TRADING POLICY

Waikato Times, Volume 121, Issue 20257, 28 July 1937, Page 9

TRADING POLICY

NEW MEAT AGREEMENT.

ALLOCATION SATISFACTORY. (Special to Times.) WELLINGTON, Wednesday. In a reference to the new agreement vith Great Britain and the policy of the Home Government the annual report of the Meat Producers’ Board states: Following the resolution passed by the delegates attending the last annual meeting of the Board, the chairman and general manager of the Board accompanied the Hon. Walter Nash on his mission to London, and, along with the Board's London manager, were closely associated with the Minister of Finance in the discussions with the British Ministers and officials. As recently announced by the Government, an agreement has been concluded with the United Kingdom by which the' total allocation of imports 5f New Zealand mutton and lamb for .he calendar year 1937 has been fixed it 4,010,000 cwts. Thjs allocation must be considered as very satisfactory.

The agreement, first of all, provided for a basic allocation of 3,900,000 cwts. This was substantially in advance of the actual imports from New Zealand for the year 1936, which were 5,530,700 cwts. Provision had also oeen made in the agreement for a reduction of 3i per cent, in the basic allocation if prices of United Kingdom mutton and lamb for the first six months of 1937 fell appreciably below the level of the' two previous years. Such a reduction, if it had been made, would still have left the allocation at a figure in excess of last year's imports. Not only will the reduction not now apply, but, as stated above", the basic allocation has been increased by 110,000 cwts. bringing the total up to 4,010,000 cwts. Treaty With Argentine. A new treaty between the United Kingdom Government and the Argentine Government was signed in London on December 1, 1936, to come into force after ratification by both Governments. It is provided that the agreement shall remain in force until December 31, 1939, but will continue after that date unless six months’ notice of cancellation is given by either country.

The agreement provides that imports of chilled beef may be reduced on 1935 figures by not more than 2 per cent. In one year and not more than 5 per cent over the three year period. Frozen beef quarters and boned beef are maintained on the Ottawa level which represents a reduction of 35 per cent on “Ottawa year” quantities. There is also a quota imposed upon the' Argentine of 30,000 tons of canned beef which is practically the same as the quota for the year 1936.

Mutton and lamb Imports are continued at the Ottawa level for 1937, that is, 65 per cent, of “Ottawa year” figures: but are to be reduced a further 10 per cent, for 1938 off the present 65 per cent., which re/luces Ihe quantity for 1938 to 58i per cent, of “Ottawa standard year.”

The duty on Argentine' meat imported Into the United Kingdom is fixed at id per lb. on chijled beef and 2-3 d. per lb on frozen or salted beef and year, whilst boneless beef and veal and beef and veal offals are subject to a duty of 20 per cent, ad valorem. Canned meats which were subjected to a duty under the' Ottawa Agreement of 10 per cent are increased to 20 per cent ad valorem. Tinned tongues are 30 per cent ad valorem. Should the duty on chilled beef for six months be 17 J per cent or less of the value, then the duties on boneless beef and veal offals, and canned meat will he’ correspondingly reduced during the following six months.