THE PIG INDUSTRY

Hawera Star, Volume LII, 19 November 1932, Page 7

THE PIG INDUSTRY

ORGANISATION METHODS OPPORTUNITY FOR FARMERS C 0-0 P ER All YIC lI AN DL ING. I Throughout New Zealand, and particularly in the North Island, a great deal of interest is being taken in the establishment of the pig industry 011 a sound basis (write* “Nitres” in the ‘'.New Zealand Herald”). We have luid minor exports of pigs for some years and we have hail spasmodic grading, but the fact remains that in a great many cases New Zealand farmers have failed to give the English market the type of pig it desires. Once you start talking of the type of pig wanted in England you are liable to become involved in a red-liot discussion of breeds, but this should not be so. for it has been jo roved at our research institutions that within each of the breeds of pigs represented in New Zealand there are desirable types capable of supplying the pig's needed by the Loudon market.

The pig industry, being very largely an offshoot of the dairy industry, lends itself to the co-operative handling of pigs by the producers themselves and it is along these lines that development is occurring in a number of districts at the present time. Attempts have been made in years gone by on somewhat similar lines, and it must be confessed that these failed solely because of the lack of support accorded the co-operative efforts by the farmers themselves.

HANDLING AND MARKETING. Subsidiary, primary industries have been encouraged 111 the past by Government guarantees and Subsidies, and 111 some instances, such as the fi.aiit industry, have been, enabled to get firmly on their feet by such means. There is a good case to be made out tor similar assistance for the pig industry, but in view of the recentlypublished report of the Economy Commission, and the undoubted tendency to discontinue all forms of Government subsidy, such an idea had to be discarded and farmers are forced to rely entirely on their own efforts. The handling and marketing of pigs on co-operative lines presents few difficulties providing farmers are prepared to support loyally any co-opera-tive concern which is commenced in a district. The industry is composed principally of dairy farmers who keep pigs as a sideline, and it cannot therefore afford expensive competition for which the producer pays in the long run. In the Waikato there is already a smooth-ly-working co-operative organisation, and the attempt is now being made to extend this to other districts such as Poverty Bay and the Manawatu. Many farmers, remembering the joint and several guarantees of past co-operative concerns and fearing that similar disasters may again overtake these newly-formed co-operatives, are chary of assuming any responsibility. Their fears are not well founded, however. for full advantage has been taken from the lessons of the past aiul tbe shareholding basis of the new pig marketing concerns is practically identical in operation to the supply agreements of co-operative dairy companies, where a farmer has to take up shares in accordance with the quantity of butter-fat lie is supplying and where he pays for his shares out of tlie proceeds of the butter-fat over a number of seasons.

THE FINANCIAL SIDE. In the co-operative pig marketing associations the shareholding basis is oil these lines, and farmers will vary their number of shares according to the .pigs supplied each season. The system of yearly pools, with advance payments as in the case of butter-fat, and a. final “bonus” payment at the end of the season, is the one decided upon, -and the aim of the co-operative organisation is to do away as far aspossible with all Who are not essential for the actual handling and marketing. thus retaining for the farmer the full value of his .pigs. ■' Before such a scheme can be extended into a new district a fair amount of organising work is necessary, and supply agreements- from a large number of farmers are needed. There is little reason to doubt that with loyal support this movement will grow into a sound system on lines al-i most identical with co-operative dairy-1 'iic. There is always a tendency fori farmers to sell their pigs if the immediate price offered seems higher than "ill be paid out over a pool, but the fact remains that if the co-operative oig marketing is successful handling posts will be so greatly reduced that increased pay-outs will be possible. The present development in connection with the handling of the pi(g industry gives the opportunity for avoiding the mistakes made in the dairy industry, and full advantage should be taken of it. as- it represents the type of rationalisation that is so necessary 1 in many New Zealand industries to-! cla v. ‘