“Lamb At Unstable Peak”

Press, Volume CIII, Issue 30575, 19 October 1964, Page 3

“Lamb At Unstable Peak”

(N.Z. Press Association) PALMERSTON NTH., October 18.

The new season’s top price of 30d a pound for New Zealand lamb on the Smithfield market is an unstable peak and no rational trade can be based on such a figure, according to Mr H. A. Seifert, a meat exporters’ spokesman.

“Extreme and record prices for New Zealand lamb in August and September have doubtless generated a feeling of over-optimism,” he said.

“From this there could be a tendency to disappointment from the realistic appraisal embodied in the season’s opening schedule. “The export has to allow for increased processing charges, the rise in'Shipping freights, a rise in storage and holding charges in the United Kingdom, and a drop or from Is to Is 3d in the wool return a lamb from a year ago. “However, the 20jd a pound to-port North Island for the main range 29-361 b lambs with a 2d a pound premium added for early shipments, giving a 22|d opening figure,

means a return of 2d a pound and toward 5s a lamb better than last year. “In recent years the return has fluctuated. In 1961, lamb opened much lower at 16|d, down from 20jd in 1960. A low of 13)d was marked in 1959.” Mr Seifert said the schedule had been remarkably stable in the last two seasons. “It will be good if this stability can be maintained. The omens appear hopeful. Old season’s lamb has been well sold to leave a good opening for the new season’s product.” Although there may be

some easing in. wool and pelt values they should still give satisfactory returns, he said. Discussing the flow of lambs to the works Mr Seifert said much will depend on weather in the next few weeks.

The Auckland province is a fortnight late and will have no real weight of export lambs until early November. Canterbury lambs are backward from shortage of feed.

“Southland alone has enjoyed a favourable spring,” said Mr Seifert, “but the season isn’t due to open there for another five weeks.”