WELLINGTON NEWS

Hokitika Guardian, 28 November 1927, Page 4

WELLINGTON NEWS

THE FREEZING INDUSTRY. (Special to “ Guardian WELLINGTON, Nor. 25. The balance sheets of many freezing companies lor the past season, wore circulated during the past lew weeks, ami generally they hare, with few exceptions, shown better results than in the past seasons. Recently there has been some prominence given to the rolusal of the .Meat Hoard to sanction the sale of the Waingawa Works near Masterton. to liortlnrick, and the Hoard has been serercly criticised by Mr Hegg. Chairman of the South Otago Meat Company. Further, prominence has been giren to the industry by the question asked by .Mr W. D. Lysnar. AI.P., in the House respecting the connection of outside interests in the Wellington Meat Export Company through local representatives. No doubt all these matters will be hotly discussed inside and outside the house, ill the meanwhile the industry must lie carried on. It is believed that all the freezing works in the North Island that intend operating this season have already commenced, except the Waingawa works, which will open presently. It is stated that six works in the North Island and probably one in the South Island will not operate this season. The North Hritish and Hawke’s Hay works, and the Otaihape works have been dismantled, also the works at Whakatane. The Horotin works in the Waikato, the Hicks Hay works, and the works at Kakariki near Feilding continue as complete units, but will not operate this season, at least that will be the case with the Hicks Hay and Kakariki works. The works in the Waikato will he operated to the extent required by dairying in the district. It is stated that it is not unlikely that one of the Southland works will suspend operations this season. The opinion in meat circles is that this season should show expansion because we will he working on larger flocks. According to the sheep returns for this year there wore 2d.040,(510 sheep and lajnbs in tin- Dominion, an increase for the year of 71 -1,0211. The flocks were at their lowest in 1922, when the number was 22,222,209, so that in live years there has been an increase of 3,247.307, which is decidedly satisfactory. The number of breeding ewes has increased from 11,009,075 in 1920 to 14.831,730 this year, and the per eentage of breeding ewes to the total flock is now 07;| per cent. This increase indicates that there will he an expansion in the export of lambs this season. The menace to the meat export trade so far as it affects prices is that owing to adverse climatic conditions in both Australia and the Argentine, considerable quantities of second grade mutton and lamb are being shipped to London from these countries, and it is understood that agents in New Zealand have been advised to be very careful not to forward second quality meat, especially lamb, which would be very difficult to sell. However. it is a satisfaction to know that owing to a mild winter the flocks have thriven, and therefore the percentage of first grade meat exported from New Zealand this season will be larger than usual. Buyers have been scouring the North Island district for sheep and lambs, and the competition promises to be exceptionally keen. This is all to the good from the point of view of the producers, but it is likely to hurt some of the co-operative freezing companies that rely on freezing for owners. Even those companies that buy in the open market will find the competition very injurious. Although many freezing works will not be operating this season, it is considered that there are still too many, and it is possible that some will be crippled and put out of the tight this season. It is understood that a new concern known as the New Zealand and English Meat Gov. lias been formed in the Wairnrnpa, and as the name implies, there is apparently Hritish capital in the concern, which is to engage in the export meat trade ol the Dominion.