Faith in U.K. means staying with lamb

Press, 19 October 1976, Page 7

Faith in U.K. means staying with lamb

London correspondent

A belief that Britain would overcome its economic problems was a major reason for less concentration on diversification of New Zealand lamb, said the United Kingdom director of the New Zealand Meat Board (Mr A. E. Frazer) in London.

Mr Frazer, who arrived in London from Wellington recently to succeed Mr D. Fechney, told a press conference earlier that the diversification target for this year and next had been set at 30 per cent of total exports. It was likely, however, that the present target would be exceeded by about 5 per cent.

It had also been recommended to the Meat Board, said Mr Frazer, that a penalty on exporters not reaching the target should be reduced from 2.2 cents to 1 cent, while the bonus for exceeding the target should be eliminated.

There were particular problems, he said, in trying to sell lamb in markets where lamb was virtually an unknown commodity. There had been no word in the Japanese language for lamb, and the

board'had been faced with a huge educational and promotional task, including the creation of a new word.

In promoting New Zealand lamb in West Germany, where meat comsumption had been restricted to mutton, the product had had to be described as “the calf of the sheep.” In an interview, Mr Frazer said he did not feel the apparent deemphasis of diversification was short sighted. “Our lamb has to go where the prices are,” he said, “and there are such strong links and so much goodwill, and a belief that Britain will pull out of the present situation, that this market will continue to be very important to us.” Increased production would ensure that sales to countries other than Britain would increase, but there would no longer be any compulsion on exporters to achieve specific levels of diversification. New Zealand, however, was still keen to break into the European market, particularly the French market, where the per capita consumption of lamb was 3.6 kg.

But the French market was protected against fresh meat imports, and especially frozen lamb, by setting a low annual quota

of 2000 tonnes. The Meat Board, however, had established a firmer foothold in the French market by negotiating an agreement with the French sheepmeat producers to import New Zealand lamb through a jointly owned import agency, FRANZIM. “It is hoped that this operation will ultimately establish New Zealand as a responsible marketer and thus improve access.” But, said Mr Frazer, what would determine the levels of sales would be the prices offered in particular markets.