FROZEN MEAT TRADE.

Dominion, Volume 4, Issue 1021, 10 January 1911, Page 2

FROZEN MEAT TRADE.

REPORT FOR THE PAST SEASON. Messrs, Gilbert Anderson and Co., reporting cn the past season's frozen meat trade, say:— "As colonial agents representing solely the interest of growers and shippers, we consider it advisable to issuo our report to coineido. with the .seasons _ in ■ the colonies. The year's trade is practically' at an end by October 31. Growers and shippers are now arranging for the next season. We therefore-hasten .'to send our report to our numerous clients hoping that it will reach them in time to be of soino service in guiding them for the lieu* season's operations. "Our forecast that there would 1m good trade and prices for frozen meat, and especially lamb, for 1010 proved correct and well founded. As anticipated, there was an absence of excessive supplies of Home and continental stock. The accumulation of old stock was being rapidly cleared out; the trade was ready for fresh supplies. . "At the opening of the season there was no attempt to hold back shipments. As tho vessels arrived the frozen meat was sold at the best possible prices obtainable from time to time. The confidence of the buyers was inspired by the desire of the growers and shippers to do . business and to continue selling. "With improved trade and better demand, prices advanced until a basis was established, which must have been satisfactory to all shippers. "The wide and varied sources from which supplies of meat reach Great Britain are such as to make any artificial attempt on the part of any country to. hold pack supplies for high prices, one' of great risk with uncertain and perhaps disastrous results. It is important to bear, constantly in mind tlia/: the purchasing power of the great majority of the population of. Great Britain is limited: that for many there is only a certain amouut available weekly for the purchase of meat; that any excessive high' range of prices greatly reduces the quantity that can be purchased. The question t for the growers in the colonies to consider is, not whether frozen meat can, or should be sold at the prices of English meat, but if it is not better in their interest to promote a large and steadyoutlet ,at reasonable and regular -prices as supplies are available. . Refusing to sell and holding for problematical high prices of an uncertain nature when supplies are large is incurring the risk of disorganised trade, and forces the market into other channels. GOOD PRICES. "Prices for the season'have been good, ' biit not too high to check consumption. No doubt the year of 1909 was prominent in mind to check the various attempts to force the market up to speculative limits. Shipments came to hand with fair regularity and stocks have at no time been excessive. The bulk of the meat ■ , also landed in good condition. ■ "The new insurance clauses have worked to the benefit of the trade, and have resulted in considerable reductions in insurance premiums. Exaggerated repprts on the handling of meat have been circulated without proper knowledge of tho circumstances'and conditions of the trade. The_ fact, that the bulk, of the meat that is sent to up-town stores'by barges, is the owner's own property, should be sufficient guarantee that it is well looked after. • Various suggestions have been sent to the colonies from time to time as to necessary improvements which should be effected .on and before loading, and it is hoped that these , will be put into operation, such as reducing the number of marks on bills of lading by including only tho owner's number, and not the gra.de number for lots under 100; keeping "owner's" lots together; and that each freezing company adopt a . prominent stripo on their bags. If these suggestions, are adopted the sorting in the hold .will .lie greatly reduced. The ,iiew canvas: artd' chain elevators which are. being 'introduced will do away with ox- ■ cfessive handling; and if the fixings are placed permanently in the bottom "of : the : hold, it will be possible to discharge the meat in the reverse order of loading and without sorting. "Distribution is being stea'dily ex- ■ tended, only 'by shipments'direct "to the various -ports, other than- London, being largely,.increased, but