MEAT BOARD’S POLICY.

Taranaki Daily News, 16 November 1927, Page 6

MEAT BOARD’S POLICY.

Recently the chairman of the Meat Producers’ Board (Mr. D. Jones, M.P.), published a long statement in reply to a criticism by Mr.. James Begg that the board had seriously erred in preventing the sale of freezing works in New Zea land to overseas companies. The main charge made by Mr. Begg was that the ’board’s action had not merely prevented shareholders in the freezing works which were for sale from saving some of their capital, but had depreciated the value of freezing works generally as securities. The reply of the board was that its action was taken to prevent the meat trade of the Dominion becoming the monopoly of oversea interests, and that its action had the support of stock owners throughout New Zealand. It admitted there might be circumstances which would justify the sale of works to oversea firms, but insisted that the board must judge each proposal for sale upon its individual merits. Mr. Begg has now returned to. the charge, and maintains with some vigour that “if the overseas freezing companies present in New Zealand had appointed and subsidised the Meat Board they could hardly have hoped for a policy more in their favour than that adopted by the board. In the first place it prevented any other overseas company acquiring or building works in New Zealand, and by this means it gave a monopoly to those already here. Then by its recent actions it has undermined the credit of the smaller farmers’ companies and if it persists in its present course, will drive some of them into bankruptcy, thus lessening competition and making a present of their business to their more powerful rivals. The board’s good intentions are paving the way to the hell of monopoly.” There is little doubt that these views are very generally shared. The board's arbitrary methods have not had the effect of checking monopoly. They have, however, shown a curious disregard. for the rights of private ownership, and they have proved no solution of the economic problems with which the industry is confronted.