IMPROVED MARKET

Waikato Times, Volume 125, Issue 20954, 6 November 1939, Page 6

IMPROVED MARKET

SALE OF PIG MEAT HIGHER AVERAGE RETURN BRITAIN’S REQUISITION Commenting on the new conditions which will apply under the Imperial Government s requisition of all exportable surplus pig meat, Mr W. A. Phillips, chairman of directors of the New Zealand Co-operative Pig Marketing Association, Limited, said today that first in importance was the fact that compared with the average f.o.b. sterling price available to the trade for all classes and weights of pigs on a free market last year, the requisition price offered by the Imperial Government would enable a substantially higher return to be made to the producer. While there were several details affecting services as between the point of sale or f.o.b. to the Marketing Department by the trade which had yet to be decided, and until when a definite price could not be stated, it was now certain that except for weights over 1801 b the hooks price to the farmer on the most favourable current port works charges would not be less than 6d, with good prospects of a slight improvement on this figure. Question of Grading Next in importance was the question of grading. Owing to the basis of purchase by the Imperial Government having been fixed on a flat rate for all weights of prime quality exportable carcases from 60 to 1801 b, a similar basis of payment to the producer was now contemplated by export interests. The basis of sale to the Government rendered any other course difficult for adoption by these interests; but if the principle of preferential payment for quality, which had been the mainspring of the development of the Dominion’s baconer export trade, were discontinued, it would be a most retrograde step, and one which must seriously endanger the Dominion’s post war status quo on the English market. It was therefore to be hoped that the Marketing Department would at an early date find the means for the reinstatement and preservation of this principle. “1. would like to clarify the misunderstanding which has arisen through the sudden and unexpected change in the Imperial Government's attitude regarding the purchase of porkers of weights under 1001 b,” said Mr Phillips. “They have now agreed to find shipping space for a minimum quantity by weight of 25 per cent of our total exports in weights under 1001 b, and have fixed the minimum weight of carcases to be shipped at 601 b. This has greatly relieved the situation regarding the disposal of porker weights in the autumn months, and provided producers now make the fullest use of available food supplies to carry as many of their pigs as possible over 1001 b, no serious marketing difficulties need be expected in increasing their production to their economic maximum. “More especially will this be borne out in practice if between now and the end of February, when dairy production is past its peak months, farmers will use their utmost endeavours to reduce the numbers of pigs coming on to the market under 1001 b hooks weight.” Higher Price Level Mr Phillips said that on the more favourable price level which was now assured for the season, if the department could immediately make available from Australia supplementary food such as barley and pollard at a price to the farmer which would warrant its economic use, the outlook would be further improved; but in any case it would be a grave mistake for farmers to allow these speculative and obscure considerations to interfere with their normal farrowing practices towards a maximum production. “From December 1,” concluded Mr Phillips, “the British Government has found it necessary to ration bacon supplies to 4 ounces a person a week. The necessity for this should be our incentive to co-operate in every way possible to increase our exports of this important food requisite.”