WHEAT AND OFFAL

Press, Volume LXI, Issue 18365, 24 April 1925, Page 16

WHEAT AND OFFAL

PROGRESSIVE SHORTAGE.

PLAN TO INCREASE

PRODUCTION.

(PBESS ASSOCIATION TZLEGBAH.)

WELLINGTON, April 23

An important meeting was held in Wellington to-day between representatives of the Farmers' Union and of the flourmillers to discuss the Dominion's wheat requirements. The millers fear that unless >iew Zealand grows more grain tho milling industry cannot long survive; it is understood that they are prepared to guarantee a minimum price in order to place the industry on a sound basis. The Dominion requires between 8,000,000 and 9,000,000 bushels yearly. The estimated yield-for 1925 is a little 1 over 5,000,000 bushels, which represents a shortage of about 62,500 tons of flour and 25,000 tons of offal. The. reimposition of • the embargo on flour imports is being sought, as well as a fixed price to wheat-growers this year. ... . The . chairman (Mr "W. J. Poison) said an industry vital to the Dominion was faced with extinction, and other industries were imperilled unless they could arrive at some solution. There was an area in the South Island which was capable of growing sufficient wheat for the whole of New Zealand, andj that should- be used to the fulL Fortunately Australia had bad a bounteous harvest, but there would come a time when Australia would not be able to export. The public must be made to understand 'tlsat if it wanted bread at aiJl they must be prepared to pay for it. - ■ ' The Millers' Viewpoint; Mr F. R. Corson, on behalf of the flourmillers of New Zealand, said, that they could all agree that one of the main causes of the diminution of the wheat supply was the political cry of cheap bread. It was popular for political purposes, but it was of no use having cheap bread if there was to be no loaf. He had discussed the matter with the Minister of _ Agriculture several times, and had pointed out in 1913 that in case of a short production .in New Zealand and' a severe drought in Australia, thev woidd have to go to the Northern Hemisphere _for their supplies. Actaally that position had arisen during the war, and they had had to go to Canada. What would have happened if those ships with wheat on . board had been unable to reach New Zealand? There was another question bound up in the problem, and that was'the supply of bran arid pollard. Fanners of to-day were not relying on the production'of wheat as a means of living. It was not si, fair tiling that, the wheat-grower should supply the country with foodstuffs at a loss. He should receive a just compensation for his services. The assistance of the Government in protecting the market by an embargo against the importation __ of flour was necessary. Objection might be raised that once an embargo was'imposed, farmers could ask any price they liked for their .wheat, but the Government could guard against that by making the price to be charged a condition of the embargo. A general scheme should include, a. provision for monthly ihorements and a guarantee that the miller would purchase all the wheat offering before, say, the end of October in each year. To reach requirements, wheat production had to be doubled in one year. He did not think that could.be done, arid it would therefore be essential to import wheat from He urged -that the ~ Goyernhiont should be asked- to 6et up an Administrative Board to carry out the scheme.

*'A Deplorable Mr'.'W. W. Mjiiholiand- said he thought the idea of'giving a bonus would tend to encourage producers to keep production at a low ebb. He deprecated any introduction of feeling into-the matter.' The millers had come to Wellington for a business discussion. It waU no.use suggesting that the ■wheat producers were endeavouring to get'high prices. • Mr G. W. Leadley pointed out that if the. population'- of New Zealand increased as it was increasing at the present time, in -five years they would require ten million bushels of wheat to feed .the .people. In 1900 they were producing thirteen million bushels, hut since then they had gone down hill until they had reached the deplorable, position they were in to-day. They could and should he able to supply their own requirements. He also stated that they would grow wheat.. It was all a matter of-price. It did not very much matter to millers what they gave for their wheat so.long as .they got a commensurate' rate for their flour. They had been told that fthe world's parity must control the price, hut lie doubted if they knew what that involved. When ihey could only get six shillings for their wheat, was' it any wonder that the growers, would not produce wheat? The growers of wheat had a constant fight with Nature, and ver,y often had to bo satisfied with rvery much less than thirty-two bushels per acre. The milling industry was going to be in a better positM* than ever if they limit-ed-the. number of • mills and left oif encouraging farmers to grow wheat. The reduction in the price of wheat had had the effect of causing farmers to refuse to "grow wheat. He. warned them that farmers would not grow wheat unless they could get a satisfactory price. It was in their hands. Committee to Meet Minister. The chairman suggested that they should at once set up a committee to go into the whole question, the committee to include representatives of all sections. He suggested that there should he two representatives of the union. Two flour-millers, two representative wheat-growers, a poultry farmer and a representative of the dairy farmers and the Wheat Controller or his representative. Mr J. W. Collins, Secretary of the Department of Industries and Commerce, said the committee should meet at once. Mr-Nosworthy was willing.to meet the representatives of the meet-ingto-morrow. ■ -Th e chairman moved that the committee should meet this afternoon. The motion was seconded and carried with a provision that the committee should include a representative of the grain merchants a<nd also Mr Qinkhard of the Department.

IP FARMERS ARE PUSHED TOO FAR? A deputation waited upon Mr Xoswortliy and asked for the imposition of a- dumping duty or the reinforcement- of tho embargo on importation of flour. It was stated one of these measures was required to enable farmers to dispose of their wheat at a payable price and induce them to continue growing the cereal. It also was suggested that dumping from Australia had taken place. Mr Nosworthy denied that there had been dumping. * If it took place the diity would be imposed, and not before. He stated that if the millers pushed the farmers too far that not only the duty on wheat, but the. duty on flour would go, and not only wheat-growing but milling would have" to,go. Sufficient wheat should be, "but is not, grown for requirements. . From all parts of the North Island he was receiving telegrams asking for pollard and bran to be allowed into the Dominion."- - ■