SHOULD WAIRARAPA HAVE FREEZING WORKS?

Wairarapa Age, Volume XXXI, Issue 3039, 9 November 1908, Page 5

SHOULD WAIRARAPA HAVE FREEZING WORKS?

PROPOSITION BY MASTERTON FARMERS' UNION. ARGUMENTS FOR AND AGAINST. FAT STOCK SALES ADVOCATED. A meeting of the Masterton Branch of the New Zealand Farmers' Union wag held in the A. and P. Association rooms on Saturday afternoon in pursuance of a remit from the Maryborough Branch asking the Masterton Banch to appoint delegates to a conference to be held at a place and on a date to be fixed, at which the question of establishing a cooperative freezing company in Wairarapa will be discussed, or some other scheme whereby farmers can obtain a more satisfactory price for their fat stock. There were, present:— Messrs W. J. Welch (in in the chair),' G. Shaw, R. D. McKenzie, A. J. Percy, G. A. Bruce, A. Gray, R. F. Beetham, D. McGregor, jnr., J. Dagg and D. W. Foreman. The Chairman explained the objects of the meeting, and said that personally he thought it was a (bad j time to bring forward such a proposal. I Money was tight, and farmers would not care to be asked to invest in a large number of shares, a matter which would be necessary if the thing was going to be a success. About four years ago a similar agitation had been unsuccessful, but had it been pushed he believed it would have come to something. There was no doubt something of the,, kind was needed if only for the lamb trade, as it was very advisable *or lambs to go straight from their pastures to the works without any unnecessary time being spent on the roads and in trucking. The speaker was one of the delegates to the previous conference which met over matte*, when about seventy delegates were present from all parts of the district. The trouble then was to secure guarantees of stock, and he believed that would again be a trouble. There were buyers now going through the district paying cash for lambs, and if these buyers offered special inducements would farmers support their own works? It would be absolutely necessary for a successful company to be established that a large amount uf capital would have to be invested, and a large guarantee of stock would be required.

Mr McGregor said he entirely agreed with the Chairman in his opening remarks, and it would be found that when farmers had to go to the banks if they wished to support a freezing works they would be unable to give the proposal the support which would be necessary. What the speaker did think would be of use would be the encouragement of fat stock sales in the district, such as were held in other places where farmers could get belter value than they at present received for their fat stock. There were two companies now capable of dealing with the whole output of the district, and if a new works were established it meant a big interest which would have to come out of farmers' pockets. If bigger buyers could be induced to purchase on their own account, as in Canterbury, it would be better for th 2 farmers than the companies buying for themselves. Mr R. D. McKenzie said he could not agree with Mr McGregor that the present companies were able to deal with the whole output of the districts. It was well-known that large numbers of sheep were drafted from this district to Hawne's Bay and elsewhere. Presonally, he had had to hold his own stock on account of the block at the works. He strongly supported the establishing of works as farmers were not now receiving the price for their stock that was being paid in Canterbury and elsewhere.

Mr McGregor: "But do you think the present time is opportune?"

Mr McKenzie replied that that wculd be a question for the conference to decide. The movement in favour of a co-operative freezing works was one which was spreading. Mr Welch said he was afraid that by pushing the matter on in the present condition of the money market would be killing a golden opportunity, which might arise, say, twelve months hence. He felt sure it was almost impossible to carry forward such a scheme now. In Hawke's Bay, perhaps, they might be more enthusiastic than here. Mr Beetham said that of works which had been established at Woodville and Waipukurau at great expense, one was now a bacon factory and the other had also closed down. It was four years ago, when the block had occurred at the Wellington works, when there were certain improvements being made at the works, and the companies had to fill large contracts. The Wellington companies had made really extraordinary additions and improvements to their works. The speaker strongly supported the idea of establishing fat stock sales in the! Wairarapa. One depot for such sales eould be established in the south valley and another at Masterton. Certainly very surprising prices were received at Addington for stock. He really could not understand why such was the case.

MrMcKenzie: "They've got a cooperative freezing works there, that's why." t Mr Beetham: "Then the sooner we get one here the better, if that is the case." Continuing, Mr Beetham said that from his own observations he had found that it was butchers who paid these high prices, and they bought the best of the stock offered. Years ago the fat sock sale idea had been brought forward in the Wairarapa, and the speaker's father was one of those who had worked hard to make it a success. Yards had been established, but it seemed that the country was not then ready, and failure was the result. There were more small parcels of lambs ready to be drafted away now. Mr McGregor referred to the memo from the Martinborough Branch,and said that the meeting was undoubtedly favourable to the part which said that the conference would in the alternative to freezing works discuss some other means whereby farmers could get better prices for their stock. He moved that a delegate be appointed as requested. He i doubted him&elf if it was advisable

to establish works in the, district. Last season there were empty stands at the Wellington works, while as for southern works they gave farmers no better inducements than were given at Wellington. He thought the lamb trade was the one which needed attention, and this could be accomplished by the institution of fat stock sales, and what was more, the district needed to grow. Regarding the prices obtained at Canterbury, he thought the prices were not much better when the quality of the stock was the same. Tne sheep which brought such high prices were really first-class animals, equal to our show sheep. Then again the reason for higher prices at Addington couid in a measure be accounted for by the fact that there the yards were adjacent to the works, and the cost of transit was practically nil. He believed in sending the stock away in fine fettle, and when they were ready instead of sending them away all at one time and getting all one price.. A lot was heard about the amount the freezing companies were carrying to reserve, but when it was considered that there was always the chance of modern inventions rendering their plants obsolete, the companies were only observing ordinary safe business methods in doing as they were in this respect. Mr McKenzie seconded the motion. In regard to Mr McGregor's statement re sending away stock in fine fettle the speaker thought it was an open question whether c.i.f. buyers were not losers through sending away sto"k in too good condition, and it was a matter which could well be gone into.

Mr ,7. C. McKillop was strongly in favour of works being established. He thought that the companies should be given their dues, however, as farmers were not compelled to sell to the companies, but two other methods were open. The farmers could freeze on their own account or consign on "schedule rates." The gain to local farmers in the lesser damage inflicted on sheep in transit, and the general effect a works would have on local business were arguments adduced by the speaker in favour of works in Wairarapa. The cost of re-trucking manure to farmers was also a point advanced. Mr McKillop believed that if the farmers put their "shoulders to the wheel" they could make the thing a success. The motion was then put and carried. Mr Foreman said that he believed the blocking of stock was more often caused by insufficient rolling stock on the railways. The Chairman said there was undoubtedly a lot to be said on both sides. However, the conference could go further into the question. He moved that Mr McGregor be appointed delegate. Mr McGregor said he would rather see someone who was more enthusiastic over the matter of freezing works appointed, but after a short discussion agreed to accept the position. Mr McKenzie said that as far as the matter of fat stock sales were concerned he could not see how such would be a success. Only lately it was heard how several big buyers had gone out of the business through sustaining heavy losses.

After some further discussion the meeting closed.