FROZEN MEAT TRADE.

New Zealand Herald, Volume XLV, Issue 13683, 26 February 1908, Page 9

FROZEN MEAT TRADE.

POSITION AT HOWE. AMERICAN TRUSTS AT WORK. The daily average sales of meat in the Smithfield market, in London, are approximately 2500 cattle, 17,000 sheep, and 2000 pigs, and about half of this meat is frozen or chilled. Of this quantity New Zealand sends a very small proportion of beef and but a small proportion of mutton, but it sends a considerable proportion of lambs; in fact, sufficient to determine the price of that class of meat. New Zealand's frozen meat trade is of very great importance, and New Zealand is deeply interested in a straggle which is now going on at Home for the control of the great English meat trade. At present the American trusts seem to be getting the supply into their own hands. Speaking to the representative of one of the large London houses dealing with colonial produce, a Hkbalo representative was informed that amongst merchants dealing with colonial and other produce on the Home markets there was an undoubted fear of the American trusts. " Has then; been any late move?" was asked. " Yes, a very big move," was the reply. One of the companies importing large quantities of foreign meat has made an arrangement with the Manchester City Council for bringing a continuous supply of cattle from other countries up the Ship Canal to the corporation lairages. Very quickly the cattle dealers of the North protested, but 1 have not heard the result of the protest. I am, however, more in touch with Smithfield markets, as we do not operate to any extent beyond London, and I can assure you the Smithfield stallholders are regarding the great hold the American Meat Trust is getting over London's market with anything but serene indifferencein fact, they are getting daily more apprehensive. There are six big American houses combining, and they are referred to in the Market as ' the Big Six.' They are fairly large, too; possibly large enough to gain entire control, though they won get it without a light." Asked for some particulars of the operation of the trust, this gentleman went on to say that the trust had brought into action its tremendous powers of organisation, and was leaving no stone unturned to secure success. Some years ago the corporations now banded together and known as the Big Six, ceased operating through English agents and four of them secured a footing at Smithfield, and worked steadily till they now had control of no less than 44 stalls at Smithfield, thus enabling them to do enormous business in distribution of American meat.

" How is British-fed meat getting on in the competition?" "It is being practically kicked out of the market by the Meat Trust. Now I'll {;ive you a table prepared by the superintendent of the London Central Markets, showing the great quantities of foreign meat delivered at Smithfield, and hew the American is increasing. The table covers the 11 months ended November 30 last and shows the figures for the corresponding period of the previous vear :— Differ--190- 1906. ence. Tons. Tons. Tons. United Kingdom proenco ... 76.925 77.194 269 dec. Australasian produce 100,205 99,369 916 inc. N. American. English killed ... 60,899 66,654 5,755 dec N. and S. American, American killed ... 94 254 100.453 6.199 dec. Continental produce 47.479 41.742 5.735 inc. 379,842 335,412 5,570 dleo. The supply to Smithfield lias decreased in the past few years, owing to colonial and foreign importers establishing depots in the country, and thus confining the Smithfield distribution to London proper. The Meat Trust made a wise move, one we should have made, in establishing wholesale agencies in various towns near the metropolis, but the English houses had not the financial strength the trust possessed, and so could not "compete outside Smithfield. It stood to reason that retailers of outside towns, who could; get supplies on the spot, were not going to come into Smithfield." Asked what was the chief objection to the .American Trust, the representative of the English house replied: "Its arbitrary control of prices. The Big Six have a close working agreement, and daily state the price at which meat it* to be sold in the various stalls. It's no good going to another stallholder for American beef if the price quoted by one doesn't suit, for they all quote the same. There is no open market for American meat. The working of the trust is a very serious business for the British public, for the trust is trying to get control of the 'whole \ trade and to manipulate it. I cannot see at present how we can check the trust, and it is said that some stallholders ore merely nominees or dummies. The trust handles all the American, and much of the Argentine meat, and never allows the market to become glutted. The best of the meat is undoubtedly of high quality, and there can be no objection to the meat itself. It is to the trust's attempts to get control that English houses object." " How does the trust affect the colonial trade?"

'" It dues not at present compete to any great extent with your mutton, but you have to look to the future. One of the American firms in the combine is the Swift Beef Packing Company, and it has just purchased a. very large meat packing business in Argentina, thus controlling a great quantity of the Argentine meat, and it is feared this purchase is to be followed by others, till the trust has entire control of the Argentine supply. '1 hen it might turn its attention to the colonies. At present the chief colonial houses are showing great energy and enterprise in the distribution of meat throughout the country, and they may have to fight the trust a little later on ; just now it is the English houses which are aimed at." Asked for any suggestions for the improvement of the New Zealand meat trade, he leplied that much good might be done by "some arrangement by which there would be fewer brands. The multiplicity of brands impeded discharge of the meat because of the time taken in identification. An improvement in this direction would be much appreciated at Home.