CANTERBURY FREEZING COMPANY.

Otago Daily Times, Issue 13206, 13 February 1905, Page 3 (Supplement)

CANTERBURY FREEZING COMPANY.

CKRISTCHURCH, January 26. Tho faot that thoro has been a shrinkago of 36 per ccnt. in tho stock killed at the Canterbury Freezing Company's works this year has created a loss on the year's business of £2567.

Speaking at tho aunual meeting of tho company to-day, Sir George Clifford (the chairmau) remarked:—lt is not my function hero to give a lecture on sheep-farming, but'it is obvious to overy thinking farmer that the continuous freezing of ewe lambs lies at the root of tho falling-off we are deploring, and there is, I understand, no indication of any widespread realisation of tho difficulties which arc accumulating upon every branch of tho pastoral industry by adherenco to this vicious system. If we regard the Canterbury district as one great sheep farm, it is clear that it'should retain or purchase sufficient young ewes to annually replace the drain—say, 20 per cent, fromjts brooding stock of some 2,500,000 breeding owes. Tho large farmers are compelled by the absolute impossibility of purchase to retain tho needful supply, but their surplus goes only part of the way towards supplementing tho general improvidence. We may well characterise as improvident tho policy which sacrifices /or 16s a young ewo to replaco her at 20s by an old ono, inasmuch as persistence in such a courso must involve tho. result which overtook tho dame who killed the goose whioh laid the golden eggs. One outcome of all this now looms largo before the board ot this company in the patent fact that those concessions and abatements of charges, which it has been its pride from time to time to extend uniformly to all its clients, cannot bo continued to their fullest extent during its diminished business.

THE ANNUAL EEPORT.

CIIKISTOH'URCH, January 26. At the annual meeting of the Canterbury Frozen Meat Company to-day tlie report presented stated that for the first time fn the history of 'the company tho figures showed a, loss on the freezing operations itr the year, which, with the intoriin dividend paid in June last, amounting to £3927 6s Id, left a total at the debit of tho profit and loss account of. £6092 6s Bd. The result was attributable to an unforeseen diminution of stock in Canterbury, slaughtering operations at. Belfast and Fairfield having diminished by one-third, 'l'ho figures tare: For tlio year ended November" 30, 1903, 950,741 head; for tho year ondod November 30, 1904, 608,404 head; thus showing a decreaso of 342,337 head. This was equal to n doorcase of 36 per cent. The decrease in stock slaughtered for freezing was:' Belfast, 132,925 sheep, 76,951 lambs; Fairfield, 69,012 sheep, 26,060 lambs, —a. total of 201,937 sheep and 103,011 lambs. There was also a decrease of 29.250 head of sheep, cattle, and pigs slaughtered for local consumption.

In moving the adoption of tho report, tho chairman (Sir Gcorgo Clifford) said the position was to a great extent created by tho shortage of stock in the Canterbury district, and consequently a lessening number of sheep tincl lambs available for export. Profit began to accrue only after such an amount of meat had been treated as would suffice to rccoup tlio constant and uniform expenses and charges incident to a day's operations. Such a deficiency nporated more quickly on a company debarred from competing, in the open market for supplies, nr.d which must wait until its clients thought fit to purchase or forward carcases to fli its ohambers. Tho state of tho case was best illustrated by actual figures for tho vast three seasons in Belfast and Fairfield, which showed that in 1902 813,806 carcases gave a profit of £11,610, in 1903 893,796 carcases a profit of £12,212, and in 1904-598,663 carcases a loss of £2567. He went on to deal with the reasons for the shortage of slock and tho need for farmers supporting the company by forcing their stock into the works. Referring to the new works at Paroora, ho stated that none of the los 3 was attributable to' them, their success having been marked. With economies contemplated and willing acceptance of almost impercoptiblo alterations in charges, and with a loyal endeavour on tho part of shareholders and supporters to direct towards the works all the business they could control, he would be disappointed if tho next annual report did not bear u different tale, but tho ultimate improvement of the trade rested with the farmer and his methods.

A length/ discussion followed, Bhare. holders inquiring when the loss was known, and criticising 'he action of the clirector3 in declaring a dividend at tho half-year. In reply to Sir John Hall, tho chairman slated that the directors would bo glad of an arrangement with any other Christchurch company to raiso the charges for freezing.

The discussion ended without any motion being made.