The Star.

Hawera & Normanby Star, Volume IX, Issue 1752, 12 October 1887, Page 2

The Star.

WEDNESDAY, OCTOBER 12, 1887.

MEAT TINNING PROPOSALS. ♦■ The meeting held on Saturday was a decided success. Mr. Old ham commended himself to most of the settlers by his shrewd replies to questions, his firmuess in refusing to be bound more clos:ly than he thought desirable, but also by his willingness to meet tbe views of settlers, who, while they readily accepted the principle of the propos/ils made, asked for two concessions The first was that the radius of the circle within which works should be erected should be 18 instead of 45 miles. The second condition was that a sufficient quantity of meat should be worked off to relieve the prospective glut in the local market, and the output be sufficient to affect supplies of fat stock throughout the whole area of the district subscribing. These concessions were granted by Mr. Oldham, but in a careful way. Stratford and Patea are to be the boundaries of the area, within which the works shall be erected. The number of stock to be slaughtered was fixed at 900 to 1200 sheep — equal to 90 to 120 head of horned cattle— per week between January and June, and 48 head of cattle or 480 sheep per week between June and December 30th. There ought to be no difficulty in raising the £1500 of bonus. The first and main consideration, so far as Hawera is concerned, is — Will the large landed proprietors subscribe towards the bonus in proportion to the number of their acres ? Assuming that a rate of 4d per acre would raise the required sum, after allowing that one-half the settlers decline to part with any cash, some five landowners, none of whom were at the meeting, living within five miles of Hawera, would be called on to subscribe 4d per acre on a joint area of about 9000 acres. This would represent a total of .£l5O, or one-tenth of the whole sum required. It is a business transaction, and they are of course quite free either to part with the money or to refuse to do so. It would require on an average a £30 subscription from each. It is considered doubtful if such large sums would be given by those pro-perty-holders. It is not a question of the liberality of any of these, large farmers. It too often happens that when times are bad, the man with the most land has the least cash. The only object in touching on the subject is to show that if subscriptions to be collected were to be based on an acreage rate, large holders would be called on to pay large sums. Two or threp years ago a subscription list was circulated for a like object, when £1800 was raised ; but no one could then be tempted to erect works by the offer of £1800 of a bonus. Now £1500 only is asked. We have no hesitation in saying that the proposal to buy beef and mutton at market rates is the only sound basis to go on. One of the leading settlers remarked in our hearing, " I only wish that in a few months after starting, the works had to shut up. That would imply that fat stock were so dear, the works could no longer tin down at a profit. The object to be gained by the graziers would then have been accomplished." Tbe argument was doubtless sound, but it also shows the risk to which a capitalist starting such a business is exposed. Closely connected with this branch of the subject is the question raised by many settlers when asked to subscribe to the bonus. They ask — If this business is likely to prove a profitable one, why should we find any part of the capital to start it? It is not known what reasons Mr. Oldham might assign if this question were put to him. But one answer is very obvious. The business is a risky one. Profits by meat-tinning alone may be made, but in order to do so prices for fat stock will have to be much io^er than they now are. In addition to this there is always a possibility of other rivaL companies cutting in to crush a rival infant industry, as was attempted by Eng-. lish firms when soap and candle factories were first started in New Zealand. Suppose, for instance, Auckland or Wellington tinnint: companies, or a combination of both, agreed that a Hawera tinning works was likely to cut off a valuable source of meat supply from them, and that it would pay them to crush it. All that they need do would be to send buyers of fat stock round the district about a month before the local works started, with orders to buy up every hoof of fat stock in the district, and to make arrangements for a three months' supply. . Meantime they would neglect their ordinary local markets and use Hawera beef and mutton instead. Such action would render Mr. Oldham's position a difficult one. Graziers would be reaping a direct benefit, because such a demand would be certain to foice prices up2s6dorssperloolbs. Mr. Oldham alone would find himself "jammed." The £1500 of bonus, if subscribed, would, however, enable the local works to fight against any such attempt to strangle a local industry in its infancy, and would put the owner in a position to buy, if «ecessary, at prices which would barely clear expenses. The £1500 bonus is tbua an asburance fund for the local works," subscribed by those who, in the event of cut-throat competition, stand to make a profit at ihe direct expense and loss of the man by whose j action Buch profit was brought about.