Chathams meat works to be reopened

Press, Volume CXI, Issue 32779, 2 December 1971, Page 2

Chathams meat works to be reopened

(New Zealand Press Association) W’t WELLINGTON, December 1. The Government would guarantee the activities of the Chatham Islands Meat Company’s works under management of the receiver for the 1971-72 season, the Prime Minister (Sir Keith Holyoake) said today.

The meat works was closed on August 6, after having been in receivership since September, 1969.

Considerable losses have been incurred since the works began business in its present form in 1968. When it was decided last March that the works would be closed, it was announced that an economic survey of the Chatham Islands would be

made to determine possible future development. The economic survey report has been presented to the Cabinet, which has made a preliminary study of the recommendations. However, in view of the deteriorating economic position of Chatham Islands farmers, and the consequent urgency of the situation,Jt had been decided to reopen the works for the 1971-72 season, while a further, more detailed study was made of the implications of possible future tuse .of the works, the Prime Minister said.

Many factors were involved in this study, including the ability of the Chatham Islands to provide sufficient livestock to support an economic and viable meat works together with the present and projected future demand and price levels for sheepmeats

and beef, both on the domestic and overseas markets.

A number of necessary improvements must be made to the plant and equipment at the works before work could begin. The Government had agreed to guarantee the cost of these improvements, and it was hoped that they would be done .immediately, Sir Keith Holyoake said.