THE MEAT POOL.

Poverty Bay Herald, Volume XLVIII, Issue 15746, 10 February 1922, Page 8

THE MEAT POOL.

NEW CLAUSES IN THE BILL

(From Our Parliamentary Reporter.) WELLINGTON, this day.

Several clauses for addition, to the Meat Export Control Bill were circulated to-day. The promised provision for (he appointment of a representative of the stock and station agents is included. It is slated that in addition to the two members to he .appointed by the Governor-General as representatives of 1 lit? Governmentthe Governor-General may appoint a mem lor “as representative of persons- for the time being engaged in the business as stock and station agents. Tile appointment is to he for two years, but any such member may at any time be i tmoved by the Governor-General on the recommendation ol the board, «»i may be reappointed at the end of an.V term.

To clause 10. empowering the board to take control of meat l'or export, is to be added a series of provisions', establishing that the board is not to exercise its power with respect tie the sale of meat if it is satisfied that a contract for Hie purchase and sale ol the meat exists before the Act comes into force, or after the coming into force of the Act, but before the board has given notice of its intention to assume ’Control of that meat. It is required that in either crept the meat 'is id be exported not later than October 31 next. Clause 12 of the Bill as introduced requires that after it comes into force or at any later time to bo specified no contract for the shipment of meat from New Zealand is to be made except by Hie board acting as agent ■ for the owner of the meat or in l conformity with conditions to be approved by the board. Ibis is to be increased in scope. The board- will now be required to appiovo of all contracts for shipment of meat made before the law comes into office except where they relate to the shipment- of meat before October 31 next. ’

The first item in the enumeration of the particular powers of the hoard, contained in clause 14 of the Bill, is to make arrangements for “the grading, handling, pooling,,, and storage of meat in New Zealand prior to shipment.’’ This is to be amended by striking out the words “In New Zealand prior to shipment;’’. A new sub-clause is to be added iu the following terms: "For the purpose- of securing any advances that may be made to. the board'or to the owners of . any meat at the request of t lie board, the board shall by virtue of 'ibis Act and without, further authority have' full power on behalf of the owners to give security over- such meat- and to execute all mortgages and other instruments of assurance in the same manner in all respects as. if the board,avert* the legal owners of the meat.” • It is laid down in clause 18 of the Bill that.the board shall lie deemed to be the agent of tho owners and the rights, duties, and obligations between the parlies shall be determined in accordance with the law governing the relations between principals and agents. To this stipulation is to be added the following stipulation : “Save that, nothing herein contained shall be construed to limit the power of the board to exercise without the authority of the owner of any meat any power with respect- to such meat as may expressly or by implication be conferred on the board by this Act.” The amendments were incorporated in the Bill. yesterday afternoon.

BILL HAS FAVORABLE RECEPTION. CONTRACTS SAFEGUARDED. (From Our Parliamentary Reporter.! WELLINGTON, this day. The reception of the provisions of the Meat Export- Control Bill in Committee of the House of Representatives yesterday was generally favorable, though there was some questioning, of the Government undertaking a financial guarantee. .Members also paid close attention to the provisions for safeguarding existing contracts in the meat, trade. The Premier moved to add to the clause providing that the board may assume control of meat intended for export, a sub-clause qualifying this power as follows: Notwithstanding anything to Hie contrary in the foregoing provisions of this section, the board shall not exercise its powers under this section with respect to the sale- of any meat if the board is satisfied, (a) that there is subsisting a contract for the purchase and sale of that meat made before the commencement of this Act,, or (b) that there is subsisting a contract for the purchase and sale of that meat made after the commencement of this Act, but before the board has given notice of its intention to assume control of the meat, and that meat to which any such contract .as aforesaid relates is to be exported from New Zealand nol later than October 31, 1922.” The clause empowering the board to control all meat shipping contracts was similarly modified to exclude from its operation contracts for'shipment of meat before October 31, 1922. > .GOVERNMENT BY REGULATION. Exception was taken to the indefinite and extensive powers given in the Bill to make regulations by Order-in-Council. ■‘Let the board get into .working order,” advised the Premier, “and next session, after we have had experience, we can ipake any amendments necessary.”

Air. Wilford declared that he would prefer some kind of regulations to nothing at all, and he would have statutory power in preference to regulations. Government, by regulation, instead: of government by statute, was a bad principle, and he thought the proposal for the prohibition of export should not be left, so indefinite. The lines of procedure should be laid down by Parliament. He belieyed, too, that the Minister of Agriculture should be on Hie hoard. The Government should exercise some form of influence in regard to;the board, but as the Bill stood. it was, not clear how it was-to exercise, that ....influence)'

Mr. Forbes (Hurutiui) wished t(/ know whether this protection of existing contracts would mean the release of the meat of Armour and Co. now;,-held in freezing works. Mr. M ussoy : My own opinion, and 1 give if for what it is worth without any guarantee that it is correct, is that the passing of this Bill into law will settle the difference between the Government and Armour’s.

