MEAT INDUSTRY

New Zealand Herald, Volume LXIX, Issue 21371, 21 December 1932, Page 7

MEAT INDUSTRY

REVIVAL IN AUSTRALIA SEQUEL TO OTTAWA AGREEMENT [from our own correspondent] SYDNEY, Dec. 15 Experts say that a sudden revival in meat prices in London has enhanced the value of Australia's meat industry, in the last six weeks, by more than £30,000,000. In fact, according to Mr. W. C. Angliss, who was one of the delegates to the Ottawa Conference, tho added value to tho Australian meat industry is incalculable. The meat industry, ho says, is profitable once again, and tho meat works are busier now than at any other time sinco the war.

Mr. Angliss said that tho rise was due to the fact that, following Ottawa Conference, the British Government decided to regulate the importation of meat into Great Britain. Prices were now stable, and the • increase represented about 30s a bullock, about 3s a carcase for lamb, and about 2s 6d a carcase for mutton. By October last the Australian meat trade was in the doldrums, The returns to tho exporters were just sufficient to pay handling charges and soa transport expenses. The producers wore receiving nothing. Exporters were contemplating closing altogether. It simply was not worth while attempting to ship lambs and sheep to London. Then, when tilings were at their worst, came the splendid hews of the regulation of imports into Britain, and the ensuing •steady rise' in the British market prices for lamb, mutton and beef. As Great Britain took 4,000,000 sheep and lambs annually, the riso in the export returns to tho Commonwealth would bo just Sn '£600,000. Britain also took about 200,000 head of cattle, representing at the higher prices another £300,000 to the cattleraisers of the Commonwealth. But that extra £900,000 was only a portion of the great beneficial effect. The price and value of all sheep and cattlo in the. Commonwealth had improved. Local prices necessarily had to follow world parity. Australia consumed about 14,000,000"sheep and lambs annually, and 1,500,000 beef cattle. On those figures the local market would yield the growers a locally increased return of £2,000,000 on sheep and lambs and a further £3,775,000 on bullocks. Beyond all these gains, however, was the enhanced value of tho 120,000,000 sheep and lambs still in the Commonwealth and the 10,000,000 beef cattle.

On the hoof, therefore, the sheep and lambs were worth to-day another £17,000,000, compared with their value two months ago, whilo the cattle were worth £15,000,000 more. It was the best news Australia had had for years. Instead of waging a losing fight those engaged in the meat industry were now able to do good business. The seasons had been good, and with better markets and better prices all the meatworks were working harder now than at any time during the last fourteen years. NESTLE MILK COMPANY t A DECLINE IN PROFITS Accounts of the Nestle and Anglo-Swiss Condensed Milk Company (Australasia), Limited, for the year ended June 24, disclose a jiet profit of £116,185, compared with £129,431 earned in the previous year. The authorised capital has been reduced from £4,000,000 to £2,500,000 by the cancellation of 1,500,000 ordinary £1 shares and the subscribed capital to £2,000,000 by the return of £1,500,000 to ordinary shareholders in respect of the cancelled shares. ,

The preference dividend of 8 per cent absorbs £BO,OOO, and £35,000 is required for an ordinary dividend of per cent, compared with 2 per cent in the previous year. The carry-forward amounts to £llßs.

GOLDSBROUGH-MORT WOOL CONTROL OPPOSED —— ■ : \ Reference to the report of the committee set up by the Commonwealth Government to examine the wool position was made by Mr. J. M. Niall, chairman of directors of Goldsbrough, Mori and Company, Limited, Sydney, at the half-yearly meeting of shareholders. Mr. Niall said that while the report of the_ wool' committee bore evidence of a careful' examination of the subject, he considered that to attempt to control the price of wool and to prevent 'export unless an approved price was forthcoming would prove mostinjurious and harmful. There were already many substitutes competing with wool, and these would be increased if a free market were interfered with. Similar attempts with other commodities had failed. The question of finance would be paramount, and certainly at the present juncture made the proposal impracticable. As tp the proposal that wool brokers should reduce their charges, Mr. Niall said that wool brokers had already reduced their interest ratps, and had also recently reduced other charges. The strain of many bad seasons, low prices, and heavy taxation had seriously affected their capacity to make further concessions, and it was unreasonable to expect the already heavily burdened pastoral 'houses to make further sacrifices while other charges, such ajs rent, rates, taxes, railage, sea freights and tariffs, remained oppressive.

TALLOW MARKET QUIET

LONDON EGG QUOTATIONS The Department of Agriculture lias received the following cablegram, dated December 17, from the High Commissioner for New sHealand, London : Tallow.—There, was a quiet demand at auction, Of 818 casks offered, 258 'wcro sold. Present-spot quotations are: Mutton, fine,-27s to 27s 6d; fair to good, 23s 6d to 26s 6d,: dark to dull, 21s to 225. Beef, sweet and/or mixed, 24s to 28s; fair to gpotl, 22s to 245; dark to dull, 20s to 21 s. Mixed, fq„ir to good, 22s "to 235;. dark to dull, 19s to 21s. Gut, etc,, 19s to 21s. - " Hemp,—The Manlia market is quiet and barely steady. Closing value for K grade for December-February shipment, £l6 12s 6d. There is a steady demand for sisal at about last rates quoted. New Zealand is nominal owing to the absenco of demand, on the, basis of highpoints for January-February shipment, £l4 iOs. Eggs.—The market is firm. English, national pack, 16s 6d to 225; English, ordinary pack, 16s 6d to 17s 6d; Danish, 13s 3d to 19s; Australian, 12s to 13s 6d ; New Zealand, 151b. to, 171b. a long hundred, sold 12s 9d to 14s; 181b. a long hundred, slow, 14s to 15s)

HIDE AND SKIN SALE -" VALUES LITTLE CHANGED ; ; .' u.\ ; •: A good demand existed for 'hides and sheepskins lit "tho fortnightly solo held by Auckland brokers yesterday.- There was a large offering and prices were generally on a level with the last sale, although there was an easing tendency in several lines. The quality was £ood. For tallow inquiry was satisfactory. Best mixed sold slightly lower, but other? were unchanged. Prices for the offerings of good quality ranged as follows: ' Hides.—Heavy ox,. 4Jd; _ medium, 41d; light, 3*3 d; cowhides, all weights, 33d to 4d; yearlings, best grades. fid; calfskins, sd. Sheepskins.—Dry: Fine crossbred, threequarter to full wool. Sid; medium crossbred, 2ld; coarse crossbred, 2}d; halt-wool medium to fine orossbred, 2Jd; coarso crossbred, 2Jd; quarter-wools, best grades, 2d; second grade, lid; pelts, lid. Salted: Three-quarter to full wool, lai-Re, 3s 3d: medium, 2s 9d: light. Is 8d; pelts, 5d to 7d; lambskins, 8d to lOd. \ , Tallow.—Best mixed, 16a a cwt,; others, lis 6d to 15s.