SUBSIDY RENEWED

Bay of Plenty Beacon, Volume 5, Issue 60, 3 June 1942, Page 3

SUBSIDY RENEWED

BOBBY CALF PRICES IMPORTANCE OF SKINS "The general outlook justifies the opinion that in the current season values may net be much short of '-hose obtained last year," said; Mr VV r . A. Phil-lips, chairman, of tiie New Zealand Co-operative Pig Marketing Association, when referring to the hobby call' trade. Mr Phillips said that last season, to the end of February, a total; of 9-23,000 calves were killed at export works. Of these, approximately 837,000 qualified for the subsidy of 2/- per calf. The ccst of this was about £83,000. Owing to the export embargo on veal ttie total value of veal disposed of amounted to only £2700, which was - , retained- by the fioA-ernment as- an offset to the cost o'f the subsidy. During last season the calves killed cn the farm showed- a very substantial increase. This was attributable to an undcr-estimation of expected market valiies and was responsible for a considerable loss to those who adopted this practice. This factor was also responsible for the loss of 25,000 veils for the manufacture of rennet, cf which an increasing quantity was required to satisfy Britain's demand for addi- J tional cheese exports. I j American Prices For Skins "The Government," said Mr Phillips, "has. already agreed to renew last year's veal subsidy of 2/- on the same terms, and has indicated the possibility of a partial resumption of the export of this product. For skins ceiling prices have been fixed on the American continent, c.f which the New Zealand equivalent is helow the peak prices secured for last season's production. This development may also be reflected in correspondingly lower values offering by British tanners, who showed considerable interest in this market last season. The leather produced from this class of skin is l in strong demand for war purposes, and it is therefore hoped that every calf possible complying with accepted standards will be sent to the works this season, since skins taken from calves killed on the farm can only b<j: re-' alisecl at a substantial loss to the producer."