FIGHTING THE MEAT TRUST.

Matamata Record, Volume II, Issue 75, 28 March 1918, Page 2

FIGHTING THE MEAT TRUST.

Nationalisation Suggested. At Saturday night’s meeting of the Morrinsville branch of the Farmers’ union the Auckland executive forwarded particulars of a scheme for the prevention of Meat Trusts proposed by Mr R. H. Johnston, president Master Butchers’ association. The proposal read : “ Government to commandeer all freezing works and abattoirs. The initial cost of same should not be great on the basis of valuation at last balance shoet, the Government paying shareholders the average percentage they have received in the last five years, and the full payment of works in ten years hence. “ The benefits derived from the scheme would he that there would he no dealing or sale of fat stock, there being only one buyer, therefore as soon as stock was ready it would go to the nearest works, and paid for at schedule hook prices, such prices being fixed by the general management. The whole seheme being really a mammoth Co-operative Trust with the Government at its head, the net profits accruing should be returned to grower pro rata on stock supplied, ensuring them even better prices than they are receiving now, and the working cost of Freezing Works should he infinitely less worked as one firm, instead of all the different Freezing companies competing against one another, with their numerous buyers, etc., to say nothing of the savin" to the grower of auctioneers’, buyers’, and dealers’ profits, commission, etc. “ Offices would be necessary in London to deal direct with retailor, cutting out at that end the numerous charges and the middle men, who at present are reaping the largest profits. If a sinking fund were established cf, say, 2s on beef,- 4d on sheep, lambs and pork, by the end of ten years, there would be enough capital in hand to pay for all present works. “It should be possible also with the amoufit of stock handled to run one’s own marine insurance which would be a considerable saving. The Government also would be able to supply butchers of the Dominion, at such pi'ices as would enable them to sell considerably less than at present, and could properly insist upon the price at which it should be sold, as they would bo then controlling the wholesale prices. “If the main point of this scheme were taken up, the Government commandeering all Freezing Works and Abattoirs, the necessary working and business details could soon bo put in shape by a conference of, say, a representative from each of the Freezing Works.” The chairman said many farmers thought it would be detrimental to their interests if competition was abolished. Mr McLacblan : Better finish the war first. The Government are taking over quite enough. Would it not be better if the farmers took over the works. Capt. Colbeek thought Government control was a dangerous experiment. Private individuals would look for new markets, the Government might not. The railways had not been such a brilliant success under Government control as to make him enthusiastic over the idea of the Government taking over the meat works. He thought it better do nothing with the proposal at present. Mr McLachlan said half the population were civil servants, if the Government took over the meat works the whole population would be civil servants. In his opinion the Meat Trust was as strong as the Government. The only solution rested in the farmers taking over the meat works. The chairman pointed out that there was the shipping problem to consider as well. Capt. Colbeek pointed out that Governments changed. The proposal was received.