Beef support scheme to continue

Press, 9 May 1980, Page 14

Beef support scheme to continue

Parliamentry report Government support for dairy beef production will continue for another year. The Minister of Agriculture (Mr Maclntyre) said that the market guarantee scheme would be extended for a year and that the guaranteed minimum price would be increased by $lO to $BO.

The new guarantee would apply to calves born in the coming season, but Mr Maclntyre said he expected that the market return would be higher than $BO an animal. The increased level of support was based on estimates of calf-rearing costs, selling and transport charges, but excluded labour charges. “During the last four years the scheme has functioned successfully in encouraging retention of dairy beef calves which, when reared, have added considerably to New Zealand’s beef export returns,” he said.

In the 1978-79 season, 230,000 calves were retain-

ed under the scheme and provisional figures for the 1979-80 season indicate that 350,000 calves were kept. Mr Maclntyre said the early announcement of the continuation would help dairy farmers and specialist rearers to plan effectively before the new dairy season began on June 1. Under the scheme, if the assessed national average price beef calves sold in November and De* cember did not reach the; $BO minimum, qualifying farmers would be paid the difference.

In 1976, $5 a head was . paid out to balance the support price for .that | year. In 1977-78 the | amount was $3.20, in r. 1978-79 it was $l9, and no J payments were necessary. last season. j; Eligible calves would bery; those born between June 11I: and October 31, this year, ij and registered in Novem- t ber. Calves bom between •] November 1 this year, and i May 31, 1981, must be J registered during June, I 1981, to be eligible.