FROZEN MEAT TRADE.

Wairarapa Age, Volume XXXII, Issue 10207, 7 April 1911, Page 5

FROZEN MEAT TRADE.

ADDRESS BY MR W. D. LYSNAR

SOME INTERESTING SIDELIGHTS

About forty settlers assembled in Murray's Hall, Masterton, yesterday afternoon, to hear an address by Mr W. D. Lysnar, Mayor of Gisborne, c . the question of the handling of frozen meat in the Old Country. The chair was occupied by Mr W. Perry, President of the Masterton A. and P. Association, who briefly introduced tho : pcaker. Mr Lysnar, in his opening remarks, stated that the question was a most important one. It affected, not only the frozen meat market, but butter, cheese, and all other forms of produce. He felt some difficulty in crystallising his remarks into small spac so that he could make the who'o position understood. For a long tiir> there had been dissatisfaction xo"f the producers of the Dominion at the condition of affairs that existed. Thi dissatisfaction had been expressed at the Conference held in Christehurch early last year. At the bottom of the dissatisfaction there must be some cause, and he and others had endeavoured to discover the cause, and to put it right. A New Zealand Committco had been set up. f>"d "i wou'd be allowed to stand in the way of reform. They had no desire to quarrel with the merchants or the freezing companies, but. they were determined to effect reform, and would allow nothing to impede it.

THE STUMBLING BLOCKS

Mr Lysnar proceeded to deal with the difficulties which luid been placed in the way of reform. The Hon. T. Mackenzie had emphasised' the fact that the difficulty they laboured under was not so much the astutencs or .dishonest action of the London merchants, as it was the ignorance of the producers. The disadvantage under which producers laboured was no new thing. It had been known for many years. Fifteen years ago, Mr Orbell chairman of the British-New Zealand Meat Company, made similar allegations to those which were beinrr rradr to-day. Mr D. J. Nathan, of Wellington, Mr V. .T. Shelton, of Gishorrc ■and Mr Vavasour, of Blenb<» ; m, had in turn drawn attention to the unsatisfactory position.

WHAT THE DOMINION IS LOSING

Mr Lysnar proceeded to explain the loss which is being sustained by Zealand producers through the farmhandling of their produce. It v": difficult to <av, he said, just hov mucr they were, losing—it was certainly over a million a year.

A CHALLENGE. The speaker alleged that New Zp." land meat was quite equal to English This statement had. been challenged but hj?. had rut up £lO to prove th-t when New Zealand lamb was thawed and cooked it could not' bo distinguished from English. This ehallenpv was not taken up. It was still open in London to-day. VISIT TO LONDON. Mr Lysnar described some of the things he had seen on the occasion of his recent visit to the Old Country. Things were so bad that had he taken the matter up alone he would not have been believed. After thinking the matter over, he drew up a written report, and submitted it to a committee of New Zealand producers in London, who appointed a committee to fully investigate the whole position. He was glad to say that when he called this committee there was a ready response, and he was given very valuable aid. He particularly valued the assistance of Mr Reece, who is the London director of the British New Zealand Meat Company,' and late of Christchrrrcli, and also Messrs L. H. McHardy, Wall, and Field. DAMAGE IN TRANSIT.

My Lysnar described at length the | damage arising through transit from • the docks to the stores through the 1 use of vans that are not insulated, by | exposure to the sun and rain. Mr Young, manager of Lloyds, the biggest ! of all insurance associations, had con- \ demned the present svstem of handling, and had stated that unless producers had it put right he would have to go on increasing the insurance; as * had been done in the past. The head I managers of the shipping companies . had acknowledged that matters were | unsatisfactory, and the Port of Lon- i don Authority, the greatest' in the I world, through its chairman, Lord i Devonport, had also acknowledged pre- | sent methods were unsatisfactory. TJn- , der these circumstances it was useless | for the head of a stray freezing com-1 pany in New Zealand to denounce the allegations as exaggerated. Meat at the present time was being sold in the Dominion by the producers for from lid to 4|d per lb for all classes. That meat was being retailed at Home fromg 5d to lid per lb, retail price. Naturally one asked the question, "Who gets the difference?" Producers knew they did not. It went to someone else. It was only right producers should get j some of it. He did not say they should j get the full retail price, but a reason- i able and fair proportion of it. The fact | was that a large proportion of New j Zealand meat was being sold in Eag- I land as,"Best English." That was j admitted by people in authority all ( through England. He had it in writ- ; ing from people in responsible posi- j tions. AN UNJUSTIFIED SLUMP, Over £1,000.000 is stated to have I been lost by the big slump of 1909. The records show that from April to August, which covered the period of the slump, there was a steady drop in New Zealand values to 2|d per lb, | while Scotch mutton, on the other | hand, rose to 7£d (wholesale). Our meat values were supposed to be pulled down because of the overstocking of meat supplies in London. Messrs Weddel and Go's report, however, showed that for the four months in question there was only 518,338 extra carcases imported into London from all sources, as compared with the corresponding four months of the preceding year. The following year there were 1,388 ,- 138 extra carcases imported for the same period, when there was no slump, but a very substantial rise. This, he said, was simply done to bear the market down. Had they had some stiffbacked men in London it would not have happened. The assertion-he affirmed by citing the action of Messrs Lovell and Christmas, importers of butter and cheese, who by their action in buying up all available stocks in London<; the market, and rn.aiu»

