FARMING IN 1926.

Press, Volume LXII, Issue 18888, 31 December 1926, Page 6

FARMING IN 1926.

A REVIEW

IRREGULAR SEASON. The year just closing has been notable for a, good deal of irregularity, cIU rnatically as well as in the matter of prices. Most of the products of the ar&ble farmer were subjected to sudden arid rather extreme variations in value, as also did those of the dairyman, but pistoral products preserved a fairly even level.

Meteorological Tlie season, though variable, has been a good one for all classes of production. Indeed, up to the last few weeks it would have been termed exceptionally favourable. However, December has recorded an abnormal amount oi rain, the effects of which have yet to be seen. The autumn was dry and entirely favourable for the cultivation of the land and the sowing of cereals. Useful showers stimulated a good germination, and brought the crops along in excellent order until the spring, when a dry spell set in, but November and December produced unusually heavy rains, and the result may be thepromotion of fungoid pests. In 1925, which was an abnormal year for rain, the total recorded at The Press Office was 36Jin, of which the mouth of December was responsible for only half an inch. The present rear has recorded 21.12 in, of which no less than aim fell this month.

Wheat Crops, Thti market for last season s wheat was a highly satisfactory one. A free market prevailed, and values ruled on a. par with the cost of imported wheat. The result was that the bulk of it was sold at about 7s a bushel on trucks, the range Jbeing from 6s 3d to 7s 3d. The area, unfortunately, was one of the lowest on record, comprising only 151,000 acres, producing 4,617,041 bushels, the average yield per acre being 30.44 bushels. The area was seven thousand acres under the early estimate, and the final yield did not come up to the promise of the early threshings. The 1925-26 Crop. It is rarely that the province has promised such a bountiful harvest. The rain up to the middle of the month could not have been better or more beneficially distributed, on light as well as heavy lands, and if only minor illeffects develop from the downpours of the past week the earlier promise should be fulfilled. Prospective Return. The area sown in view of the protection afforded is somewhat disappointing, particularly when the favourable sowing season is considered. _On a 30-bushel average an area of 270,000 acres is required to provido the country's needs —eight million bushels —but the Government estimate, based upon the returns of cards issued to known wheat-growers, shows an area of only 222,000 acres. It is generally believed by those who make a practice of closely observing the conditions that this estimate is on the conservative side, and that as some growers are careless in the matter of returning the enquiry cards it is probable that another ten or twenty thousand acres may have been sown. However, taking the Government estimate as approximately correct, and the 1924-25 yield of 32.62 bushels to the acre as a basis—which the appearance of the crops justifies—the gross return will range about 7,200,000 bushels. Forward contracts have been made for the purchase of Australian wheat for both milling and poultry purposes, and as these, with the small stocks of wheat and flour on hand, would represent more than a million bushels, it would appear that an ample supply of wheat is in sight. But an aspect that should not be overlooked is that the millers arc tired of carrying over from one year to another with bare boards, and any possible surplus will be taken over to avoid this. Millers expressed the opinion some time ago that they could handle a ten million bushel crop, provided flour ana wheat were not imported.

Tho "Dumping" Question. At the moment the market is not very promising on account of the low price Deing quoted by Australia for flour, which averages about £3 » ton less than the domestic price. Ihis would be generally accepted as fanevidence of a policy of "clumping being practised, and wheat-growers have represented this aspect to the Minister concerned with primary production. Curiously enough, the Minister placed the onus of proving the existence of dumping on the growers. The latter, naturally, in view of the fact that power exists for preventing dumping, consider this a function of the Department, and not a private matter. The whole question of the official control of the importation of both flour and wheat —the latter of whioh comes in duty free for poultry purposes, but which it is not clear is solely devoted to that industry—is causing some unrest in local grain circles, and strong criticism of departi mental methods.