Mr. Wilford : And let them export it?, Mr. Massey: That is for the board. The Premier, replying to further questions raised regarding contracts, explained that there was in existence at least one contract for shipping made for a period of five years. The Bill was not interfering with ordinary contracts, but in the case of such a. contract as lie had mentioned, which he believed was iriade six months ago, it required to be looked into from the point of view of public interest. Asked for a specific definition of how the clause affected contracts, he said : “It applies to both c.i.f. and f.o.b. contracts, which are exempt if made before the passing, of this Act.”

The only division taken in committee was upon an amendment by Mr. McCallpm (Wairnu), to secure that any losses incurred through the guarantee should be paid out of Hie export levy. The Premier pointed out that this would limit the security proposed to Vie given by the Government. The amendment was rejected by 45 votes to 14, and new clauses proposed by tho Premier were adopted, the Bill being read a third time after a brief debate.

(Per Press Association.) Wellington;' last night. lii committe’e on' the Aleat Export Bill Mr. Hudson said that he considered that the Board of Control should be larger to do justice to the work it would have to do. The Prime Minister, replying to a suggestion by Mr. Wilford that the interests of the third party, the consuming public., should have consideration in arranging the representation on the Board* said that he agreed that the third party was not adequately protected, but bo did not think it possible to make prevision in tHis Bill, Mr. Lysnar suggested that stockowners should have power to remove any member of Hie Board if found unsatisfactory. 1 Mr. Witty suggested an addition to , he atoendm cm t providing for the election if one person representing Labor. After further discussion clause two 's amended was adopted on the voices. On clause eight (constituting the Lonlon agency of the Board), Mi\ R. W. Smith urged that the personnel of the agency in London was not large enough. Mr. Wilford said that the Prime Minister’s suggestion that London nuns would act in the distribution >f our meat, was not desirable. He niderslood that the object of the >ool was to do away with these old 'gencies, which had proved unsuitable Mid lie would suggest that it was an unntifable suggestion that one man and a ample of • assistants would be cable tc properly look after our interests in London. The Prime Minister said that the personnel of the London agencies would be decided by the Boards. What they wanted was a man having sufficient authority to speak for the problems in any matter’requiring adjustment in connection with the distribution )f meat. There was no intention to •mbark oil retail trading. The clause was adopted on the voices. On clause nine Mr. Wilford moved an amendment providing that the prohibition of export shall be subject, to conditions and exemptions to be specified later. The Prime Minister thought it undesirable thus to limit the powers of the Board. What was wanted was to get tho Board into operation at nee. If amending legislation- were found necessary’ it could be brought down next session. The amendment was lost on the voices. Dr. Newcan objected to tho power .iven tp the Board to prohibit export, is it would be used arbitrarily often to he detriment of individuals and companies. The Prime .Minister replied that the Board would be of no use if it had not extensive power. It was not oneeivablo that a board of competent ruen would do anything detrimental to any producers or concern engaged in the meat trade. ■■ . : The clause was adopted unchanged. On clause - ten the Prime Minister moved an amendment providing for ihe protection of existing contracts. Mr. Forbes asked if* this would •ffect Armour and Go. Mr. Massey replied ho thought it "ould settle the difficulty as between Armours and the Government. The Board would have to deal with that matter. The clause with the amendment was dopted on the voices. In. clause fourteen Mr. Wilford asked if a levy was intended to be made on all meat exported or only on such meat as was controlled by the Boards. The Prime Minister replied that a levy .voukl be made on all meat. A new sub-clause was added to •lausc fourteen, providing for security for advances to owners of meat exported. On clause seventeen Mr. McCallum moved an amendment empowering* the Minister to make allowances from the Consolidated Fund. All such advances with interest at current rates to be repaid from the, levy provided for in clause thirteen.’ He urged there should Ve a levy to provide sufficient funds to meet all claims, so that public moneys should not be drawn upon. He -untended that at present /there was no means of compelling a producer to make good any losses sustained. The amendment was negatived by 45 votes to 14. Mr. McCombs suggested that the amount to be advanced by the Minister mould be limited, say to £1,000,000. The Bill its amended was reported vith amendments, which was agreed to. ■ ■ . • On the motiou for the third reading ;f the Bill Mr. Isitt said he did not ike the Bill, as it involved one big commercial union acting in the in.crests of one section" of the people. Tho Bill conferred power to exercise .(impulsion on producers to agree to ell under conditions with which he totally disagreed. It was an interference vith the liberty of the subject. ! - The lovernmfcnt would not rnako any delaration as to the security ,of its markets. The big meat trade- interests would not. hand over the particulars of their trade to tho Government. They would fight the pool to the uttermost, old what was known as the Big Five would back them up. The Government was beginning at- the wrong ‘end. It should' lyive started by putting matters >n a better footing at the. London end. All’. Massey said he did not expect to have to borrow or to lend in connection with tho pool’s operation, as ia believed Hie Government* guarantee would be sufficient for banks financing he producers. . x The Bill was read a third time and passed. The Agricultural and Stock Committee reported that it had no recommendation to make concerning t)ie petition dealing with the Meat Export Control Bill.