VERY few present day graziers know the Queensland Government was at one time the largest owner of pastoral property in the State.
Between 1916-1920 the Government bought 28 pastoral leases covering 7.7 million hectares or in those days 19.1 million acres, which carried 173,000 cattle.
By comparison Stanbroke at its height carried twice that number on 22 Queensland properties totalling 16.9 million hectares.
Towards the end of 1915 the newly elected Labor Government began to establish state owned trading businesses to take on the private monopolies with the aim of bringing cheaper food to the public. It was said they won the election with the slogan “Cheap Bread, Beef and Butter.”
The first to be established were butchers shops. In 1915 they appointed Charles Ross from Queensland Meat Export Co at Townsville to oversee the project. He had been the Chief War Victualling Imperial Meat Officer during the War when all meat was commandeered for the war effort.
The shops were opened along the coast mainly in Labor seats, from Ayr to Brisbane with one each in Charters Towers and Toowoomba. In all there were 72 shops and initially they were popular, profitable and served up to 2500 customers a day in Brisbane alone.
The decision was then made to purchase cattle properties to supply the shops and the Government appointed Alexander McGurgan as General Manager. Between 1916-1920 he purchased 28 properties at a cost of 1.5 million pounds. It was considered he paid too much and took ‘book numbers’ of stock, which of course was disastrous.
All went well until 1920 when world beef prices slumped and as only 6-per cent of the turnoff went to the butchers shops the businesses annually lost money. The State Stations turned off large mobs and in 1928-29 sold 19,000 mostly ox, for an average of six pounds 18 shillings and of those only 1100 went to the Shops.
Charles Ross was never a favourite of Caucus so he was sacked and the shops were placed under the control of the station management. As both stations and shops were losing money heavily Alexander McGuran resigned and in 1926 the Government decided to realise on its assets and sell both the stations and the shops at auction, but they didn’t reach their reserves. However six stations were sold in 1926-27 by private negotiations and another five pastoral leases were surrender to the lands department unstocked and the leases were sold on for the cost of the improvements.
There was a change of Government and in September 1929 the new regime gave the remaining pastoral leases to Dalgety’s, Primac, Australian Estates and A.M.L.& F. to sell at auction but only two sold as it was the start of the Great Depression. Over the following 12 months the remaining 15 leases were sold by private treaty. The State Stations returned a grand total of 510,464 pounds, a loss of 1.84 million pounds.
Most of the properties were sold on small deposits and easy terms. For instance Silver Plains at Cowen, sold unstocked to drover Herb Thompson for the value of the improvements. It cost him 554 pounds 10 shillings which he paid in instalments of 200 pounds in the first and second year and the balance of 150 pounds in the third.
Vanrook, Marcoroni, Stirling, Strathmore, Dotswood and Wandovale sold for 250,000 pounds on a cash deposit of 50,000 pounds, another 50,000 pounds within 12 months and the balance in 8-equal instalments at an interest rate of 6-per cent.
The most amazing statistics are the number of horses the properties carried. On June 30, 1929, the book numbers on the 15 stations were 133,454 cattle and 5400 horses. Merluna had 500 cattle and 710 horses; Dotswood 650 horses and the Vanrook group 1617 horses - and the State Stations never sold horses.
Some of the prices paid for the stations were amazing.
In 1916 Mount Hutton was purchased for 57,300 pounds with 10,000 cattle and the lease was surrendered and resold unstocked for 12,550 pounds..
The biggest loss was the Brooklyn and Maitland Downs aggregation which was purchased in 1916 for 228,000 pounds with 6000 cattle and sold in 1929 with 7000 cattle for 18,000 pounds.
Lyndhurst was purchased in 1918 for 170,000 pounds with 24,500 cattle and sold for 70,000 pounds with 13,500 cattle in 1929.
And Keroongooloo and Wallanderry bought in 1919 for 161,000 pounds with 12,000 head sold for 38,500 pounds with 4600 cattle.
I knew about the State Stations having sold Merluna and York Downs in 1954 for Fred Keppel to the Wallace Family, Butchers Hill, Cooktown, for 33,000 pounds. It was then over 3000 square miles and ran 7000 mostly cleanskins.