DECLINE IN MEAT KILLINGS

Dominion, Volume 37, Issue 98, 21 January 1944, Page 4

DECLINE IN MEAT KILLINGS

Effect Of Holding Stock

SEASON’S PROSPECTS

“We have another difficult tiud strenuous jear ahead of us, and it will be no news to you that the current season has had a very poor start.” said Mr. Staonach Paterson, chairman of directors, at the annual meeting of the Gear Meat Company, Ltd., held in Wellington yesterday. “New Zealand killing for export of sheep and lambs from the beginning of the season to December 31, 1943, was down by 838,465 head, of which 655,427 head 1 represent reduced killing in North Island works.” “Your company suffered its full share of this reduced killing and is suffering its full share of the reduced killings in the current month,” he proceeded. “This reduced killing is due partly to the manpower situation and to the rest period of five days decreed for the industry by the Government. The reduction is partly due also to the response of the growers to the Government’s request for a heavier average weight of carcase in the current Season. The Government took a very considerable risk in asking growers to hold back stock for heavier weights. Alt those experts in the industry have a very wholesome fear of the grave risks attaching to-the holding of stock beyond the point at which it is normally ready for killing. “The chief cause of the reduction of killing is undoubtedly, however, the unfavourable weather conditions of the past six mouths. At present there is a very grave risk that lambs in particular, which could have been killed at normal weights in December, will, because of peak pressure at the works plus shortage of manpower, not be . killed till February when, if present weather conditions continue, many of them may not reach export or even domestic standards and may have to be sold as stores. This pressure peak in January and February may further react on the killing of ewes and wethers. “I can only add that the seriousness of the position has been, and is being constantly represented to the responsible authorities, and that no effort is being spared by the industry to cope with the serious position that faces us in the next two months. I hope that an improvement in the manpower position and some assistance from weather conditions will enable us to get through with more success than we at present have the right to expect confidently. “We can feel' with confidence that the end of the war in Europe 'at least is in sight. When the end of the war actually comes it will raise many and great problems for the meat freezing industry and for this company. ■ Throughout the war we have been commissioned processors of stock for the growers, for the New Zealand and Imperial Governments and our Allies in arms. After the war we expect again to be merchant traders, buyers of livestock and sellers of the products of our factory. “We have as yet no inkling of the Government’s intentions in regard to control at this end, and we have very little reliable information as to postwar marketing conditions in the United Kingdom. The trade in the United Kingdom is already planning post-war distribution, but all such planning is subject to the release of control by the Imperial Government. “We are planning in our small way for a return to competitive buying and selling both at this end and at the other end, but no great progress can be made in the finalization of our plans till we have some indication from the Government of its post-war policy in regard to control of the industry. These matters are having the constant thought and consideration of your board and the management of your company and it will not be our fault if our plans are not ready to put into operation when the changeover comes along.”