FARMERS AND THE EXPORT TRADE.

King Country Chronicle, Volume I, Issue 29, 10 May 1907, Page 3

FARMERS AND THE EXPORT TRADE.

Sugges'ei Combination.

A representative mcttingiof farmers was held at Cambridge on Saturday iast, to meet Mr Jos. Barugh (chairman of the Auckland Farmers' Fret zing Company) and Mr Stringer (secretary to the company),in regard to proposals for combination among fanners respecting the export of stock. Mr. Martin Butler (president of the Farmers' Club) was voted '.o the chair. Mr. Barugh introduced the subject. He was pleased to infirm those present that the Farmers' Freezing Company had turned out more successfully than the most sanguine of the promoters had anticipated. (Loud applause.) In addition he had to say that Hellaby's people had worked loyally with them the company, and not against the farmers. (Applause.) Mr. Jas. Forrest: That means a dividend.

Mr. Barugh: I think so, although I can make no promise. Continuing, Mr Barugh said that during the year the company had put through 50,000 lambs, 2600 sheep, over 5000 head of cattle, 550 cows, etc. Altogether 4COO tons had been exported. They had also done very well in the matter of eggs, whichlkept very well indeed.. Instead of selling eggs at a low price, tHey had been kept 50 iper cent, higher. As for manures, they were not able to make very large quantities, as it required a thousand lambs from which to make a ton of manure. Altogether about 100 tons had been turned out at the works. The mixture had turned out well, several cases where farmers had used the manure being cited in support. It was proposed to keep their machinery running at its full capacity next year, and thereby increase their revenue. It was satisfactory to know that £26,000 worth of shares had been sold (independent of Hellaby's). Every call had been paid, with the exception of £3OO ; the shares for this latter had been allotted without the application fee being paid. In regard, to the matter of export of stock, a number of farmers had been shipping through the company, on the c.i.f. principle, with satisfactory results. Ordinarily the c.i.f. system was of no use to the average farmer, as he had not the quantity of stock. The great thing was to place a number of cattle on the London market at a fixed price. The company was in a position to command top prices, and they wanted the farmers of the province to participate in the benefits of the export. Co-operation was the order of the day, and it was desired to work up a thorough system. He suggested that a beginning could be made in the matter of combining for export of stock, by the various farmers' clubs and branches of the union starting a register, and recording therein the names of farmers willing to export their stock, and the price they were willing to accept. An almost immediate effect would be a better price on the Auckland market. The company had plenty of buyers for frozen beef up to Christmas, yet since then they could have got £1 Is per ioolb, which was in excess of that obtained in the Auckland market. He hop-, d the Cambridge and other farmers' clubs would form committees to consider the suggestion made, and see what could be done. To obviate the trouble of one man in the district sending inferior stock to that of his neighbours, he suggested that a selector should be appointed, whose duty would be to attend to the proper classification of stock intended for export. The company could, if necessary, send second-class stock Home as well, but " rejects" were disposed of locally. Fat cattle not suitable for export were also rejected. During the season the company had obtained for clients, under the c.i.f. system of trading, from 2ls to 23s 6d per hundred. Mr Stringer explained the c.i.f. system, saying it meant cost, insuranc, and' freight paid to London. The difference between meat sold c.i.f. and meat consigned, was that the latter had to stand all charges, whereas c.i.f. covered everything till the boat arrived in the Home docks, from whence charges were borne by the purchaser. The term c.i.f. had also been extended, and made to include exchange and the London man's commission. C.i.f. sales were always made subject to London arbitration, a system which, however, was not altogether satisfactory, The method of payment for beef so shipped was cash to the farmer on the beef being shipped, or payment could be obtained at time of killing, subject to a five per cent, charge. His estimate, after allowing all charges, was 19s 8d net per hundred to the farmer. Mr Stringer also explained several minor matters, such as deduction for shrinkage, etc. Mr Forrest suggested that the local farmers should erect a weighing machine at the public saleyards, and say they wanted so much for their beef. The trouble was farmers were greedy, and rushed a market, and if they sold before their neighbours they were well satisfied.

Mr Jas. Hooker added that white people were like the Maoris —they always wanted a little more than they were prepared to take. Mr Reynolds said steers at Boolb were about the right weight for export trade. The minimum might with advantage be reduced to between 6oolb and 7001b. Speaking on the matter of London arbitration, Mr Barugh said it was proposed to hold a conference of colonial freezing companies, with the object of getting the system abolished.

On the motion of the chairman, seconded by Mr Jno. Fisher, hearty votes of thanks were accorded to Messrs Barugh and Stringer.