Contributory Wool Charge Explianed

Chronicle (Levin), 18 June 1948, Page 7

Contributory Wool Charge Explianed

Press Associationj

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1 ;j - ; WELLINGTON, June I7> .' [ ::The 5 pet ^ cent. "contributory charge •on. wool /Which iwas. supjported by the Zealand -Wboi "Board was not used •for the biiyiiig of wool as;Was commonly ;th.ought,.* said Mr. A. Briscoe Moore Jat a nieeting; of the . i)ominion Aleat ^and Wool". CJouncil' of the Fodcrated iFarmers. The charge less the Board's ilevy. of 2a a' baie was for the specific. ipurpose of m^eting. the -growers' halt ishare iri the .drsposal of surplus.. wooi |a|oyka. •*' •. \ ' • 'y Eor the first year. the eontributory •charge had been fixed at 7} per ccnt., he said, but as a result of the surpius whiuh had accumulated, approximately .£I,125,0QU, it- had been. roduced to o -per' cenL- * tioJhpict'ev eontrol of the thohey. was now vested in the Wool Board' hA txustecs for the growers. Wool p'rices.hhd remained at u high lev'el ;an,d it.was probable that the surpl.Us for the past year woold be aboul '£1 ,W)U,OOp. ' The future of wool, however, was so uncertain that it was considered -tlie wiscst po.iicy to retain Ihe preso'nt 'substantial levv. • N Another reaSo'n fbr a .levy of such ian ninount . w'asVth'at' if wpdl prices foll : f he: ' 4-oin t "O r gaiji^ation woiild have to ibu|/.in^re"aae^t'qu'antitie'si; These have to '.bpy;stdred'yin-tNew-- Zealand at .an in>csreiLse>4 c.qstJ-thejep;y th't«wing"a heavier liburde.n' ~'6d' ' t'M Tunds.'at the disposal of ' ti'i e. Y&H yj ; '13 fspdsal • Cprhmi ssion. Funds wojaid^Jaisb/^ey req.uir.ed 'for the ppst-dis- . pqsal cjfiaif ." /ilMfe''- .c6"tt'tribntory . . t'harge -;.was' .'itie.^ ifor 'T^dper ating exp enses. ' ohly jma'lpvm iiali • vshare' .of ■ those ip'xpehsejj,' s^idpMiGM' Al ooye. •- • ;:i /• v.f - .firf'tf->ni^tA- (Ife grq\yijugL'..demand ' for «ti£(3 publt-.: ini'en.tioti of tlie A'ew . Ihe present : I6vy- fid va'-balp. .The tnlyrease. w.bpid'.:iiqtfhreUh' that- the grower would ha"ve r .ahy''> iiier'eas'ed deductions fr.yEd;:-iiis'^e.count- saies. -it was said that tlie ; Wqof Lispp^aT' Gdni'mission w.oui o payfthe ^Bpafd -aylarger" stim In accor'd-apc'e-;'w-i,th ' -the quantify of' wool sold. 4\KeD:ey jr cjame . fr'oih "grdwers through •,i *. TJip- Boa,rd 's present levy was 2s a yd a bag, :sax.u AirV '•Moof e,' biut the rate ' fixed ' at pr-C-

seh t ' h hd reat)hed ' ntaximuni wh icli • t;bifld. *be struck t.'UlfdcV. fth.e wool -levy. fegiiia(ions.'; ' . ATodiltihg' expcnses, ,IargMYfMuef't6!-the.4.expiin.sioji.. of thc •'wdrk df -'ithe, In.t(trne.tionhi • Wool JSecretafiht- tpgethqiv- with thc increased Wofk. being X-&rr?e.d? out in New 'Zealand, -had' eaused-The Board-'-'s decision that aif. -increhsed'.le.vy-- for next year was neudasa'ry.' •- It ,was .thc ' bpiuion of tlie )Boafd'-;-that the un'axiiniini ;rates should •b'e int.-reased • fo. ps'aybaley 2/6 a fadge, andAlGd' a ba'g. Tlfc inimediale .amount -pfo'posed/ h.dwpver,--; wns nierely- ah in-y.rea-soxbir the; basig of- 6d'e balc. BtiHn-gifhe waf y'ears thc Sec'retariat ; hadyspeht approximately- £50,000, ycarJyyAaid'Mr; Moofd.'The exj/hnditure liad riow. .int-jreasfedf-t'o -niOTe than £1500,000 . MOrliiig'qf whft'h the B'bard 's sliare was . ;q,S6,ut-.£o8',00p slcrltng com.pared- with •thc- 19-45 figufe- bf £J 0,000.. The growAhg,- expehdituYc by (he vSecretariat was . f'ufly- . jubtified by' the opening up ot . new' raafke'ts.'aiitl'.added. research prograntiue.j We. will be willing to discus? - nn-^ fuT.thet ihcreasC • .with producers' bfgaiiisatiops- bef ore. putting it into . heJsaid;':t;; ' •' ' - ? '