tained and actually caused the price of butter to rise. ECONOMY WANTED, ..^ Another matter lie wished to see improved was the excessive cost of handling at tho docks. One New Zealand ship inspected was employing 195 men. From eight to twelve days was occupied in discharging. What was the cost of that ? If there were proper facilities, such as the Committee suggested, tho shipping superintendent stated, the work could be done with. 30 men. The Committee suggested 50 to be on the safe side. And the work would bo done in less than half the time. How much of this excessive wages was passed on to the producer? The shipping companies were not philanthropists. There was also a total insufficiency of stores available for the frozen produce in London. Over a year ago New Zealand possessed storage capacity within a million carcases of London, notwithstanding that the Dominion was only storing for shipment, and that London was the meat market of the world.

Since 1906 producers have been paying more than twice what they should have been for storage in the cold stores in London. "Storage out of London was 10s per month, while London stores charged £1 0s 9d. How this camo about they found from Messrs Weddel and Co.'s report of 1906. Without a word to the producers, those ■who had to pay, the meat men had coolly raised the charge from 10s to £1 0s 9d, where it stood to-day. This represented a loss on the actual quantity shipped from New Zealand last year of £79,771. A SINGULAR CUSTOM.

Another unexplained thing was the fact that 2lbs weight was deducted from every mutton carcase and quarter of beef, and lib off every carcase of lamb. Not only did producers lose the freight and freezing charges on this, bnt they lost the meat itself. This, on a low basis of 5Jd per lb, was a loss last year of £174,600, making a -." total loss of £224,371 under the two heads mentioned, or in other words, it averaged out Is per head per sheep. That was a serious lo;s, to say nothing of losses under other heads. The deduction of the 21bs per carcase was simply a custom, a gift. WHAT IS REQUIRED. Coming down to the question of re-r-(-\lios, the.speaker stated that improvement in connection with the unloading of the ships, was practically assured, the Chairman cf the Port Authorities requiring an n-ri-ance, not a guarantee, that if <■!:=:■ improvements are made the trade willbe put through the new facilities. That producers required to be educated to the position of affairs in London was illustrated by the facts connected with the large wool stove, specially erected by the Authorities at the South-West India Dock, now filled with mahogany, the wool having been diverted by merchants and agents to other stores less suitable. Regarding the improvement of docking fac~ iliti«3 the Port Authorities- proposed to improve the South West India i Dock to enable it to take, much largier vessels, and the erection of a | large two-storey building, so designed I that frozen produce could, with.a stationary elevator, be conveyed out of the ships' holds into the sorting room.

The cold storage at Smithfield markets was only capable of holding 200,000 carcases, a mere nothing, in the hands of the large meat people. It required another storey and a proper system of overhead rails and switches to avoid the present method of carrying tons to 2000 tons of meat on men's shoulders each day. The third requirement wa% to do away with the 21bs deduction off the carcases, and if the- Smithfield authorities said the word it would be done. IMPROVEMENTS AUTHORISED. Since his return to New Zealand the SmithfieW Committee had applied to the Court of Common Council, in consequence of the Committee's report, for power to make improvements, and he was pleased to say the same had been granted and money sanctioned. The Port of London Authority had also received authority from its principal body to expend money on improving the port," and they had authority to spend upj to £4,000,000, with a. prospect of £14,000,000.. The only thing now for the producers of the Dominion was to understand the position, and that when the rort Authorities made their improvements, to see that they were taken advantage of. He hoped they would pass a resolution favourable to the Committee's recommendations, i and set up a. committee to see that jthe work was carried out on the imes recommended.

Emphasising the need for further storage accommodation for frozen meat, Mi- eysnar explained that if the meat arrived when the stores were full, it had to be put straight on to the market and disposed' of. DIFFICULTIES SUMMARISED. Continuing, the speaker explained that the difficulties were summarised under the following headings:— 1. The system of sorting th© produce in the hold of the ship instead of a goods shed is wrong. 2. The system of discharging the ship with only partly-covered' hatches from the weather is wrong. 3. The method of handling the meat in running it down shoots and loading into barges and trucks is unsatisfactory.

4. Most of the barges that are used to convey the meat from the ship up the Thames to the various delivering points are in an unfit state for the purpose.

5. The present method of taking the meat and dairy produce from the ship |o the Smithfield market and uptown stores is most unsatisfactory.

