The Daily Telegraph THURSDAY, SEPTEMBER 14, 1882.

Daily Telegraph (Napier), Issue 3491, 14 September 1882, Page 2

The Daily Telegraph THURSDAY, SEPTEMBER 14, 1882.

The sheepfarmers of Hawke's Bay are invited to attend a meeting to be held at the Criterion Hotel on Monday next, at II a.m., for tbe purpose of adopting measures for tbe formation of a Sheepfarmers Company, for the export of meat, frozen, and preserved. We do not know why this invitation has been limited to sheepfarmers, or why the proposed association should be called a " Sheepfarmers Company." With these questions, perhaps, we have no right to interfere, and at the meeting it may be resolved to place the company, should it be formed, on a broader basis than that now proposed. But, as the objects of the association are such as to largely interest the general public, we may be permitted to offer a few suggestions for the consideration of the gentlemen who may attend the meeting. In the first place it will be eeen by the wording of the invitation that the objects of the company are to be the " export of meat, frozen and preserved." We would aek, do those objects come properly within the legitimate pursuits of sheepfarmers? We think not. It is of course nothing to us, or to anybody else for that matter, in what way sheepfarmers invest their spare capital. But the invitation having been addressed so pointedly to sheepfarmers, the question naturally arises what business have these objects to do with them? We cannot help thinking that they should be the very last of all to join in such undertakincs. Their business it is to supply the raw material, to watch, the markets, and to sell to the highest bidder. Would they not, on the con-

trary, by joining an association of the kind proposed, be almost bound to supply the raw material at a price that it would pay tbe company to give, and not that which they might get in the open market ? Large as may be the power of supply in Hawke's Bay, there is, nevertheless, a limit to the number of cattle and sheep that can be reared and fattened, and the increased demand consequent on the operations of the company is certain to enhance the value ot both beef and mutton. Would the shareholders then be morally debarred from taking advantage of that demand through fear of lowering the profits of the company ? If the company were in the hands of capitalists acting as middlemen between the producer and the consumer mutual advantages would accrue to all concerned ; but we do not understand why the producer, acting in a double capacity, should run the risk that properly falls on the middleman. If it be said that tbe proposed company will run little or no risk, as the profits are so certain, then it follows that the sheepfaruier must dispose of bis stock at such a value as must insure that profit. That is to say, for the sake of securing ten, fifteen, or twenty per cent, on his one or two thousand pounds investment in the company, he must sell his sheep at, probably, no higher price, or at even a lower price, than that ruling now. Then come tbe questions, where does his profit come in ; where are the special advantages to be derived from joining this Sheepfarmers Company ? We may be wrong, but, looking at the prospectus, we should say that the sheepfarmers should leave it to those who understand the business, and are prepared to take the risk, to carry out the objects of the company. We may be permitted to point out also that it is not impossible a cheaper process of refrigeration may be discoved than that of Bell and Coleman's, which is now employed. For instance, it is reported that Mr John Chambers, of Te Mata, has patented a process that effect 3 a saving of at least one-fifth—twenty per cent.—on the BellColeman system. Somebody may yet improve on Mr Chambers' invention. A good deal of experience has already been gained by the failure of others ; is it not a little too much to expect from the patriotiem of the sheepfarmers of Hawke's Bay that they should offer the resultb of their enterprise for others to profit by ? We think that in this matter of the frozen meat export trade Hawke's Bay can afford to wait. If the New Zealand Shipping Company has a spare vessel fitted with the necessary apparatus to load at this port no doubt a full cargo could be found for her, and the shippers, at small cost comparatively, could make arrangements for that one shipment. We have been told that, while the ship Dunedin was loading at Port Chalmers, a part of her machinery broke down, and some 700 frozen carcases bad to be thawed and sold to local customers. A similar accident might occur here, and, in tbe absence of a large population, a heavy loss might be incurred that would sensibly depreciate the profits of the entire venture, cool the ardour of all concerned, and, perhaps, nip in the bud a promising industr},. We wish, as everybody must, the proposed " Meat Export Company " every success, and in doing e>o we mprely urge caution that it may attain to it.