EXPORTS OF MEAT

Manawatu Standard, Volume LIII, Issue 27, 29 December 1932, Page 10

EXPORTS OF MEAT

REDUCTION IN SUPPLIES. EXTENSION OF PERIOD. WELLINGTON, Dec 29. Mr David Jones, chairman of the New Zealand Meat Producers’ Board, in an interview stated that ho had receii ed the following cable from the board s London office:—

“Minister of Agriculture announced House of Commons that in order to maintain prices British Government fully realises necessity continuing voluntary emergency restrictions on meat and bacon imports, which will expire early in January.” Mr Jones stated that it was very portant that farmers should realise the definite intention of the British Government to maintain prices. Ho added that negotiaions are now proceeding, and the Meat Board is in close touch with its London office and expects to be in a position to make a statement within the next few days.

SAVING AN INDUSTRY

WHY RESTRICTION WAS MADE

The acceptance by New Zealand of Great Britain's request that exports of mutton and lamb to the L’nited Kingdom during November and December should Ire reduced by 10 per cent, as compared with shipments during the corresponding period of last year, was announced bv the Minister of Public Works, Rt. Hon. J. G. Coates, in a. statement made in the House of Representatives on November 9.

The cable message received vesterday by the Meat Board indicates at least the possibility of an extension, beyond the end of the year, of the operation of the reduction.

Speaking in the House of Commons on November 7, Major Elliot, the Minister of Agriculture, announced the emergency pla.n of the British Government to assist the agricultural industry. He did not- disguise his belief that the “crisis was as grave as had ever faced this country” or that the only unforgiveable thing would be inaction. He. therefore, briefly reviewed the importance of agriculture as a.n emploving and wealth producing industry. Unemployment in agriculture —an uninsured industry—meant a drift to the towns, and if that went on. not merely an industry, hut a life-giving indust’-y, would nerisli. Agriculture must lie saved. The national recognition of that fact explained the smooth acceptance of what amounted to a fiscal revolution. The nation had decided to save agriculture even at some possible risk to some other industries The object was to limit supplies. If they were to proreed bv duties, they would have to tax Dominion meat, and that would be contrary to the spirit of the Ottawa agreements. Supplies from all sources must he restricted, and that meant we had had to proceed bv negotiations with all our foreign customers with whom we bad made nr hoped to make commercial agreements. All had agreed to treat our restriction policy as an emergency policy. The River Plate importers bad agreed that morning to cut- imports of mutton and iamb bv 2 per cent, and chided beef bv 10 per cent. —to be raised to 20 per cent, later if necessary. The cuts would be applied at once. The Scandinavian countries had also been asked to make a cut of 20 per cent, in imports of bacon and hard. [A provisional agreement was reached with the ten principal bacon-exporting countries to reduce British bacon imports for two months beginning November 22. by 15.3 per cent. These exporting countries are Denmark, Poland, Holland, Sweden, Argentina, United States, Russia, Latvia, Lithuania and Esthonia.] Australia and New Zealand representatives were ready to co-operate, and their Governments would, it was thought, agree to a cut of 20 per cent, in imports of mutton and lamb. [A cut of 10 per cent, was agreed to.] These arrangements were to run experimentally for the next two months and ought "to put a bottom into the meat market. This would give the meat conference next year pracitcal results 10 go upon, and the long-term policy of the Government a oliance to get properly working. Of course, there was some risk in this attempt to control supplies; “but,” Major Elliot exclaimed, “you have asked for action. Hero it is.” The speech was well received by an audience which at once hurried into the lobbies to discuss it DRASTIC ACTION. “The action that is being taken by tho British Government with the object of immediately reducing meat supplies is evidence of tho serious position of the United Kingdom meat market,” said Air Coates, in announcing the 10 per cent. cut. “It is drastic action, and it affects New Zealand. The curtailment of supplies for the months of November and December is a matter which is outside the Ottawa agreement, under the terms of whiclr the regulation of foreign supplies of meat entering the United Kingdom is to be made effective for five years, commencing on January 1, 1933. “After consultation with tho Meat Producers’ Board, the Government is able to indicate that New Zealand shipments of frozen mutton and lamb for tho two final months of this year will not exceed the quantity now stipulated by the United Kingdom Government, namely, 10 per cent, below the quantities for the corresponding period last year.

“I* have no wish to deny or belittle the importance of tho new development. Our exports to the United Kingdom are to be ten per cent, less than thoy were in the two months November and December of last year. Against this there should bo an improvement in price over the present very low level. Already some improvement has been reported, which will be most welcome to producers.” As a matter of fact, New Zealand's shipments of frozen moat, particularly lamb and mutton, this season show much greater eductions than the 10 per cent, agreed upon with the British Government. Shipments last year were abnormally large, and for various reasons are not likely to be repeated on anything like the same scale this season.

During the period October 1 to December 15, killings of lamb for export showed a decrease of over 43J per cent., and killings of mutton a decrease of nearly 69 per cent., compared with those for the corresponding period of last year. The actual shipments during the period, October 1 to December 15 (practically the whole of which were to Britain), were 407,711 carcases of lamb (624.898 last year), and 234,748 carcases of mutton (305,024 last year). These represent reductions of 34.75 per cent, in lambs and 23 per cent. in mutton.