MEAT PRICE INCREASE

Otago Daily Times, Issue 27057, 16 April 1949, Page 7

MEAT PRICE INCREASE

BRITAIN’S OFFER TO ARGENTINA

REJECTION POSSIBLE NZPA—Copyright

Rec. 9 p.m. NEW YORK, Apl. 14. The United Press correspondent in Buenos Aires states that a reliable source said to-night that Argentina will reject the meat price increase offered by Britain. The source said the British offer was tantamount to production costs plus 5 per cent. He stated that the British negotiators offered to pay 1.25 pesos per kilogram at an exchange rate of 15:50 pesos to the £ sterling, compared with the Andes Agreement price of 98 centavos at an exchange rate of 13.53 pesos. Argentina had demanded 1.90 pesos for frozen meat and 2-24 pesos for chilled meat.

The New York Times correspondent in Buenos Aires reports that meat, on which a large part oi Argentina’s economy rests, may not be available for export after April 21. All packing houses, including three owned by United States interests, have informed the Argentine Government that they are determined to cease slaughtering cattle a week from to-day rather than continue to suffer what they consider completely ruinous losses. The mounting loses of the last several months have how been increased by the wage increases of 45 per cent., which President Peron granted on April 1. The packers say the increases amount to 65 per cent., since numerous social benefits and seniority premiums have been added.