IMPERIAL MEAT SUPPLY.

New Zealand Herald, Volume LIII, Issue 16376, 2 November 1916, Page 6

IMPERIAL MEAT SUPPLY.

CHARGES FOR STORAGE.

QUESTION OF REDUCTION.

WELLINGTON. Wednesday. The negotiations being conducted by the Minister in charge of the meat export business, Hon. W. D. S. Mac Donald, with the Board of Trade regarding the storage rates to be charged on meat awaiting shipment in New Zealand are still incomplete. The Imperial Board of Trade asked that the cost of storage should be cut down by one-half. The freezing companies did not agree to this, but offered to reduce the charges by one-third. The rates last year were one-eighth of a penny per lb i month, the first month being "free, with this provision, that storage charges must never exceed three-eighths of a penny per lb. The companies now offer storage at one-eighth per lb for the second month storage, for the first month being free, and one-sixteenth per lb a month for two months, making the maximum storage charge one farthing per lb. This offer was communicated to Mr. Massey for submission to the Board of Trade in London, but no reply has yet been received. producers are interested in the negotiations because they may be indirectly affected by them. At present the freezing charges, which include the first month's storage, are paia by the man on whose account the stock comes tofcihe works and storage is paid by the Board of Trade! It is possible that if the companies* offer is not accepted in London, and the storage rates have to be still further reduced, the companies may recoup themselves by increasing the freezing charges. Whether the sheep are frozen on account of the producer or a middleman, an increase in freezing charges would have to be bone bv the producer. On the other hand, there is very keen competition now among freezing companies for business, and in view of the keenness of the competition, it mav not be easy to induce all the companies, especiallv the new companies in the North Island, to become parties to an agreement to increase freezing charges.