Iraq sends back lamb worth $2M

Press, 27 December 1979, Page 1

Iraq sends back lamb worth $2M

PA Timaru The bulk of a $4.5 million lamb shipment to Iraq has been returned to New Zealand after being rejected on hygiene grounds by the Iraqi Government. The Royal Lily berthed at Timaru yesterday with 1600 tonnes of frozen lamb still in her holds after leaving the port on July 28 with a 2200-tonne shipment. The meat was loaded at Bluff and Timaru, but was rejected after it was asserted the meat became heated while being unloaded at the Iraqi port of Basra. The general manager of W. R. Fletcher, Ltd, the exporting company, described the return of the meat as being the end of an “unhappy chapter of accidents.” Mr Perry Jones said the meat rejected was “100 per cent Al quality,” but there was little to be gained in a confrontation w'ith Iraq as it would not be advantageous to New Zealand or to his company. “It was decided to bring the meat back for disposal on another market, perhaps at a loss. We decided to cut our losses and view it as an unfortunate, isolated accident,” Mr Jones said. Prospects of further contracts with Iraq were too good to be jeopardised, he said. W. R. Fletcher hopes that once the present contract for supplying 6600 tonnes is completed in April, a further 830 million contract for 7000 tonnes can be negotiated. Mr Jones said w'hen the Royal Lily reached Basra, she had been allocated a

berth normally used for the handling of fish After leaving the ship’s holds, the meat had to travel more than 300 m by forklift to refrigerated uucks. On one of the days’, when temperature reached 43 degrees some lamb became heated. About 600 tonnes had been off-loaded at that stage and the master of the Royal Lily refused to allow the work to continue. Unable to persuade port authorities to change the berth, the master took the ship into the stream to await a correct berth. It was then alleged by the buyers that the balance of the meat on hoard was also heated and they refused to accept any more. 1 Independent authorities had testified to the soundness of the meat, said Mr Jones, and everyone except the buyer had been satis- I fled it was fit fpr human consumption. An Iraqui court had found in the exporter’s favour, but the Government declined to change its view, j “We had to stand back and make a value judg- j ment,” said Mr Jones, j “Thought had to be given ; to the fact that these con- I tracts had already been worth between $5O million ; and $6O million over the ' last two years.” The 600 tonnes offloaded had been accepted and Iraq intended buying more New Zealand lamb, Mr Jones said. A second shipment left Auckland on December 18 after also loading at Napier, and four further shipments would be made before April. The unloading of the Royal Lily will begin this morning and already the company has resold some of the 1600 tonnes to other overseas markets.