Meat proposal frightening’

Press, Volume CXIV, Issue 33527, 7 May 1974, Page 2

Meat proposal frightening’

(New Zealand Press Association)

DUNEDIN, May 6.

The announcement that the Government might react favourably to the Meat Board’s request for power to enable it to trade in beef was frightening news for all independent and self-reliant producers, the executive director of the Sheep and Cattlemen’s Association (Mr A. D. Dick) said in a statement today.

"Regrettably, the board has yielded to pressure from Federated Farmers, which does not speak for the majority of producers — as was proved just 18 months ago by the referendum on wool acquisition,” Mr Dick said. “The federation once again is attempting to sell the pastoralist down the drain without first seeking farmer opinion. Last year it was wool, today it is meat.” Mr Dick said the Meat Board was not geared for trading in beef, and it was impossible for the board to influence the price of beef, which was set by world market demands.

By entering the market as a trader, the board would create a monopoly at the ex-

pense of healthy competition between the meat companies.

“Bureaucratic control of a commodity has never yet proved to be efficient economic control,” Mr Dick said. “If the Government unwisely grants the board the power it is asking for, without first seeking the opinion of all producers, a rift will be created within the industry when all efforts should be united and directed towards promotion of New Zealand beef on the markets of the world.” The setting of a realistic floor price, to be financed from the board’s accumulated funds, would be a more acceptable approach to rhe problem than the drastic step of acquiring all beef.