WELLINGTON NEWS

Hokitika Guardian, 7 December 1928, Page 3

WELLINGTON NEWS

“ key ” .MEAT WORKS. gSi’iiciAi, To The Guardian.] WELLINGTON. December 0. 'lhe Rrinio Minister, the Hon. .J. 0 ( n:,Les ’ ." ] "T b.v the time these lines PPs.ii in pi ini will most prohahlv be the ex-IVinio Minister, has ventured upon an explanation for the transfer of the slaughtering* license from the Wain gnwa -Meat Works to Rnrthwiok and Smi ' s ’ Lt<! -- while the slaughter'll, heense transfer from the Wellington •Mi.it Export ( oy. to the same linn was refused. M-r Coates lias declared that the two eases were not analagous ‘be Wellington Meat Cuvb works at Xgaharanga are very definite l.v one of the “key” works of tin Dominion, and by “ key ” he meant ■•nit the works are situated vc.rv Con veniontly |.„ the purl: of Wellington :i "d :| i a point where tin* main lines o la ansportat ion (-on verge from east (< west.

A more fatuous explanation 'of : ' olio I ace could not he imagined, and file lion. .J. (t. (dates is file laughing stock ell the people of Wellington winknow all about the matter and can 1,1:1 be a very shrewd guess why there has been such a remarkable change o' trout. 'I he explanation is foolish oi tin- lace o| if. lor the-works owned In the Wellington Meat Kxpurt Coy. air by the Gear Meal Works are not “key* works, but are freezing plants locate) where such works should he located fn economic reasons. That, the works an where f i'ansporfa I ion lines converge ft a point in their favour. In the Argentine, where the freezim industry is very highly developed, and which is (In' principal exporter o ! ' frozen meal, all the works are locatenear the waterfront. Inland workcan never he as economically operated as work's near the seaboard. Tin transfer of the Wellington Meat Ex port license was refused, or not recoin mended on the grounds of “ public policy.” and to understand lliai public policy it is necessary to go hack to the formation of the Meat Producers' Hoard.

At that time a good many of th< farmers were of the opinion that, it would he* detrimental to the interest.l- - the Dominion to allow the American Meat: Trust, to obtain a stranglehold on the meat trade of the country, and Argentina was cited in support ol the view. The Meet I’rod'leers’ Hoard w-s set up primarily to prevent foreign in i civs Is ac<|!iiring plants, or sctiiiig no new freezing plants in the country. The Hoard consented to the Poverty Hay Meat Works: being transferred in Vester tiros, and was able to advance 1 good reasons lor their action, whie was not. at variance with their so-called "“public policy.” \ esiev Hros alroad' possessed works in the. (list rirt which they undertook to demolish on aecpiir ing the Poverty Hay Works. 11l transfer of the license made no change in Lhe position. The Wellington Meat Kxpurt case was quite a different matter. In this case Messrs Rorlhvirk and Sons would have acquired additional works in the Dominion, and that was against, “pub lie policy” as laid down by the Meal Hoard. If was not t.lioiigbt desirable 1.0 allow iloreign interest lo acquire the works and so the t.raiisler was re 1 a sc l 'l. Another meat company, whose works in tin* country and not at the seaboard, was at lids time in urgent need of additional capital, and ecu Id have obtained C2o, ()()() or thereabouts from outside sources hut it is believed the Meal, Hoard intervened and prevented the company from accepting Hie money.

The policy for which flic Meat Hoard was established to carry out and tindeclared “public policy” ol the Hoard was to prevent outsiders acquiring further works in Lhe Commission so as to make if impossible lor any meat monopoly like the American .Meal Trust to operate in the Dominion. The Hoard’s policy Imd nothing to do with Hie location of the meat works whether near the seaboard or otherwise. still less to distinguish between “ key” works and other works, hut to prevent foreign capital from obtaining control of the country’s freezing works.

Allowing tile sale of the AYaingawa works to Horthwiek’s (Trust.) Ltd. is an absolute reversal of the “ public policy” of flic Al,oat Hoard. From the statement made by Air Coates it w< u!d appear that if Bovthwieks were allowed to acquire the Wellington Aleal Coy’s works, the “key’ works, they would have been a menace to the industry, hut in securing the AYaingawa Works they become lieiielactors to the Wairarnpa. It would appear also Urom the statement of Air Coates that Horthw.eks will confine their operations to t lie Wairarapa. which is nonsense. I wring secured the works the linn can buy their fat stock in an.v P«''t oi 11,0 country, just as the freezing companies do. The opinion is strongly_ hold >■> the Board has reversed its policy through political expediency.