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captain pearse.]

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62. You told us there were 158,000 Lincoln sheep, 36,000 cattle, and 15,000 horses?— Yes. 63. Well, that represents just such a carrying-capacity as we have here ? —But that is their second-class country. You want a map in front of you to understand this question, and I could then show you the rich and the poor country. 64. Do you know any farm which carries anything like that number of sheep —ten to the acre —in any part of the Argentine ?—Not on the natural grasses. I think on the alfalfa there are plenty of them doing it. 65. But you do not know of any yourself ?—I think I do. 66. It seems to me that upon this question hinges our trade. If they can carry ten sheep to the acre we might as well shut up shop ?—I am told that up at Palmerston there are places which carry four or five sheep to the acre on natural grasses. Of course, the value of the land I referred to is about £1 ss. an acre, while the value of the alfalfa land is £7 an acre. It is a very different class of land, and the owners are netting 15 per cent, on capital value. 67. Mr. Duthie.] With regard to the distribution of meat by Nelsons, I would mention that, like yourself, I went through the books when I was in London. I think they had some twelve travellers employed covering the whole of the country right up to Scotland ; but are you satisfied that in two days they distributed the quantity of meat you say in seven hundred different towns ?—I think so. 68. I understand they have a system under which once a week their customers are waited upon throughout the northern towns of England and Scotland. I saw the books, and noticed the letters and telegrams coming in. The question, however, is whether, if it were kept in store in New Zealand, the meat would not get flavourless, and if kept in store at Home would it not affect the market ?—I have heard that a large amount of meat coming from the stores, if kept there for any time, is flavourless. I never touch frozen meat myself. I am only too glad to get a little bit of New Zealand mutton when I can, but the majority of Australians will not touch frozen meat if they can get fresh. 69. The Chairman.] There has not been much Southdown stock sent to the Argentine, has there? —No; but during the last three years, I understand, they have altered that. 70. Does not your experience show that a Southdown cross produces the best carcase ?—Yes, a long way. 71. Do you know any reason why they do not use the Southdown strain ?—I think it is probable they do now. 72. Would you suggest the propriety of adopting the same system of having English professional butchers going through our works here ?—Distinctly so. I think we want to cater for the taste of the buyer. 73. You strongly urge the adoption of Mr. Chamberlain's policy ?—I do, very strongly. 74. Are you of opinion that Great Britain's dependencies could supply her with all the mutton she requires ?—I believe that in a very few years they could. I believe the very institution of this preferential tariff will put hundreds of thousands of acres under cultivation which it will not pay now to cultivate. 75. Do you think that internal competition in the colonies would not raise the price very much to the consumer at Home ? —I think the raising of prices would be infinitesimal. Threepence per bushel on wheat and its effect on the loaf would be nothing as compared with Argentine competition, and yet it means a very large revenue and a large support to the colony. 76. You think that the future prosperity of the colonies largely depends upon the adoption of Mr. Chamberlain's scheme ? —I do. 77. I gather from you that you think the ultimate fate of the colonies will be serious unless we have such a scheme adopted ? —I think it is either that or we must face a lessened cost of production, which means longer hours of work and lower wages. 78. Do you think the Argentine mutton is displacing New Zealand mutton to any great extent in the south of England ? —I do not think it has yet, because there is not a sufficient amount of high-class mutton to do that; but I believe in the next few years, with the increased number of works that are being erected in the Argentine, you are going to feel the difference. 79. Perhaps you have noticed it stated that they expect soon to send a million lambs a year from the Argentine to England : do you think that is probable?— Mr. John Cooke's opinion is that they can do it very easily. I have seen his private letters to Australia in which he says they could easily do that. 80. You also consider that the output from the Argentine to England may increase from about 2,600,000 now, in the course of a few years to 8,000,000 or 9,000,000 ?—Yes. 81. What do you think about the power of England absorbing that large quantity?—l consider that the man who can put down the best goods at the lowest price can swamp all the others. 82. Do you think that if that quantity were available and was sent to England it could be used there ?—They could do it possibly by shutting out a lot of American meat, and also your meat. 83. But could they not use it in addition to what America and we are sending?—-Very possibly they could. I believe there is a very big increase before the trade amongst the poorer classes of people if they could get it. 84. Do I understand you to say that you consider that if this large quantity went to England, it would mean the displacement of some of our meat ?—Not now that they have stopped the importation of live-stock from the Argentine. 85. Does a similar quantity not go in in another form—in chilled and frozen ?—Yes; it will all go in in that form. 3—L 10a.

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