Before the local market was forced down by the Australian flour quotations a fair quantity of wheat was bought at 6s on trucks, but this price is not now available. Other Crops. Oats in 1925-26 aggregated 4,115,000 bushels, over li million bushels less than the preceding year. The crop was beyond requirements, and it was slowly marketed at moderate prices, Oats have practically ceased to be a major source of farm revenue, although there is always a certain demand for city needs ana racehorses, which makes it a not unimportant branch of activity near the centres. There is again a fairly large area in, and as the crops are exceptionally heavy another oversupply may be expected. Barley production in 1925-26 was 947,000 bushels, the largest since 192122. A good area is probable this coming season, as a fair acreage is being grown on contract with maltsters. Peas yielded a disappointingly poor crop, the gross return (including beans) being 287,775 bushels, compared with 410,682 the preceding year. The return was the lowest since 1917-18. An exceptionally good price ruled for export, which absorbed all the peas available, and the result is a heavier seeding this season.

Mechanical Power. ; As the tractor is closely allied with the question of the cost of wheat production reference to its notable increase on arable farms is not out of place. The tractor is now responsible for some big scale farming. The figures for the last few years are instructive. The number in use in the Dominion in 1021 was 380. and by 1924 the number had increased only to 012. In 1925 the figures doubled, being 1026, and in the rear just closed they practically aciin doubled, being 2020. The statistical year is to the end of January, and there is little doubt, from the sales recorded this year, that when the figures to tha end of the corning January are available, it will be found that there L*:; beer, another substantial increase. Live Stock. Tbo statistics recently issued show a continued increase in the sheep strength of the Dominion. The tota, eh*6i> tewied fti April 31st sraa

24,904,993, an increase of 357,038 on the preceding year, and the highest total since 1919, when the number recorded was 20,828,554. Canterbury's total was 4.711,837, as against 4,719,958 the preceding year, so the province's flocks have just- 3bout maintained their strength. The lambing returns disclose an increase, being the highest recorded for a number of years. Tho total for the Dominion is 11,794.699, an increase of 190,000 on 1925, The North Island is responsible for 6,329,338 of the total, and the South for 5,465,361, the respective percentages being 84.35 and 81.79. h. v.'fw of tho bad season on the East Coast of the North Island tho lambing is very aatisfactory, bub the probabilities are that the tailing figures will reduce the total somewhat, more than usual, The total number of cattle (including dairies) in the Dominion on April 3Ut "•as 3,452.486, approximately 50,000 less than (he preceding vear. Dairy cattle totalled 1.303,856, just on 20,000 less. I Wool 'The uool-growing season has been an excellent one. The regularity' of the autumn and winter rainfall was responsible for the growth of a good sound staple, of much more than usual brightness, and averaging quite a lb per fleece more in weight than the preceding year. To date about 130,000 bales of the annual clip of 500,000 have been disposed of at auction, a little over twothirds of the sales being in the North Island. No appreciation in last year's values was recorded—as a matter of fact prices were a shade lower—but the wool was moro freely bought and by a wider circle of operators. The market firmed after the first few auctions and an improvement of over a penny a. lb was averaged for the late December offerings. Generally there is a better tone than last year, and the evidences are that the stabilisation which has been so long coming about has, at last, arrived. The value of Canterbury wool has been estimated on current prices at £2O a bale, and for the 100,000 bales produced in the province this should mean approximately two millions of money. At an estimate of £lB a bale for the Dominion clip its half million bales should approximate nine million pounds in.value.

