MEAT SHIPMENTS Commission May Study Proposal

Press, Volume CVII, Issue 31519, 6 November 1967, Page 14

MEAT SHIPMENTS Commission May Study Proposal

(New Zealand Press Association) DUNEDIN, November 5. The Transport Commission may be asked to investigate the diversion of meat shipments from Port Chalmers to Timaru and Bluff as a result of a two-hour meeting in Wellington on Friday. But it is unlikely that any action will be taken by the Government or the Commission to alter present plans for trial railings and shipments of frozen meat this season.

The Wellington meeting was attended by a delegation from Otago, the Prime Minister (Mr Holvoake), The Minister of Agriculture (Mr Taiboys), the Minister of Labour (Mr Shand), the Minister of Marine (Mr Scott) and the Minister of Transport (Mr Gordon).

meets the interest account on this nationally-owned and operated transport organisation.”

The submissions suggested that the railways used the term “profit” in an unusual sense and that until the railways began to make a normal interest return on its substantial capital funds and ceased to make demands on the national exchequer it should desist from making use of the word “profit” in describing concessions on freight rates. Cost calculations had been made “in complete secrecy”, said the submissions, and there was an urgent need for a full inquiry to be made by an impartial body and a full disclosure of all the information on which the decision was taken.

Two Dunedin members of Parliament, Mrs E. E, McMillan and Mr W. A. Fraser, accompanied the Otago representatives.

In submissions to the Prime Minister, the harbour board said the “trial exercise” proposal involved the reduction of 60 watersiders from the register. “Social Upheaval” “To suggest that these men and their families find work at Timaru or Bluff is a social and economic upheaval which is completely unacceptable and would result in Port Chalmers becoming a depressed area for no good purpose,” the submission went on. “The total tonnage over the wharves at Port Chalmers is 70,000 a year. The diversion of 24,000 tons represents 32 per cent of the work. The economic and social consequences of this decision must therefore be obvious. Has any account been taken of these costs in the trial exercise proposal? “In the absence of any details of costs involved in the exercise, the additional rail freight is, we understand, to be substantially discounted on the existing rates and may well be uneconomic. Since the Railways Department operates on a non-commercial basis, any special discount rate cannot be in the interest of the taxpayer or the i Consolidated Fund, which

Captain J. B. McGowan, chairman of the Otago Harbour Board and leader of the delegation, said after the meeting that the whole problem might be referred to the Transport Commission for review.

“We had a good opportunity to state the whole of our case and we had a sympathetic hearing,” he said. “We are not completely satisfied with the outcome, but at least we are having the matter reopened by an authority we regard as impartial. Decisions so far have been taken by partisan interests. “We are hopeful that the outcome will be a recommendation for the redirection of residual trade to Port Chalmers. Mr Shand said the operation was due to begin in December and it would be difficult for him or the Government to interfere at this stage."

The question of railway freight rates was also discussed, Captain McGowan said.