BANK OF N.Z.

Evening Post, Volume XCVI, Issue 137, 6 December 1918, Page 2

BANK OF N.Z.

HALF-YEARLY MEETING THE EXPORTS AND SHIPPING The half-yearly" meeting of the Bank of New Zealand was held to-day," Mr. Harold BeiMicharhp,, Chairman of Directors, presiding. Reference was made to the half-yearly dividend (payable, tomorrow), and to the re-election as director of Mr. William Watson, who retires by rotation on 31st' March, but whose • redaction /is unopposed. Of Mr. Watson the Chairman remarked . that that i gentleman had been connected with the bank for over twenty-four years, lot twenty of which he.had hadl the honour of representing the shareholders continuously, and during that period had rendered: eminent services to' the bank.

The past winter, the Chairman continued, was an exceptionally severe one, and the spring. months were' cold and wet. Fanning operations, in consequence, were somewhat backward! 'Lambing generally had suffered, and it was feared that in some of tlie higli country in the South Island a series of late snowfalls had caused losses of stock. 'Die dairying industry had also been adversely affected! Better weather, however, was now. being experienced, and having regard to the high prices ruling for staple products, the season gave promise of being on^fhe wholfra good one. The Chairman did not antic^ate any immediate variation in the prosperity that the Dominion had enjoyed during the four years of war. There would probably be for some time a pressing demand for New Zealand.foexfctuffs and raw materials. It was practically assured that the Imperial authorities would take the output of wool for a. period of twelve months from June following the declaration of peace; and arrangements had now been concluded with them to take the output of cheese and butter for this and the following seasons, at satisfactory prices. This placed the woo] and dairying industries upon an.assured footing for v a considerable period. As to meat, however, which bulked so largely in the exports,, the present term of the, commandeer was,for only three, months after termination of the war. Ijf this be not altered, Jt was conceivable that in March or April next the refriger- ' ated stores would be full to the doors, and transportation and realisation'of the meat in- store would probably occupy not less than.eighteen months. —It is, I consider" (the Chairman contmuedV "highly beneficial to New Zealand that.these forward contracts have been made with the Imperial Government in regard to wool and dairy producejand in itfy opinion it would be to the.advantage of,'the Dominion if the principle, were ,-alao extended to meat; fhe war prosperity, of the Dominion has been largely -due to, the operations ,in produce by the Imperial Government ; and until, at any rate, normal- business conditions prevail and the-shipping position improves considerably, the advantages of • a continuance of these operations are to my .mind obvious. There is now in cold-store of frozen meat alone a. quantity-equal to about. 4£ million 601b. freight x carcases j there are also considerable quantities of cheese and .butter and » large amount of wool. In addition, there are heavy stocks of tallow,, pelts, hemp, and other products, which, have not been commandeered by the; Imperial Government; Th'o present season, for reasons I'have already given, is !a backward one, •so that not much of the current year's,'yield has yet got into, store.;: It;must: be bb-rnej.in mind that all the Imperially-requisitioned produce will have; to be lifted iii priority ito purchases on private account; and- as the British commandeer !of shipping will probably not be relaxed for' some considerable time, it is clear that' private purchasers would in that case have to take heavy risks' It ijs easy to urideiv stand that.if the bulk" of next season's meat has to be held in the refrigerated stores' pending a market, being found for it, a difficult, arid in some cases, unsatisfactory, situation, would arise! „ , WANT OF SHIPS.

'The scarcity of tonnage is likely' to continue—indeed is certain to continue— for several months, notwithstanding the fact that a fair amount of shipping, will be x'eleased through .there being 'no longer 'any necessity to transport munitions and men. It may not be out of place to remind fanners and others who have accused tho shipowners of exploiting the public, and, so profiteering, that all ships oh 'the British Register were requisitioned during the early part of 1917,' at Blue Book rates, these rates being vone-third of- those then pbtainable^ in the open market. The difference ' between the Blue Book rates and those now current benefits, not the ship-owners, but the Imperial Government. So long as the British authorities continue their control of shipping,, so long will.it be difficult to know just' what number of vessels will be available for our produce trade. ', » "It is moreover'of the utmost importance >to us that "the income from.-the sale of produce should be.as Jarge during the! next two years as it is this year, to enable us to'mfeet our, obligations in tho meantime whilst wo are making provisioii for. the' readjustment of .our affairs to meet tho changed conditions. Had we been, able to foretell a year ago just exactly' when' the war would end we could. have made some preparation to meet the. situation; but the end has conic suddenly,, arid the.postwar problems have yet to be grappled with." . Mr. William Watson, following, alluded to the great changes in the business of the bank brought about by the Government commandeer .and purchase of tho Dominion's principal .products, the lack of shipping, the absence of so many men, and the necessary taxation and. removal of money for war expenses. These had undoubtedly affected banking profits and that expansion , and growth'of ordinary business which otherwise would have taken place. On the other hand the bank's funds had been kept weE and safely employed during the period of the war, and everyone would admit that there had been no war exploitation on its part.. . " - ..'».• Mr. '6. M. Kebbell made reference to the question.of the accounts of the bank. ; • The Chairman said that the meeting not competent to deal with such a, -'question. The meeting was only called for the. election of a director and the, declaration of a dividend., Mr. Kebbell added that three or four years ago the bank shareholders were not a. happy family. He again raised the question of Btock and the remarks made by tha^Chairman at the last meeting. . ' . '.;.-,■ The Chairman': I'm veryi sorry, gentlemen, I declare the meeting closed. Among'•-thoge present at the meeting were Messrs. W. Watson, JY. H. 1 Upton, R. W. Kane, W. Reeis, and D. J; Nathan (directors); W. Callender (gen-' eral manager), and B. M. Litchfield (chief auditor).; r ' ■ • ■■ •■'*-,