ruled for three we“’*s through June and July, 1960, and 271 d for seven weeks during Octo’ce’ and November. 1958 "Two questions may naturally be asked: fi”st. what cau’ed the boom and, second, could not the exporters have for”een this? “The answer t“> the second ouestion is given when answering the first.” Mr Se’?"’"t said “Tnroueih the first fo"'n'ght of May. Britain was threatened with a national dock strike which, fortunately, was averted. “It was this threat which triggered off the swift rise seen since. “However, the foundation

(New Zealand Press Associatio

for the boom condition was Britain's bslated spring after a bitter winter.

“This held back the supplies cf home killed l»im.b normally coming to market, to give New Zealand a seller’s market.

“Beef was at a high price, to the benefit of lamb. Then, because of drouriht, the leanness of our lambs appealed strongly to the British housewife.

“It is always easy to be wise after the evert and. inevitably, some neoo’e new are claiming credit for having months ago voiced their opposition. “Three months ' aso there was no genuine ,'foundation for that, other t’en wici'rful thinking, nor are there now grounds to be over opt.’-n’s-tie for the prospect three months hence.

“It now appears probable ‘that the peak of the boom h’s been reached and it is difficult to judre how sharp may be the down 'rend and to what level will the market recede.

“That very fj-rtor which powered the upswing has generated a force to depress the market in. the months ahead.

“The lambs ‘jammed’ back on Britain’s farms by adverse weather must come forth In a rush as the weather improves. “These cannot be stored or controlled, but must go to the retailers as marketed.”

Mr Siefert said one good feaiture of the position, however. was that stocks of imported lamb were 13,000 tons lens than a year ago. Perhaps a lesson from the last six months’ trading was that the pessimists could be equally as wrong as the optimises.

A point always to be borne in mind was that New Zealand lamb represented only 10 per cent, of the meat going on to Britain's plate. From bein’ so small an item its value must ever be subject to considerable changes imposed by the other 90 per cent, of meats.