LOW BEEF PRICES

Dominion, Volume 33, Issue 105, 27 January 1940, Page 16

LOW BEEF PRICES

Contrast With Australian

V alues WHAT IS THE REASON? (By H-A.S.) During one week at the Australian fat stock centre of Newmarket, near Melbourne, over 4000 head of cattle were sold. These realized from 34/6 to 40/6 a 1001 b. of dressed carcase weight. The New Zealand export schedule for the best beef we grow is 32/0. i.e.. 2/- below the lowest return at a typical Australian centre and at a saie where the report clearly states “Exporters operated actively.' Under the New Zealand ••commandeer” wool is bettered by 30 per cent, upon last season’s prices, lamb by 13 per cent., wether mutton by 15 per cent, and ewe mutton by 50 per cent. Yet beef is a full 10 per cent, worse Cinderella of our fat stock. As compared with Australia, our beef is all as good, and Britain is paying a fair price for it. Though Britain is paying as much for New Zealand beef as for Australian beef it will be seen that the farmer is receiving considerably less in New Zealand than he is in Australia. It is strange that this matter has not been taken up by the Meat Board, for the encouragement of cattle raising is a vital thing as far as hill country is concerned. It will be a great blunder if the disparity in price between mutton and beef leads to the accentuation of the worst feature ot North Island farming—overstocking with sheep.

Nor only are New Zealand producers getting less than their Australian competitors bur. they are ’olll’ mi past seasons’ prices, unlike any of our other primary producers. The very 32/6 of th- current schedule is fictitious; in the sense that this is an at-port-works one. It really represents about 31/- to the farmer, compared with 35/- and 34/- received for chillers in the last two seasons. That New Zealand exporters can pay only 32/6 a 1001 b. for our best beef, whilst in Australia 34/6 is paid, on the same basis, for beef, no better, if as good. ■ indicates that something is seriously out of adjustment. As both the British Government's “commandeer" price for beef and out own freezing charges appear in order, ir would seem that rhe trouble must lie with the return by-products. The situation is one demanding urgent, temedial action. The beef-killing season reaches its height during the coming three months.