THE FROZEN MEAT TRADE.

Otago Witness, Issue 2509, 16 April 1902, Page 10

THE FROZEN MEAT TRADE.

(Tkom Ovk Owx Correspondent.) LONDON, February 28. In "British Refrigeration"' there io a long account of an interview v\ith Mr George Goodsir. one of the firm of Mes-r- W. Weddel and Company. Interrogated as to the rea=on why tke frozen meat trade has been dull of late, Mr Goodsir said: '" Shippers on the other &ide are asking more money than dealers on this side are prepared to pay. They want a halfpenny per lb more fore New Zealand mutton than the prices now ruling in London. So long as this continues, there must, I fear, be restricted ?elimg."' Mr Goodsir added that the puce- were not poor; as compared with figures of the past four years they were up to a fan average. He held that the colonial complaints arose very largely from " the sad result* of speculative buying, which has been increasing at a reckless pace. Inflated prices are given for meat, without due regard to the market conditions in London."' Mr Goodsir continued: '"One is glad to know that the colonial farmer has a stroke of luck at times, but ludc of this kind, I fear, has no stability about it. and is liable to be followed by disasters, corresponding!}severe. Of course this state of affairs arises from the abuse of the forward system of bu.siness, which my firm originated and developed some years ago, and without which the trade, as a matter of fact, could hardly have survived. After a c-ertain btag« in its development centralisation became absolutely e->ential. It was impossible for each producer, under modern competitive conditions, to continue his individual i-ontign-ments to an oversea market, 10.000 miles away. The best way to carry on a remunerative basis was to take his profit on the spot, and to leave it to the large dealer or distributor here to incur the lisk of market fluctuations. The system may have its drawbacks, arising, as I have said, from reckless speculation, but it is only in some such way that the business can be jjroperly conducted, having regard to its present magnitude. In America, both North and South, it has been universally adopted. No American farmer ever thinks of taking the lesponsibility of sending his beef to this market. North and South America are by far the strongest competitors of Australia and New Zealand in this line, so the colonial farmers cannot do better than copy the best methods of their rivals. Not only does fcrward selling relieve the colonial farmer from the risks of a distant and fluctuating market, but it enables the big retailers on thio side to complete thoir buying arrangements well in advance of each season's trade." The interviewer was informed by Mr Goodsir that 1000 New Zealand lambs had just been sold by him to a large retailer in the North of England, who wanted to .secure a supply before issuing his circulars and price list for the s-pring trade. " These lambs are still happily nibbling their succulent pastures in far-off Otago, sublimely unaware of the fact that their carcases aro already destined to grace sundry dinner tables in the neighbourhood of Liverpool." Mr Goodsir held that the increased Argentine competition, which his firm had predicted for the past six year-, '" had now come mid would prove a serious matter so far a 1 - New Zealand and Australia were concerned." He attributed the great success of the Argentine companies to the following facts: — "They own the works, charter or own the steamers, have their own stores here, work together at both sides, and so, from beginning to end, they keep direct control of the whole trade. In New Zetland, on the other hand, owing very largely to the huge number of farmers and tmaU dealers over there, the cargoes are shipped by a great many different people, and in steamers over which they have no control. They oomo to as many different consignees on this side, among whom it is impossible to have any common course of action in selling. The result is unbridled competition, which seriously prejudices the trade. In Australia this competition has been reduced to pome extent in recent years, because there are now very few squattere who ship thence- on their own account, nearly all the produce coming forward on account of the freezing works. But in New Zealand tho evil is still rampant. The profits that ought to belong to the producer and freezing companies are thus, to a very large extent, frittered away." Mr Goodsir advocated an unproved method of discharging New Zealand mixed cargoes. Ho said : " I want merchants and shipowners to roah>ie that it would be far better to di-< barge the cargo wholesale into a pioprr =tore for sorting, and then to allow the \aiious consignee^ to draw it thence. m«ti\id of from the ship. Tho result would be quicker despatch, much lc-s exposure, and le-s clelav in getting delivery. But for the v n-ted mteie-ts to br» overcome-, a scheme of this kind would have been in operation long ago. " In conclusion, Mr Good=ir e\prc--ed the opinion that the fro/en meat ti-ide was only m it a infancy. " It contains va^t po-sibihtics, not only in connection w ith the development of the trade m this countrj and in other European countries, bilt m connection aiso with South Africa, and possibly with countries in the Far Ki-t. and al-o foi iivmv and navy operation- throughout tin- whole woihl The old unrca-onmtj niijiidiic airunst fro7«'ii produce i= dy.uif out \<i\ r.ipidly. and tho ).o\t fi v\ veal- will undoubtedly wit'H-- .mi eiioimoii- increase in the uoild'- dciiMiid "