6. The method of carting the meat, from the barge or store on the riverbank to Smithfield market and to the railway stations for general distribution is most unsatisfactory and ex-

pensive,* I 7. The method of carrying the meat on a man's shoulder to and from the cart into Smithfield marketr is again, unsatisfactory and expensive,. . WHAT IS WANTED THIS END. I After dealing at considerable length, (ConH<-.\M m Page 6). I

(Continued from Page 5.) ' I with the various interviews he had < had in London, the processes adopted < in handling meat, etc., Mr Lysnar i < stated that what they wanted this 1 end was— (1) To do away entirely ; with slings and lift the meat by means of boxes; (2) To mark their meat with a leaden mark; (3) To discontinue the use of shoots; (4) To discontinue the putting of classification marks in bills of lading; (5) To regulate their ships so that they would arrive at London at stated in- } tervals; (6) To spread the shipments of meat over the whole year by storing a certain quantity at this end. MR W. G. FOSTER'S OPINION. At the conclusion of Mr Lysnar's speech, Mr W. G. Foster, Managing Director of tli3 Wellington Meat Export Company, stated that the object of Mr Lysnar and that of the Companies was identical. They all were desirous of securing an improvement in tli? trade conditions. TVlr Foster stated that, as a result of his investigations, he had come to the conclusion that there was room for improvement in the handling of meat. United , action was now being taken by the Companies in this direction. He had himself visited London, but could not say that he had discovered the same measure of damage as had been referred to by Mr Lysnar. At the same time he was convinced that the matter must be taken in hand. The Companies had decided to send a representative Home to take the very steps that had been indicated by Mr Lysnar, and the appointment was now all but made. It was more than likely that this representative would be willing to work in harmony with any representative the producers might appoint. He was not sorry to see. that a Producers' Committee was being set up. The dock arrangements in London were not what they ought to be. They must bear in mind, how- | ever, that London investors would not expend their money, unless they were sure of some return. In regard to the handling at this end, the whole matter was one of opinion. He did not agree that boxes should be substituted for slings, for the carcases would be damaged in the corners of the boxes. He did not think onere was much harm in shoots, so long as f grade was not severe. Concerning the question of marks, the Companies had been hammering at it for a long time. Farmers, however, wanted their own distinctive marks. He did not know how it was possible to provide for more regular shipments than at present. If they stored while they were freezing, the -storage capacity of their works would require to be doubled. And as for holding sheep, who was going to say whose sheep were to be kept back? He did not see how the Companies could decide. Many of the Companies had become speculative by force of circumstances, and the Company he represented was one of these. The producers would not ship on their own account. It was true that there had been certain faults in the slaughtering. This, however, was due entirely to the slaughtermen, and he did not see how it could be altered. Concerning the question of grading, meat was different to butter and cheese, in that it was.not manufactured. He questioned very much if a system of Government grading would be an improvement. Mr Reakes, the Chief Veterinarian, did not think it would. The Companies already had their own graders. He did not regard Government grading as desirable. He was not opposed to Mr Lysnar in his movement. On the contrary, ;there were many points upon which the Companies would join hands with him.

MR W. C. BUCHANAN. Mr W. C. Buchanan, M.P., endorsed the remarks of Mr Foster. He asked what cheek they would have upon a Government grader. A great deal of credit was due to Mr Lysnar, but his story was a very old one. Mr Buchanan described the results of his investigations in London as far back as 1892. One difficulty over the appointment of a representative by the producers was that most of the meat was sold to the Companies at .this end, and had passed out of the control of the producers. A representative of the producers, when he got to London, might be asked; "Who the —, are you?" "What have you to do with it?" and such questions. Not 10 per cent, of the meat belonged to the producer when it reached London. The objects of Mr Lysnar were good enough, but the difficulty was in getting the producer some working power. MR LYSNAAR IN REPLY,

Mr Lysnar replied at some length to the remarks of Messrs Foster and Buchanan. He stated that he was pleased and grateful to these gentle-

men for being present, and for expressing their views. Both had agreed with the principles he had enunciated. The only difference was

one of minor details. He pointed out that in April of last year the Companies had decided that tli2 time had not arrived for concerted action. They had now apparently altered their opinion, and he was pleaded they had done so. Mr Foster: I have been at it for six years. I think I'm as good a stayer as Air Lysnar. Mr Lysnar said they need not have any apprehensions about the dock. The London authorities would do it. He oxplaiiK-d the damage ho had seen to carcases at Home as the result of the use of shoots. The only way in which they could get their meat pooled was to appoint an independent Government grader. There was, he said, ample accommodation in the Dominion for all the carcases which would require to be stored. He wanted the producers to have the right of saying that their produce should be stored for a time at this end.

Mr Foster explained that clients of his Company had already the right to store, but they did not take advantage of it.

Mr Lysnar said this was news to him. He was glad to hear it. He pointed out that 63.8 par cent, o fthc output of the Gisborne works was shipped on owners' account, and he refused to believe that Gisborne owners were more self-reliant than those of the Wellington district. He would like to see Mr Foster produce official data. He hoped the Companies woidd treat them fair and square, and not identify themselves with those who did tricky things. Mr Foster: You must not judge others by your own bushel. Mr Lysnar replied that he had nev*er been guilty of a tricky act. THANKS. On the motion of the chairman., a hearty vote of thanks was accorde'd Mr Lysnar for his address. On the motion of Mr D. McGregor, seconded by Mr J. C. Cooper, (pro forma), it was decided, "That this meeting approves of the request of the New Zealand Committee for improved facilities being provided for the handling and marketing of New Zealand produce at the port of London and Sinithneld markets, and also approves of the suggestion to form a New Zealand Producers' Association."