SURPLUS FAT SHEEP

Otago Witness, Issue 3519, 23 August 1921, Page 11

SURPLUS FAT SHEEP

SUGGESTION TO RE-OPEN WORKS, j NOT FAVOURABLY RECEIVED. CHRISTCHURCH, August 18. Representations are reported to have been made to various freezing- companies to open the works again and deal with the excess of fat sheep now flooding the market. At yesterday s sale at Addington there were thousands more sheep than were required, and prices slumped, good wethers fetching only from 15s to 21s. Iho position is serious from the producer’s point of view. Stock agents approached several of the companies this morning with a request that killing for export should be resumed. As a consequence it is probable the agents will endeavour to ascertain the approximate amount of stock likely to be available, so as to put a more definite proposal to the companies. This situation has arisen owing to the large falling off in killings during the freezing season. r i h:s was due to a break in the market, many farmers preferring to retain their stock rather than accept the low prices then ruling-. Farmers who held sheep did so in anticipation of realising the good prices usually paid by butchers. As winter and spring developed, however, too many decided to adopt this course, and the outcome is the public are reaping the benefit of the low prices for meat. One stock agent informed a Sun representative that prices for live stock are now on a parity with those ruling in 1901. The position is general throughout the dominion, and freezing companies state that requests to reopen works have been made in Hawke’s Ray and other districts. Representatives of these export concerns profess to be somewhat sceptical about the genuineness of the demand by producers. Farmers know that it is doubtful if we could offer as good prices as ruled at Ihe close of the season for ewe and wether mutton, said one man. The conditions on the London market are such, I think, that few farmers would be prepared to ask us to kill and consign sheep on their own account. Even a stock auctioneer doubted whether under the present conditions of the market many farmers would sell or consign sheep to the works. A representative of a co-operative freezing concern said it was possible the company' might consider the proposition if an inducement in (he number of sheep to be handled was sufficient. However, there was no inducement at present. One farmer only in North Canterbury bad made a definite request that he should be allowed to send his sheep to the works. In mid-Canterbury, a fattener, not a farmer, bad made a similar request, and none at all had been received from South Canterbury. The company kept its works open until July 7. but in the week prior to closing not 2000 sheep were put through. To justify the opening of the works the company should have sufficient sheep to kill on three days a week at least. Unless sheep were handled in large quantities, the freezing costs on each sheep would be 100 great for the export to he profitable. The manager of a proprietary- fiecziiior company said most of the companies would not care to buy further ewes or wethers, ha ving la rye enough commitments on their hands already, in view of the unfavourable nature of the market. M any wethers now hold hv farmers would be heavy-weights. and those rvarl icularlv were not desired. The companies could not offer any heller mires Ilian the butchers. Most of iho \vo*-ks were now undergoing the amnud overhaul.