Scandal, Heavy Stocks Hinder Meat Talks

Press, Volume CVI, Issue 31366, 11 May 1967, Page 10

Scandal, Heavy Stocks Hinder Meat Talks

(N.Z.P. A. -Reuter —Copyright;

TOKYO, May 9. ,

Japanese racketeers, charged with unloading 17,000 diseased pigs and goats on the Japanese market are plaguing Australian and New Zealand meat men at a vital stage of their negotiations in Japan.

The discovery earlier this year that gangs of illicit dealers had been buying diseased animals from serum manufacturers and passing it off to butchers and processors as clean meat has had a markedly depressing effect on the meat retail trade.

At the same time the livestock industry promotion council, an official body which imports half of Japan’s beef, has revealed that more than 2000 of the 5000 tons of beef it brought in last year are still unsold. The combination of factors had added heavily to the task of Australian and New Zealand Meat Boards which are asking Japan to allow more beef imports. Increase Urged

An Australian delegation, led by the chairman of that country’s Meat Board (Mr J. L. Shute), urged the case for an increase in the present quota of 10,000 tons of beef a year.

He also asked the Japanese Agriculture and International Trade and Industry Ministries for ah earlier decision on the new quota, which last year was announced in September, at the end of the Australian and New Zealand exporting seasons.

The New Zealand Meat Board delegation, headed by the deputy chairman (Mr L. A. P. Sherriff), and including a Government representative, Mr B. Ryan, is having talks with Japanese officials, wholesalers and retailers this week. There has been no increase in the beef quota since 1965, when the level rose from 3000 tons to 10,000 tons. Informed sources say both boards would like a rise this year to 15,000 tons, announced as soon as possible. Not Optimistic

Members of the trade said yesterday that they were not optimistic that the officials concerned would be able to move much faster this year. A spokesman for the Livestock Industry Promotion Council, which has the right to import half Japan’s beef imports, and whose prime task is to foster Japan’s own cattle industry, said that 80 per cent of the beef it bought last year was Australian. The rest was from New Zealand. Stocks had been reduced, but more than 2000 tons of mostly Australian brisket beef was still unsold.

Japanese buying policy was partly to blame. The Japanese had gone for the cheapest cuts, but brisket had been found to be unsuitable for sukiyaki, for which lean, thin-sliced and tender beef was best.

Factors working against quick sales are increased production of Japanese pork as the result of Government encouragement, and by the collapse of the retail market after the scandal was discovered.

Police say that more than 7000 pigs and more than 10,000 goats were bought for a few shillings each from vaccine manufacturers.

Some had been deliberately Infected with hog cholera, and others with erysipelas and rabies to enable the manufacturers to draw off serum. These dead and dying animals were butchered and

passed off as clean pork to retailers.

When the scandal broke in February, pork prices crashed. There has been a general decline over the last three months in all meat consumption. According to trade sources, 30,000 tons of pork have had to be stockpiled to support the market.

The Australians have concentrated on promoting beef, which they would like to see handled more skilfully by the Japanese retailer, so that it presents a better appearance to the potential customer. Mutton Sales Last year Australia sent 26,000 tons of mutton to Japan, but the drive to sell more mutton and lamb has been left to New Zealand. New Zealand sales on the

unrestricted Japanese market have risen to almost 58,000 tons, about 2000 tons of it lamb. The New Zealand Meat Board hopes to benefit when labelling of Japanese processed meat products becomes compulsory on June 1. Pork, whale, horse and mutton all go into the Japanese “sausage,” the contents of which so far have been left undescribed. A Meat Board official said yesterday that the board hoped to reap the benefit of its efforts in Japan when sausages carried the clear label “mutton.” Another factor working against New Zealand and Australian meat exports to Japan has been a 9} per cent increase in freight rates imposed by the shipping conference serving the trade.