buyers for London., and •provincial, trade recognise the advantages of diaving their supplies direct from the shin to store. It is re- ' cognised. that reliable grading reduces the need, of using, the open market.with its extra charges -and consequent deterioration of the meat:. American Plato houses are turning out their meat much better slaughtered and dressed than NewZealand and Australia. . i THE SEASON IN REVIEW. .: ; "The new season started with the frozen ; ;ijieat.trade in a hopeless condition, the ■ wholesale trade- had suffered greatly from 1 ;the. collapse of .the market and ruinously jlow' prices. ' Retailers, however, had done : well owing to-the wide margin of profit, :the. purchase of cheap stock, and altogether a very.-large trade has been done. Tile largo stock of stale meat was being quickly "exhausted. - There-were- not the largo supplies of Home and foreign meat that som'e felired. "OCTOBER.-—The shipments during October were:— • Frozen Chilled Mutton. Lamb. Beef. Beef.' Now Zealand 101,000 40,000 4.000 — Australia ..... 139,500 (.'8,500 23,000 — S. America . 125,750 22,000 123,500 02,500 360,250 169,500 150,500 92,500 "NOVEMBER. —The ,market was firm for all meat in good condition. Lambs cohsiskd mostly''of old stock. Lamb — Canterbury, 3id. to 43d.;'North Island, •33d. to 4}d.' ; Australian, none; Plate, none. Mutton— Canterbury, dd.' to 4jd..; North Island, 3jd. to' 4Jd.; Australian,' ■ 3 7-16 d!; Plate, Sid. to 33d. Beef.-Frozen fores, 2 13-lGd. to 31d.; hinds, 3Jd. to 3Jd. "DECEMBER .—Large quantities of game, poultry, and rabbits were marketed, and commanded the interest of the trade and markets. New Zealand mutton arrived in considerable quantities, and the prices quoted were:—Mutton—Canterbury, 4d.,t0 4Jd.; N)rth Island, 3|d. to 33d.; Australian, 3Jd. to 3 5-lGd.; and River Plate, '3 5-lCd. to 3Jd. Beef.— /Frozen fores, 2sd. to 23d.; hinds, 3d. to 3'd. . JANUARY. —With the-New Year thero was" .tin improved condition of trade. Home and foreign! meat was coming on tho market in . reduced rmantities with every prospect, of rapid exhaustion as far as,the supply of Continental meat. T'lio stock of frozen meat was practically exhausted. •- The large shipments from Australia went into consumption soon after arrival at improved prices:—Lambs, 3fd. to 3|d.; and mutton, 3Jd. - prices were mainly governed by the prices at which Plates were sold, they being maintained at 3jd. for lambs, and 31d.- for mutton. New Zealand meat was practically off tho markets, but tho price of beef stood:—Fores, 2|d. to 2id.; .hinds, 2|d. to 3Jd. 1 "FEBEUARY.—Lambs.—North Island arrived, sold at-43d. to 5!d.; Australian, 3}di ;to 4Jd. Mutton.—North Island, 3jd. to 3Jd.; Australian, 3Jd. to '3sd.; and River Plate, 3 7-lGd. to 3UI. Beef.— Fores, 23d. to 3Jd.; hinds, 3d" to 33d. ;; • "MARCH.—A further improvement in trade. Lambs.—Canterbury arrived, sold' at 5.W1. to 5|(1.; North Island, 5Jd. in 5'3d.; Australian for 43-d.- to 4|d.; and Plate, 4jd. to -ijd. Mutton.—Canterbury, 4§d.; North Island, .'l£d. to 4^d.; Australian, 3 5-lGd. to 33d.; and Plate,' 3Jd. to 4d. - Beef. —3 1-lGd. to for fores; hinds, 3Jd. to 4Jd„ with supplies going' out equal to arrivals. "APRlL.—Supplies larger, trade- slower. Lambs.—Canterbury, Bid. to sgd.; North Island, 4 13-lGd.'to s§d.; Australian, -ljjd.' to ad.j and Plate, 4|d. t0.43d. Mutton.— ,Canterbury, til. to 4Jd.; North Island, 3Jd. to JUL; Australian, 3-ld. to 3jd.; and Plate, 33d. to 4 1-lGd. Be'ef.-Fores, 3.WL to 33d.; hinds, 4d. to 4{d. "MAY. —Healthy trade, prices steady, good demand, no accumulation of stock's. Lambs.—Canterbury, 5Jd. to 5Jd.; North, Island, sd. to 5Jd.; Australian, lid. to 4;d.; and Plate, 4}d. Mutton.—Canterbury, 3Jd. to 35d.; North Island, 3.td. to 3Jd.; Australian, 3\d. to '.ij'd.; Plate". 3Jd. lo 3|d. Beef.—Market excited. Fores, 33d. to -IJd.; hinds, 4Jd. to sd. / "JUNE.—further improvement in trade, stocks light. Lambs.—Canterbury, sjd. to sjd.; North Island, 5Jd. to sjd.; Australian, 43d. to aid.; and Plate, sd. Mutton.—Canterbury, 3jd. to -Id.; North Island, 31(1. to 3t[d.; Australian, 3!d. to 3Jd.; and. Plate, 3Jd. to 3Jd. Beef—After being up to 4Jd. for fores, and 5Jd. for hinds, closed-at 3Jd. 'to 3Jd. for fores, and 14d. to 4Jd. for hinds.