Frozen Meat. The lamb export season is scarcely opening as propitiously as it did last year. When the works resumed last January, 9Jd a lb was paid for 36's and under, heavies and seconds being 9d, 83d, and Bd. In April prime 36's were raised to lOd, second quality remained at 9d, and heavier were 7Jd to BJd. This disparity marked most of the season, though 10d a lb for prime light-weight was not maintained for more than a month. Generally the market was a sound and free one, and prices at Addington were, as a rule, up to, and at frequent sales in excess of, those quoted in the weekly schedule for export. The level of values, however, eased slightly over the final two months of the season, which was extended much longer than usual, on account of the excellent fattening conditions. The mutton export season of 1925-26 was a good one in the matter of price, averaging for wether from 6d to 6Jd for best quality, and from 3d to 4d for ewe, heavy weights being proportionately less. The opening prices, this season for lamb wore up to a penny per lb lower, the export schedules quoting BJd for 36's and under, 7Jd for 36-42's; and down to 7d for other grades. The lighter lambs sold at Addington up to 9d i this month, and other grades at a proportionate difference to last season. Criticism continues to be levelled at the wido disparity in the values of 361b lambs and over. Whilst it is recognised that the Old Country demand is for the light-weight milk lamb, there is a decided conviction that the craze in this respect is destined to have a detrimental effect on the quality and eventually, therefore, on the reputation of the New Zealand product. It is only a proportion of "prime" milk lambs that can be got, away off the mother at under 361b weight, and on the other hand the great bulk of five and six month old rape fattened lambs can be little better than stores if they have to come under that limitation of weight. The result may mean that to meet the peculiar Home demand the efforts of fatteners will bo directed towards producing a half-finished article. This is the sure way to bring about the loss of the reputation that this country has established over so many years of effort. A differentiation in favour of the light lamb is recognised as unavoidable, but tho preference is carried too far.' ' Very little'buying of mutton for.export has taken place so far this season, but the little there has been ranges from 4id to 5d for wether, and about a penny less for ewe. The Local Market. Tho local meat market has not been so good as in the preceding year. The good fattening season was responsible for heavy supplies of mutton coming into Addington, and butchers were unable to handle the over supply. However, one of the export companies operated fairly extensively, and maintained values at a reasonable level. The market for beef was disappointing. The good feed season fattened off a much heavier proportion than usual of station cattle, and these, combined with heavier entries from the south, and increased numbers of discarded dairy cows, served to glut the market for a considerable period of. the spring. Prices generally for prime medium weight beef have ranged from 35s to 45s per 1001b, heavier sorts several shillings lower. The notable feature of the beef position has been the great increase in local .consumption. On an average the weekly entries at Addington arc 25 per cent, heavier than two years ago. The bad season in tte North Island and the reduced prices locally restricting the movement of northern fat cattle to' Addington to negligible proportions. There is a good deal of observant opinion to the effect that the heavy inroads on cattle this year will result in diminished supplies of stores for fat- • tening this ensuing season with increased prices for the finished product. The Dairy Industry.

The dairyman's lot has been the most difficult of all this year. The happenings and their alleged causes are too recent to require more than the briefest mention here. The extraordinary drop in values placed dairymen in the most serious position they have yet been faced with, but fortunately the slump was ' comparatively short-lived. Many companies were compelled to reduce their monthly pay-outs to a shilling a lb butter fat, and on land that demanded a minimum return of Is 5d a lb to meet the cost of production the position while it lasted was fraught with much anxiety. Very substantial quantities of last season's stored butter were sold as low as 130s to 135s a cwt, and the losses made by factories, after meeting storage and other charges, can be better imagined than estimated. These losses will have to be refunded to agents and will have to come out of the present season's butter-fat, and will have a crippling effect on the finances of many companies, as well as individual suppliers. The market, fortunately, has recovered to a fair level, and as old stocks have been cleared a maintenance of steady values is anticipated. The Dairy Control Board commenced operating seriously during the year, and its policy has sf lit thos_e engaged ui the

industry into two strongly hostile camps. What other results are to follow rests with the future, but there is a strong section anticipating them with anything but optimism. Prospects. It. is only the superficial observer who anticipates a decided advance in the values of any of our staple products. Present appearances are that the most of tbem will be a shade lower than last season. In this category wheat and frozen mutton may bo included, whilst dairy produce lias suffered a rebuff that 'will make the average roturn lower than for a good few years. The possible exception is wool, which may firm slightly. On the brighter side is the fact that the season has been an exceptionally good one for growth, and heavier weights of produce will compensate to a considerable extent for the lighter values.