Optimism about meat export prospects

Press, Volume CXI, Issue 32541, 26 February 1971, Page 12

Optimism about meat export prospects

A man who has spent almost a life* time in the meat trade in the United Kingdom says that he has never been more optimistic than he is now about the prospects for New Zealand meat products. He is at a loss, therefore, to understand much of the gloom and despondency in farming circles in New Zealand.

He is Mr W. M. Pooley, managing director of Towers and Company, an organisation entirely owned by the New Zealand Refrigerating Company, the Southland Frozen Meat Company and the Gear Meat Company, whose meat-trading operations extend from the Persian Gulf through Europe to the United Kingdom—where it has some. 50 depots—and Africa. Mr Pooley himself started work in a slaughter-house ip Britain when he was a lad, and was associated with the home-produced meat trade until 1939. Then, apart from war service, he was first deputy director and then director of meat distribution for the Ministry of Food in Britain, until meat was decontrolled in 1954. Mr Pooley said in Christchurch mis week that one of his rather sad impressions of New Zealand at the moment was the undue emphasis, and almost gloom, about the consequences for New Zealand if Britain joined the European Economic Community. A matter also for concern was the ignorance in New Zealand of why Britain wanted to go into the Common Market. Although he was not a pro-Common Market man, the Common Market was the fastest growth area in the world—far faster than the United States. In a few years time, the tariffs on British-manufactured goods going into the Common Market would be quite prohibitive—and Britain lived by her exports. It was obvious that a United Kingdom that was "broke” was no good to New Zealand or anyone else, Mr Pooley said. Even if Britain did go into the E.E.C., Mr Pooley

said that the British people would not stop eating lamb over-night No other country in the world could supply the British market with the lambs that it needed and the British ewe flock was declining by some 300,000 head a year. The British people liked New Zealand lamb, and were used to it. It remained one of the most reasonably priced commodities on the British market. In addition to that, Mr Pooley said he could see great opportunities for selling lamb to some of the Continental countries in particular, France. While this would depend on the terms of British entry to the Common Market, the New Zealand Government appeared to have done an extremely good job in informing the Six of the importance of the market for the lamb in both Britain and on the Continent. As well, there were other markets undreamt of a few years ago. There was little doubt in Mr Pooley’s view that the Soviet Union and

its satellites would be big customers for New Zealand mutton and beef, and also for some lamb, for many years to come. There were also large markets looming up in the oil-bearing States—ln such areas from Oran to Morocco. These countries were used to eating lamb. His organisation had had large inquiries for mutton and lamb from Hungary and Iran, and the Australians were already exporting large quantities of meat on the hoof, and in frozen form, to the Persian Gulf States. Mr Pooley recalled that in earlier interviews in Christchurch six years'ago and three years ago he had urged that New Zealand get into beef production, as there looked like being a shortage of beef. Ha had been proved right and New Zealand had gone into beef production in a big way. Now he could see a world shortage of lamb. He would not suggest that there should be a dramatic reversal of the move into beef production, but he did believe that there was a good future for lamb and mutton as well as for beef. That was why he was surprised to And the gloom about Britain’s bid to enter the Common Market Mr Pooley said he could understand the dismay and concern felt by the farmer who had seen wool prices fall so drastically, but he could see nothing but prosperity on the meat side of the business. Beef prices were now at record levels in New Zealand, and prices for lamb carcases were still quite good. He believed that the price of meat would increase by rather more than the natural rate of inflation now taking place in all countries. He said, however, that it might be dangerous if meat prices went too high. It was his feeling that the wool boom at the time of the Korean War had been a bad thing for New Zealand in that it had allowed synthetics in—and this could happen again on the meat side if prices were not kept at reasonable levels.

There was no doubt that synthetic meat products were becoming better and mon palatable. Nevertheless,' Mr Pooley said that the encouraging thing about the world meal position was that meat wai short In countries which could afford to pay for it It was worth noting, said Mr Pooley, that a big element in increased costs in the meat industry in New Zealand had been brought about by improving facilities to the high standards required by the United States. It was of concern to all in the meat trade that so much had been invested in facilities—to age and condition meat and in the raising of hygiene standards that was showing little or no return. On meat packaging, Mr Pooley thought there was no doubt that the packaging of beef in New Zealand had been an enormous success, It was the best packaged beef received in the United Kingdom, both for quality and from the appearance of the packaging. Mr Pooley said that his organisation would also have liked to have seen an increase in the packaging of New Zealand lamb cuts, but the cost of packaging in New Zealand (both the package and labour) was

very much higher than m the United Kingdom, so that a large percentage of the lambs that were cut up were cut up in the United Kingdom, on a pure economics basis—the packaging of cuts in New Zealand added about 4d per lb to the price compared with the same operation in Britain. The standard of packing of offals in New Zealand was very high, and was, in fact the best in the world, Mr Pooley said.