MEAT EXPORT TRADE.

New Zealand Herald, Volume LXI, Issue 18887, 9 December 1924, Page 10

MEAT EXPORT TRADE.

MR. DAVID JONES' REVIEW.

BETTER OUTLOOK FOR BEEP".

LARGE CONTINENTAL SALES..

GOOD QUALITY ESSENTIAL.

• •"The most important development in the., meat trade has been the phenomenal increase in tho Continental demand," declared Mr. ' David Jones on his return yesterday from an investigation of markets abroad on behalf of tho New Zealand Meat Producers' Board, of which lie is chairman. Mr. Jones considered that this development would have an important, and highly favourable effect 011 the future of the beef export trade especially. Until recently it had not paid to export beef, but already, under .the stimulus of Continental consumption, an improvement had taken place. •- • "For many years .we have been talk ing about tho possibilities of the Continental demand, but nothing eventuated,". said Mr. Jones. "European agricultural and pastoral interests were able to keep their home markets through the support given by the military classes. •Tho latter looked at the defence side, ami. maintained a policy that would .make the country self-contained in war .■time,:.. Protection meant high meat ices, and, owing to tho low wages paid, the masses could purchase very little meat.

- '.'During the war large numbers of livestock., were killed off, and left the Continent greatly understocked. The poverty of the people and their urgent need made it necessary to throw down the -tariff barriers and admit frozen and chilled meats. The wages in most parts of the Continent have increased, and the people can now afford to buy the beef that has been at such low prices. And the "people like it. They have got their teeth into much better meat than they could buy in pre-war times and at r. reduced price. The respective Governments will find it difficult in the future to raise again the prohibitive protective barriers. :

jr..' Boned "Beef for Italy. .•v "Belgium's. consumption of meat _ haS grown • enormously, - and will continue. • Trade with Germany is growing rapidly. Refrigerated barges load at Antwerp and go right' into the heart of the Rhineland," further afield through'the net- - work 'of canals. .

• ■'■'•'"The board has landed two shipments ' of beef in Italy recently; and its London ' manager' Has been on the spot super- ■ vising the unloading' and examining • future trade prospects. A welcome extension is tho market opening for boned •beef in" Italy. . The expansion of the ■dairy- industry ' means considerable shipments'.of bonec'. beef in the future, for Which" in the past the Dominion has been confined practically to one market. Franco, the most conservative of the Continental countries, has recently been making keen inquiries for quotations, and the Government, is realising tho necessity for giving . the people cheaper meat. .. 1- .. . ..

• ; "The beef trade has been in a parlous .condition for. the past three years," said "Miv Jones' in conclusion, "and much money has .been lost. The increased' con- ' siimp.tive' demand .' is bound to. improve ' this position. Beef has been below' the cost of production, as is shown, by.the rapid increase of. dairying in the Argentine. ' Therefore, although it _ is. never safe to be. too sure, in forecasting" markets, I'should advise the . North , Island farmer to breed the best and keep plenty of'cattle to maintain his pastures in condition.

Mutton not 7/anted in Europe. "If the Continental, demand had not opened up, it is difficult to see where the enormous quantities of beef could have been sold. It must be recognised that any market that relieves Britain of the glut is an advantage to New Zealand. Opinion ' in well-informed quarters in England and America is that the prospect. for beef in the future is much •brighter. "

''The Continent is not so promising a field for■ mutton and lamb. Europeans are not sheep-eating peoples; they have comparatively few sheep. Beef, veal and pork is what thuy are accustomed to, and the present prices of mutton and lamb are much too high to induce an effective. demand."

•Discussing primary markets in general. Mr. Jones v.as confident that New Zealand could continue to compete successfully with the world in meat and cl-> : - pioduce. The natural advantages •of the Dominion's wonderful climate and . pastures more than offset the handicap of distance from markets. Many competitors had long winters to provide ..against;, necessitating artificial feeding over long periods. The price of corn, ■cake and other artificial foods had increased, and must remain permanently , dearer. That in turn increased the production costs of competitors, which was .all to the Dominion's advantage.

-The market for New Zealand meat was extending in Britain, duo chiefly to the fact 'that more and more was selling in ■provincial towns. Tho opinion of sound men. in the wholesale and retail trades was that the Empire Exhibition had no effect on the price of New Zealand meat. The London demand was about normal throughout the year; it was the provinces which accounted for the increase. Lamb had received a great advertisement by the board's system of sending single carcases to any address in Britain.

What, the Meat Boa'rd is Doing. Tie New Zealand article had an excellent name in Britain. Quality and grading were nearly always as represented, and the confidence thus established was a valuable asset, to the Dominion. ✓ Regularity of shipments under ■the policy initiated by the hoard had become a recognised factor in maintaining steady prices. Mr. Jones went on to sneak of the improvements effected by the board in grading, handling and shipping, which had added to stability in 'be trade, and were of undoubted benefit to the producers. The new freight contract, arranged for a period of three years, would mean a saving of over .£IOO.OOO a year as compared with the rates riding' for last season, and, compared with those operating before the board was formed, the. saving was £800.000 annually. The benefit of living only one contracting party in gaining with the shipping companies was thus very apparent. Mr. Jones has returned nucli impressed with the need for supplying the .British market with only the very ■ highest quality. "Prices for meat have art-eel on a high level this season," he said, "and I would suggest to the farmer that he make the lambs he breeds himself of ■ really prime quality. Many farmers sell their own lambs" too soon, and then rrsh into the store market and purchase again at unprofitable prices. The foundation of good grading 'is in good breeding and feeding, find that is the work of the producer. " Quality Our Greatest Asset."

"Our quality is the greatest asset we have, but, close attention is being paid to breeding by our competitors, and we must aim to lift our standard in New Zealand. The farmer must be the judge of .what class of sheep his country can .best carry, but it is undeniable that the CpiUhdown cross is the lamb that appeals most to the British butcher and brings the highest -prices." ' ". A number of special matters in connection -ym.U, the meat trade we.'a ' investi(rated by Mr. Jones, but these he is reserving ior a report to the board. He also inquired into the subject of farmers' finance, particularly in Denmark and America, and will publish his conclusions