"JULY.—Very heavy arrivals. Market uncertain, somo weak holder?. Lamb.— Canterbury, 4!d. to 5 ' 7-llid.; North Island, 4|d. to s}d.; Australian,'Sid. to J|d.;. Plate, none. Mutton.—Canterbury, aid. to 3Jd.; North Island, 33d. to 3fd.; Australian, 23d. to 3Jd.; Plate,' 3d. to IJJd. lieef.—Sharp decline; fores, "Jjjd. to 2*d.; hind;, 3d. to 3jd. "AUGUST.—Market remained unchanged ; good trade in provinces and seaside provenied prices falling. Lamb.— Canterbury, djd. to 5d.; North Island, 4 11-llid. to 4£d.; Australian, 3J(I. to. 4jd.; Plate, none. Mutton.—Canterbury,- 3|d.. to 3;d.; North Island, 3ijd. to 3|d.; Australian, 2Jd. to 3d.; Plate, 31d. to 3Jd. Beef .—Fores, 25(1. to 2]d.; "hinds, 3d. to 33d. "SEPTEMBER.—Market recovered, improved demand, stocks well .in . hand. Lamb: Canterbury, 4 7-8(1. to 5!d.; North Island, IJd. to D 5-16d\; Australian sold out. Mutton: Canterbury, 3 15-16' d. to lid.; North'lsland, 33d. to 4 l-Bd.; Australian, 2 7-Bd. to 3id.; Plate, 3 l-Bd. to, 33(1. 13cef: Very dull. Pores, 2 .3-8(1.. to 23d.; hinds, 3d. to 3 7-lGd: " OCTOBER.—Further improvement; stocks very small.- Lambs: Canterbury, 5Jd. to 5 7-Bd.; North Island, 5 5-lGd. to 53d. Mutton: Canterbury,' 4Jd. to 4 3-Bd.; North Island, -Id. to 4 l-Bd.; Australian, 3 5-lGd. to 31d.; and Plate, 3 3-8(1. to 33d. Beef: Pores, 2Jd. to 2Jd.; hinds, 3d. to 3Jd. "NOVEMBER.—Stocks of frozen mutton and la'rub are very light. Australian lamb, as should be expected, has been off the market for some time, as has also the River Plate. New Zealand lambs are in very limited quantities, and Canterbury is'virtually exhausted. Tho retailer of , frozen lamb has been attempting to hold his trade together by picking up any odd parcel at high prices until new supplies come to hand. To change on to the fresh lamb oven at a lower price would disorganise his trade. Meanwhile ire see frozen lomb higher in price than somo fresh killed. With some slightly better regulation of shipments the drop in July and August .'might have" been avoided. These, two months must always be tlio worst time for the heavy arrivals to reach .here, owing to tho departure of so many from London at this time of the year. THE INCIDENT OF THE YEAR. "The incident of the year has been tjie vagaries of the beef trade, chilled beei fores wiling os low as 2jd., hinds 3Jd. to fores s}d. and hinds 6jd.; frozen beef fores 2£d., hinds 3d., to fores 4 3-Bd. and hinds 5Jd. Many explanations have been tendered to account for this, but i\o explanation so far is satisfactory. A possiblo explanation is that the trade was somewhat disorganised by the American 1 Plate firms changing from hard frozen to chilled before the tvado was ready for tho ■ altered supplies. It is hoped .that when the regular : weekly service from South 1 America is established the beef '-market will assume a steady level of prices. Until this takes place the value of colonial frozen beef will remain uncertain. "With stocks of frozen mutton . and lamb in the smallest compass the.pro- ■ spects for good trade for the new season 1911 is most encouraging. There are considerable quantities of Home-grown stock in a fat and forward condition. Food is abundant and tho turnip crops are large. The high price of frozen meat may to throw the trade on to the Home killed, although there aro 110 large supplies of Continental meat in sight. Colonial growers must be prepared to sell at reasonable prices to retain th->ir trade, and shipments should come along early and regularly. To keep back stock until they growbeyond tho prime grades that the trado requires, or to accumulate stocks . here in the sight of the buyers is to go 'against the principles of business prudence. The prospects remain good if used wisely, business can only be retained by selling, and keeping the trade on to our supplies', which is too large to bo carried on in a haphazard manner. SOME STATISTICS. "The following tables givo the total shipments from the various countries of frozen and chilled meat; — Carcasses. Frozen riiutton ;»• Frozen lamb '•••••• _5,.00,4.0 Quarters. Frozen beef HKi Chilled beef 1,4,8,400 Australia has shipped 1,401,800 more carcasses' mutton'; New Zealand, 89,000 more; Plate, etc., 151,087 less, making a net increase of 1,319,113 carcasses, of; mutton. . "Australia has shipped 1S9;500 more carcasses lamb; New Zealand, 267,000 more; and Plate, 97,825 less,_ thus making a net "increase in lamb of-358,725 lambs'.- « VAustralia has shipped'242,Bso quarters mere beef > New Zeiifind, 49,100 Cjusrters more; and Plate, 58,700 less, thus making a net increase of 233,250 quarters of beef. ?'The River Plate, etc., has shipped 456,400 quarters, more of chilled beef.' Messrs. Anderson add particulars ■ of meat received in the London Central Markets for 12 months ending October 31,1910 (with a comparison for the 12 months ending October 31, 1909), from'which it will be gathered that the large increase in shipments has been distributed outside the" market:—. ' '

- - ■ t -l ■ : | 2 Source of supply 1910. 1909, m Jj classification. Tons. Tons. Tons. Tons.

■ UnitedKingdom 95,572 53,301 2,271 — . Continent and . other foreign.... 55,183 55,920 — 1,737 Canada and U.S. . America, "English killed" 31,964 45,603 - 13,639 U.S:A. "chilled and frozen" ... 15,697 29.CS5 — 13,388 S. America, "chill- . cd and frozen" 114,151 89,847 24.3C4 - Australia and New Zealand ... 105,803 102,359 3,444 . - Totals 418,370 417,115 30,019 28,764