WHEAT.

Press, Volume LXVI, Issue 20093, 24 November 1930, Page 12

WHEAT.

DEPRESSED PRICES, i STATEMENT BY CANADIAN i WHEAT POOL. i i'Kvc6iVCa v - -° ru ; p.m.) WINNIPEG, Xovember The Canadian Wheat Pool will release a statement to-morrow indicating the | national importance of the depressod ' grain prices. j The statement asserts tbat the rttu-' per aero of wheat iu Saskatchewan had declined 5S per cent, since 19*8 abnormally reducing the Western farmers' purchasing power. The present prices mean a big reduction in the value of wheat exports, which last fiscal year accounted j'or rj. third of the total Canadian exports. : A message from Portage hi Prairie t i Manitoba) states that Mr Burnefl j (president of the Manitoba Wheat Pool) assured th© Convention of United Farmers of Manitoba that tho Canadian Wheat L'ool was into liquidation unlets the lending banks withdraw their support. ll© states: "If the banks are not enough, the responsibility is on the Government. Whether "the banks or the Government want the responsibility, they will have to take it." l(c forecasted that there would be a. 100 per cent, pool, comprising all the ' prairie district?, should the present Canadian Wheat Poo! fail.

PLIGHT OF AUSTRALIAN GROWERS. CANBERRA, November il. Iti moving the adjournment of the House of Representatives to-day, Mr Stewart described the desperate plight of wheat-growers ill Australia, and asked the Government to come to their assistance with some l'orm of financial aid. lie said that the wheat price was less than two shillings per bushel net to the growers. lie expected that their aggregate Usses, if nothing was dono, would reach twenty million sterling. The motion ttus talked ov..

DEPRESSION IN COAL

INDUSTRY. owners suffering. In his presidential address to the annual meeting of the New Zealand Coalmine Owners' Association held in Wellington on Thursday, Mr W. D. Hoigate said that the coa! industry from the owners' point of view was anything but satisfactory. Moat of the mines were not paying chiefly because of the high coat of production, in spite of the introduction of improved plant and better handling methods. Also, mining' freights and distribution costs were far too high. The output of coal for the year 1929 was 2,616,099 tons, an increase of 741,527 tons over the output fcr IP2O. Against that increase there were la more mines working and 22 co-operative parties producing coal, with an additional 419 men employed since 1920. If all the mines were working full time they would be capable of a much larger increase in the output. It was, therefore, obvious that there were too many mines in operation to give a fair return on the amount of capital invested; yet there were other new companies ctbe point of commencing operations. Investment Legislation. "There is no doubt that the industry is being seriously affected by the socalled company promoter who imposes extra royalties over and above the royalties demanded by the owners of the property, or, in other casew, in cash ar.d paid-up shares," said Mr Holgate. "I nm t'nllv pnnyinfill th:it thr> timr* h:;s arrived when the Government should bring in legislation insisting on all coalmining prospectuses being taxed in order to protect the investing public. The Government should also refuse to issue any further licenses to mine con! until it is satisfied there is room for additional companies to operate without serious loss."

Mr Holgate said the >«'e\v Zealand coal industry was also seriously affected by the reduced cost of producing New South Wales coal —lo%ver wages, State subsidy, rpduced railway freights, and other concessions, which enabled New South Wales coal to be dumped into New Zealand at a reduction in Belling price of over 5s a ton. Representations had been made to the Government to protect the industry, at least to the extent of the Commonwealth or State subsidy, but so far nothing had been done in that direction. That fact, together wtih hydro-electric power and over-production, was the chief cause of the industry being in a depressed state. Lower Wages Necessary. Speaking of conditions generally, Mr Holgate said New Zealand had reached a stage where, unles3 an economic adjustment of expenditure was at once adopted, our exports would not be enough to pay our overseas indebtedness with regard to loans and imports. The remedy did not lie with increased production or with excessive taxation, but by lowering the cost of production. That could be done, first, b.y reducing Government administration expenses, which were abnormally high for a country with New Zealand's population. Second, expenditure should be cut down in avenues which affected labourleast, including municipal activities- | Third. WMges should bo lowered r.IT ' round. As the prices of necessities had already dropped and rents were 40 per ! cent, lower, a decrease in the cost of | living v.-ould naturall" follow. Earlier in his address, Mr Holgate i had mentioned that new agreements had ! been entered into with the district ! miners' unions.on practically the same terms and. conditions as in th.o agre' ments ending in April last. "Many of the companies were under the .impression. that we should have insisted on a aubstantial reduction in union rates and wages gene-ally," said Mr Holgate. "However, after long conferences in each district, the unions obtained an agreement as stated for another two vears. It is now very obvious that if "the coal companies are to c 'iuuo workin" wages and the cost of production must be con jrably reduced, as both the Government and the public are iufcistin" on a reduction in the price of 1 eoal in keeping with all other products, the 'prices of which are much lower i than two years ago.