MEAT AGREEMENT

Northern Advocate, 18 July 1935, Page 8

MEAT AGREEMENT

MORE GOOD NEWS N.Z. EXPORTS TO BRITAIN BEEF AND VEAL SUPPLIES. COVERING NEXT HALF-YEAR. CHILLED QUOTA SATISFACTORY. [Per Press Association— Covyright.l WELLINGTON, This Day. Information of the meat agreement has been received by the acting Prime Minister, Sir Alfred Ransom, from the Minister of Finance, Mr Coates, who is at present in London. Sir Alfred said that the fact that there would be no levy on mutton and lamb would mean a saving of £BOO,OOO sterling, or £1,000,000 in New Zealand currency. . Another favourable aspect of the agreement was that short-term agreements were now eliminated. “It is very gratifying to note,” said Sir Alfred, “that a beef agreement has been fixed which enables New Zealand to supply for the July-December, 1935 half-year, 548,000 cwt of beef and veal. This is the amount which was shipped in the same period'of 1934, and represents an increase over 1932. New Zealand is in the early stages of chilled beef development, hence, although the amount of chilled beef (66,000 cwt) allowed for seems relatively small, it is very satisfactory. “Details of the meat agreement so far to hand show that the Ottawa principle has been preserved and that New Zealand has secured since 1932 an expanding share of the United Kingdom market. It will be necessary to restrict the export of certain classes and cuts of beef and veal, mainly' because the beef supplies have expanded faster than the market can absorb them to cover costs. This is, of course, the very reason for regulated marketing by the United Kingdom, but we should realise that our exports of beef are only about one-seventh of our exports of mutton and lamb.

“It will be seen, therefore, that the main agreement for mutton and lamb is more than satisfactory. The year ending June, 1932—the Ottawa year—was our peak year for exports of mutton and lamb to the United Kingdom. In 1934, 3,554,000 cwt of mutton and lamb reached the British market from Jew Zealand. In 1935 the total amount agreed upon is an increase on 1934 to £3,666,000 cwt, while the agreement for 1936 allows for a 10 per cent increase on the 1934 arrivals. If we fill the maximum quantity arranged (3,950,000 cwt) it will be another record year for New Zealand in the export \of mutton and lamb.”

The agreement in. respect of pork, said Sir Alfred, was still under consideration. • GREATER CONFIDENCE. MANUFACTURERS PLEASED. IFer Press Association. — Copyright. s DUNEDIN, This Day. Interviewed regarding the meat agreement, the Dominion President of the Manufacturers’ Federation, Mr James Hogg, stated that the results regarding mutton and lamb would be received with great satisfaction in all .sections of the community. “Manufacturers appreciate the great benefit which the agreement will bring to primary producers,” he said. “The fear of levies or the restriction of ex-ports-has been very definite and real, and the removal of that fear will undoubtedly lead to a feeling of greater confidence throughout New Zealand, j “It is satisfactory to presume that this arrangement has been made with Great Britain without any cause for further concessions from the Dominion which would be prejudicial to us, or, in any case, offset the advantages secured. The results achieved reflect the greatest credit on the efforts of the delegation, and fully justify the sending of Mr Coates along with the Prime Minister to London.” MR COATES DELAYED. FINALISING THE DRAFT. .PAST PROCEDURE CONTINUES. (Received 1 p.m.) ■ . ' LONDON, July 17. ' The necessity of finalising the draft meat agreement is expected to delay Mr'J. G. Coates, who had to cancel his berth in the Berengaria on Thursday. He will leave on July 10, catching up with the boat for New Zealand by hurrying across America. The draft includes- machinery whereby past practices will continue until the Empire Council decides on alteration. The British representatives are desirous of ensuring adequate supplies of lower grades for poorer purchasers, while suppliers, notably Africa and JSouth America, prefer the excision of cheaper parts of carcases. Another objective will be a more j uniform quality and weight, and in this connection it is hoped Australia will improve her regulations. FEEDING THE NAVY NEW ZEALAND CORNED BEEF WHOLE ANNUAL CONTRACT j TOTALLING JVTILLION POUNDS j The whole of the annual contract i for the supply of corned beef to the j British Navy has been received for the I first time by the Westfield Freezing | Company, Ltd. | ' Previously supplies were drawn ■ from .several countries, with Westfield | supplying the bulk in the past two j years. This year, however, the total ■ amount required by the Navy. | amounting to over 1,000,000 lbs., will j be supplied from the Westfield works, j During the past few weeks the com- | pany has been busy filling the con- j xract, which means extra employment; at the works and in the Lin and box- j making industries. J The meat is shipped to the naval j victualling depot at Deptford, Eng- 1 land, from which point it is dis- j Iributed to the various naval stations j throughout the world.

LIVESTOCK MARKET

FARMERS ENCOURAGED. XSpecial to ’'Northern Advocate. "l AUCKLAND, This Day. An outstanding event affecting the livestock market has been the announcement of the policy agreed to by Great Britain in regard to meat imports. This will have the effect of encouraging farmers in their efforts to maintain an increased production. There seems less likelihood now of suggestions for quota restrictions in the dairy industry, being raised, and for the next 18 months a satisfactory market for the whole of our surplus primary produce seems assured. Markets at the moment are reasonably good. Our chief products, lamb and butter, are selling freely in Britain, and the wool market has retained recent improvements. Of conditions in the Waikato our correspondent writes: “Without doubt the most encouraging news that the farmers in the Waikato have received for some time is the announcement that the quota or levy business for mutton and lamb has been settled for at least 12 months. For the last few months sheep farmers have been purchasing their annual replacements of breeding ewes and; throughout the season there appeared to be a shortage of ewes and practically. the whole time sheep realised prices which were in advance of. the most sanguine expectations, especially when the uncertainty of the market was taken into consideration and the news now that the position- is settled will be received with great joy by many Waikato sheep farmers. The most disappointing section for ! which very little improvement can be expected is the fat sheep section. It appears that nothing short of export can absorb the surplus offering in this section.! Granted that prime ewes are showing signs of shortage, there are, however, ample supplies of wethers being held, and now that the winter is within four or five weeks of the spring growth there is every indication that the adequate supplies .of wethers will be offset against any shortage which is likely to be apparent in fat ewes.

There is every indication that the beef section will remain fix*m, whilst the excellent winter has made the inquiry for store cattle extremely good. A large volume of business is still being transacted in the dairy section and as the clearing sales are practically over more attention if being attracted to the dairy heifei and during the week at one of the main centres a sharp rise of all classes of dairy cattle was recorded.

Very small yardings of pigs are coming forward, the majority comprising stores and weaners which are fully maintaining late quotations.