FROZEN MEAT TRADE.

Taranaki Daily News, 8 April 1922, Page 12

FROZEN MEAT TRADE.

THE BRITISH MARKETS PAST YEAR REVIEWED. London, Feb. 17. Tn the 34th annual review of the frozen meat trade, issued this afternoon by Messrs, W. Weddel and Co., will be found many interesting statements not the least important being the in-formation that importations of frozen and chilled meat during 1921 exceeded all previous records. Excluding live stock and fresh chilled meat, which amounted to 26,330 tons, no less than 917,414 tons of beef, mutton, and lamb were imported into the United Kingdom last year as compared with 810,415 tons in 1920 —a remarkable increase of well over 100,000 tons. With a Home production estimated at 1,056,400 tons, 47 per cent, of the total consumption was imported. “Any bias against imported meat, which may have existed before the war,” state Messrs. Weddel, “has been removed under the stress of these past seven years of world-wide unrest; and in view of the increased and still growing dependence of our people upon overseas sources of supply -for their daily food,- they cannot now afford to indulge any lingering prejudices on the subject, even if they so desired. Ten years ago little more than one-third of our meat supply was imported; today the proportion is practically onehalf.” New Zealand alone furnished the United Kingdom with fuljy as many carcases of mutton and lamb as were supplied by the flocks of the Old Country.

1921 IN RETROSPECT. A year ago the view was expressed that “the world-wide tendency of food prices to recede to lower levels was not likely to be resisted for long in the case of meat.” It was not; but the extent and the severity of the collapse that took place in 1921 greatly exceeded anticipations. Messrs. Weddel say the year was a disastrous one for most traders; and there is already a universal desire to forget its bitter experiences, even if its hard lessons cannot be ignored. The maximum price of 9d per lb for mutton which had ruled during the greater part of the previous year was maintained by the Government until control came oil on March 29. But after the end of February only small sheep of primest quality realised 4-hat figure, the plentiful supplies available compelling sellers to accept lower prices for heavy-weights and secondary descriptions. New season’s New Zealand mutton remained in comparatively short supply, with top prices firm at BAd to 9d, until the middle of September', when the market was suddenly flooded with supplies of both imported and home-grown mutton. A very rapid decline set in, continuing until the middle of December, the year closing with a better enquiry and prices £d above the lowest, at 6|d per lb.

NEW ZEALAND LAMB FROM AMERICA. When the year opened, prime qualities of lamb were ext.cmely scarce, and, though intrinsically worth a good deal more than the max'imum price of Is Id per lb fixed for old stocks, could not be sold for more, under control. Meantime the arrival of heavy shipments of New Zealand lambs, transhipped from the States, introduced an element of weakness into the market, and values had given way somewhat before control came off at the end of March. Nevertheless, the new season’s lambs, commencing to arrive in April, at once met with a keen enquiry, as much as Is IJd to Is 2d per lb being realised until the end of July. The protracted discharge of steamers kept the market bare of supplies during the summer months and thus postponed the inevitable fall in prices. But when the bulk of the lambs from the Dominion did reach the market, in August and September, the home supplies were also coming to hand freely, and an unprecedented and continuous slump set in. Prices of New Zealand description dropped rapidly from Is Ijjd to 7i}d per lb, and South American from Is to s£d, between the middle of August and the middle of December.

INDIFFERENT BEEF. When the new season's beef began to arrive from New Zealand and Australia in March, sales were hampered by the heavy supplies of old season’s stocks, which were a drug on the market, and, as these conditions prevailed throughout the remainder of the year, comparatively little was sold. Unfortunately (say Messrs. Weddel) tne grading and dressing of Australian and New Zealand beef had been allowed to become lax under Government purchasing, and the appearance of indifferent quarters in the test grades of the new season's beef militated against its sale in competition w’ith prime Argentine beef.

FREIGHTS AND SHIPPING. British refrigerated steamers number 280, with a capacity of 59,970,500 cubic feet, or about 600,000 tons of meat, as compared with 272 steamers a year ago with a capacity of 500.000 tons. At the end of the year 35 steamers were under construction, which, when completed, will add 7,781,000 cubic feet of refrigerated tonnage. The past year, runs the report, was probably one of the most difficult ever experienced by shipowners. Nevertheless, a weakening of the freight market had become evident soon after the Government control of refrigerated tonnage was lifted on April 30, but it was December before any material reduction in Australian and New Zealand freights came into operation. The current rates of freight per lb on frozen meat now are:

These quotations bring out very clearly the extent of the handicap under which Australian and New Zealand shippers labor in competition with South American shippers. Before the war, the corresponding rates were less I than half as much all round, so that I the actual handicap per lb on the weight of meat imported, is much greater than it was in 1913-14, say 3-8 d to %d per lb now, as against l-8d to Jd per lb then. PROSPECTS FOR 1922. With the probability of less abundant supplies in aggregate at home and [from overseas, the position would be i aatirely favorable for sellers, were it

not that an increased proportion of the world’s output of beef may have to seek a market in this country, for lack of Continental outlets. A dull general trade must have some restrictive effect upon the consumptive demand going again, unless prices generally were to advance materially. If the popular taste could be diverted for a time from mutton and lamb, which are scarce and not likely to become over-plentiful, to beef (of which there are large stocks that could be quickly replenished) it would be an advantage to all concerned. While some recovery •from the exaggerated depression in values established toward the close of 1921, is almost certain to be made, the average level of the past year is not likely to be approached, except temporarily. The general tendency must be toward re-establishing the popular prices of 1913. Working costs at all stage- must, be brought down furtlr>r if producers are to be tempted to send to this market the increased shipments so necessary to keep prices at a moderate level.

Frozen Chilled Mutton. Lamb. Beef. Beef. Australia . . l%d l%d. l%d — New Zealand l%d 1%<1* l%d* — River Plate Id Id Id Idt Brazil — — Id — Patagonia. . 1'Jd IJd — — * Plus 2A per cent. $ Plus 15 per cent.