ARMY MEAT CONTRACTS

Wanganui Chronicle, Volume LXXXIII, Issue 19784, 7 March 1927, Page 6

ARMY MEAT CONTRACTS

Some additional light is thrown by just-received Home papers upon the British War Office’s recent acceptance of a South American tender in preference to an Australian bid for the supply of tinned beef for army requirements during the present year. A representative of the Australian Meat Council, who estimated the value of the contract at between £40,000 and £45,000, told a Press representative that he considered the War Office’s action “grossly unfair.” He gave as his reason the fact that during the war the whole of Australia’s meat resources were taken over by the Imperial Government at a specially low price while South America was paid a good price for the supplies it contributed. Further, South America was able to cater for the Continental and other markets from which the Dominions were cut off. This enabled South America to keep its clientele together, whereas the Dominions had to start all over again, and he contended that, therefore the latter were entitled to the contract, even at a higher price. In reply to this, it was stated that the War Office followed the customary practice of putting the contract out to tender, with the result that it had no option but to accept the Argentine offer. Preference was always given to Dominions’ meat, where possible., bnt in this instance the Australian tender was so much higher than the Argentine as to be beyond the limit, of acceptance. It was further stated on behalf of the War Office that, as evidence that it dealt as far as possible in Empire products, it gave the whole of the 1925 contract to Australia and that of 1924 partly to Australia and partly elsewhere. So far as army meat contracts go, it is evidently a matter of cost and that only. If Dominion meat interests can bring their cost down, they will get the contracts, as they did in 1925. Otherwise, it is apparent that the War Office will have little sentiment to spare in regard to Imperial preference.