MEAT AND SHIPPING PROBLEMS.

Kaipara and Waitemata Echo, 6 February 1919, Page 3

MEAT AND SHIPPING PROBLEMS.

HUNS OF FINANCE.

Hf<s TRUST MENACE

When the great octopus —the combined Meat and Shipping Trusts —had secured complete control of the pastoral industries of the United States, it turned its attention to the Argentine (says ¥r W. D. Lysnar in continuation of the statement published last week). This was in 1907, and the trusts have already got such a grip of the meat export trade of that country that to-day the American-owned portion of the Argentine trade is 70 per cent of fhe total, as against 21 per cent British and 9 per cent controlled by the native pastoralists. The first acquisition of freezing works in the Argentine by the American Beef Trust was by the purchase for £350,000 of a British-owned works,, the La Plata Cold Storage Company, in 1907 through a company controlled by Messrs Swift and Co. of Chicago ; and it is reported that in the following year an Argentine meat freezing company owned entirely by native pastoralists succumbed to an American offer of £340,000, and La Blanca Frigorefico passed into Messrs Armour's hands.

FREEZING FARMER AS WELL

AS MEAT.

From then on till 1911 there was keen competition between the meat speculators, when it was reported that an agreement had been come to between the operators. By this arrangement the total meat export from the Argentine was to be limited to a certain amount for a period of two years, each operator to be bound to limit his operations to a given percentage of the whole output. This naturally provided an easier regime for the freezing companies, but not tor the South American producer, who found his cattle prices dwindling as soon as the companies had arranged to limit the output of meat.

Later the British Government found it advisable, in order to secure the fullest control and check upon the South American meat industry, to lease and work upon its own account the Las Palmas works, which had been closed. This was not done without strong protest from the Meat Trust. In fact it is stated that this is not the only time that protests and threats have been made by the American meat companies in regard to the supply of the British market with the meat necessary for it.

BIG WAR. PROFITS

When the European war broke out, the rival companies, scenting profits, ceased their antagonism and pooled their interests under American leadership, concerning which the "Times of the Biver Plate " remarked : —" We understand that all the freezing companies have buried their differences and trade is apportioned out in certain percentages, the American firms having the lion's share. We, imagine that peace will rule until our Yankee friends consider they are entitled to a little bit more." The new monopoly resulted in a prompt rise of 50 per cent in meat prices, the Government weakly capitulating in the first instance and the market following after. From that time onwards the Argentine companies have prospered exceedingly. While on this point, Mr Lysnar remarked ' that it is very curious that the Food Prices Commission failed to discover these large profits, despite the fact that they were published in the last June num- .. her of " Cold Storage." Like other trusts, the combina-

tion of American meat companies has never deviated from the < policy of untiring efforts for the extinction o f free competition, effecting this either by overpowering soricertcd action in the food markjjjjftrby the acquisition a# high prf^s of opposing undertakings, The suriis spent by the American Meat Trust in this lavish purchase of rival works are calculated to tempt the unwary pastoralist or worksowner to surrender his birthright. %o that extent is trust policy a grave danger to individual and national interests. Such., is t^e menace of foreign capitalism #*at is now confronting tf»e meat producers Qf the British Impife, and many are questioning whether it is no* ' now tQQ tZ avert the danger. New Zealand is the latest ground chosen for the operations of the foreign capitalist. % [To be continued.!