WHEAT DEAL EXPLAINED

Chronicle (Levin), 9 October 1946, Page 5

WHEAT DEAL EXPLAINED

-Press Association

By Telegraph-

WELLINGTON, Oct. 8. In the House of Represeutatives, Mr. C. G. Harker (Waipawa) in an'urgent question to the Minister of Industries and Commerce, asked if the, Government had made any iinal arrangement with the Government of Australia, defmitely acknowledged by the latter Government, for the purchase of wheat for 1947/48/49, at a price not to exceed 5s 9d per bushel, and if so, what was the quantity to be supplied. Hoii; D. G. ttullivan replied that the nnderstanding reached with the Australian Goyernment on Deceniber I9th, 1945, was tliat, subject to conflrmation by January 20, 1946, by the New Zealand Government, the Australian Government would supply New Zealand with 4,500,000 bushels of wheat at 9s Od per bushel f.o.b., sac.ks extra, and requirements for tlie following. four years at a price to be negotiated but which was not to exceed 5s 9d per liushel f.o.b., with the possibility that the price might be lower th^n 5s 9d. The Australian Government was advised that New Zealand 's requirements for the flve years 1946/50 were estimated at 18,000,000 bushels. Acceptance of this offer was cabled to the Australian Government1 on January 26, 1946. The Minister said no acknowtedgment of the eable was expected or consideFed necessary as it was merely the acceptance of the arrangement made with Mr. Scully in Australia. That the arrangement was in foree and was being operated upon by the Australian Government, was evideneed by the fact that sliipments of wheat had been and still were coming forward at tlie prie'e arranged. No word was received from the Australian Govern- . ment tliat the slightly delayed aceepitance voided the contraet.