NOT ACCOUNTED FOR IN MEAT PRICES

Chronicle (Levin), 11 October 1947, Page 3

NOT ACCOUNTED FOR IN MEAT PRICES

WELLINGTON, Oct. 10. The (lecision of the Goyerument to withdraw the subsidy covering 100 miles free railage of liiue, would be received with regret by faime.s tliroughout tlie Bomiuion, said the chairman of the New Zealand Meat Froducers' Board, Mr. G, H. Grigg, todav. "iu negotiating with the Goverument, the" board was of^opinion that, in view oi' lts loug-standing of approxiinately 50 years, the subsidy should be retained. L'onsequently tliis item was not takou iuto accouut when negotiating the opening schedule meat prices. In view of the Govenunent 's dccisiou it will be necessary for flie board to negotiate a furtlier increa.e iu tlie opening meat schedule prices to compcusate farmers for the iucreased cost as this subsidy was included in the build-up oi' costs used in our negotiations for the bullc purchase contracts with the United Kingdom. It has for some tini e past, been a charge to ,tlie meat iudustry stabilisatiou accouut. 11 au iucreased price is granted by the Goverument, the positio'n of the accouut will rernain as bti'ore, tlie only uiH'erence being tluit paynicnt will be made on accouut of meht instead of as a subsidy. The eff'Oct on ' the farmer will be that the uselt of the coiumodity will now bear Ihe- full cosfc of lime instead of being subsidised' by' TarTiiers as a whoie."