Record earnings

Press, 15 February 1982, Page 47

Record earnings

(By Mr lAN CAMERON, chairman of the New Zealand Freezing Companies Association).

For the year ending September 30, 1981, more than 31M lambs, 7M sheep, 1.5 M cattle and nearly 900,000 bobby calves were slaughtered and processed for export. In the same period, sales of meat and by-pro-ducts earned S2IIOM in overseas exchange.

These were record achievements and a very satisfying result as the industry and New Zealand reviews 100 years of processing and exporting frozen meat.

The throughput is estimated to be slightly less in 1982 but improved market realisations are hoped to compensate for this, achieving record overseas earnings. By combining the techniques of refrigeration with transport the pioneers of the freezing industry opened the way for an economic explosion in New Zealand just at a time when farmers and

businessmen were in desperate need. The impact of the meat freezing industry and refrigerated transport will forever remain a part of the history of New Zealand’s economic development As it enters its second century, the New Zealand meat export industry is enmeshed in an economic environment vital to the future of the nation just as it was 100 years ago. Despite our international reputation for quality products, reliability of supply and leadership in hygiene food processing from livestock — achievements all New Zealanders can be proud of — the industry is not without problems. Our costs are high. This is reducing farmers’ returns, as well as company profitability. Inflation, of course, is a major contributor to rapid cost escalation, compounding, as it does, the difficulties of obtaining a satisfactory level of productivity. In 1981, the industry took positive

steps towards improving productivity and holding costs with the establishment of the Freezing Industry Consultative Committee.

This is a joint management, meat workers and trades union committee with an independent Government appointed chairman. Although its principal objective is to develop criteria for introducing further technology in to the industry and progress is being made in achieving this objective, many believe the existence of this committee has already contributed to an improved industrial attitude in the industry.

To achieve success we must improve efficiency not only within the processing industry but also through the whole distribution system from farm to customer.

This will provide farmers with the necessary incentive to continue livestock production.