COST OF LIVING.

Dominion, Volume 5, Issue 1482, 3 July 1912, Page 4

COST OF LIVING.

THE COMMISSION. . SITTINGS IN WELLINGTON, TWO WITNESSES. FRUIT EXPERT & FARMER. Tho If oval Commission appointed to inquire into tho cost of living commenced it 9 Wellington sitting yesterday morning. Tho Commissioners present were: Messrs. E. Tregenr (President), E. Ilall, J. Kobertson, M.P., A. Fairbairn, G. . Lenilloy, "\V. G, M'Donald, and Dr. Hight. Iu tlio morning tho Commission heard evidence from Air. W. A. Boucher (State Fruit Expert) and Mr. W. J. Birch (a liangilikei farmer). In tho afternoon it sat in committee. i MR. BOUCHER.

THE PRICE OP FRUIT. Jlr. Boucher, who'holds the position of Assistant-Stato Director of Orchards, Gardens, anil Apiaries, stated that tlie fruit industry had expanded considerably of lato years. In tho Nelson district last year over 100,000 trees had been planted. Tho greater portion of these were applo trees. The expansion at the present tirao was more particularly in apples, and the idea was to establish an extensive export trade. At tho present tirno fruit was altogether too liigh in value, 'l'ho principal trouble was that thero was too large a margin of dilt'crcnco between tho price paid to tlio grower and tho price paid bv tho consumer. Tho export trade coUld hardly increase tho price, which tho consumer paid; ; the figuro was about tho limit, iTor instance, take some of our markets, and ' the reason for sonio of tho high prices. If a ca-so of apples was bought i'or Bs., which was equal to 2 2-.id. per pound, it would probably bo retailed at the rato of 0(1. per pound. Thero were very few people in Mew Zealand who could afford to pay (id. per pound, so the result was that tho sale of "fruit was very restricted. What was wanted in New Zealand was an altogether different system of marketing. l'eoplo had to buy fruit in tho retail shops, and pay tho price marked. At that rato apples which were bought I for Ss. per easo were retailed for at least 16s. per case. Jlr. Tregear: Would you be surprised tc hear that wo havo had very littlo evidence of apples realising Bs. "We have had complaints from farmers that they have not realised nearly that much. Jlr. Boucher replied that he had a groat deal of mailer which would bcai out what ho had stated, and that ho wa; willing to pi aco this information at th( disposal of tho Commission. Mr. Tregear: It would bo very valuabl< evidence. Jlr. Bouclier, continuing, said tliat it ChristcUurch fruit was sold on a dift'er ent basis to that of somo of tbt other centres. In Christchurch, i 1 was sold by the pound; in other place: by the case. The standard weight of : caso was -101b. of fruit. In tho figure; ho was giving, ho wa9 stating tho valni of tins best fruit only. 1 Jlr. Tregear: Jfest of the farmers ar< realising the valuo of brands, I think. ' Jlr. Boucher: The majority of com plaints are not from commercial growers

but from formers who do not employ tho best methods.

Jtr. Trogcar: A farmer complained to U9 that the fruit of tho top layer is not a fair simple of that in tho whole ease. ', Mr. -Boucher answered that, unfortunately, that was so. It was tho caso chiciiy with tho small farmer who had a small quantity of fruit to dispose of, ami very littlo knowledge of the commercial sido of tho fruit business, and who was not carcful enough. To Cheapen Fruit. Mr. Boucher was then invited to inako a statement on tho subject. With regard to the prico paid for fruit to the grower, and tho price paid by tho consum&r, he said there was 110 doubt, to his mind, that tho high retail values wero restricting tho output, and ho wished to make ono or two suggestions which ho thought would enable tlio people of New Zealand to purchnso fruit in larger quantities at cheaper prices. The Prime Minister had proposed tlio introduction. of a system of sending fruit by post, and if this was carried out, it would mean bettor fruit at better prices. We wero already able to get our meat,

butter, and bread delivered nt our doors every day in, the week, but no elfort had been mado for a like delivery of fruit. The result'was that wo all purchased by tho pound. IE organisation liad brought about the delivery of other commodities, why should wo not have fruit delivered at tho doors at reasonable prices? Regarding tho handling of fruit, our season would bo prolonged if cool storago were taken advantage of. At the present timo wo were importing at the rate of .£50,000 worth of fruit (apples and pears) per year, whereas wo should not lmvo to import at all. If it paid the growers in Australia, Tasmania, California, and CanI ada to ship fruit to our markets.just as soon as our season was over, why should it not pay our growers to extend tho season . considerably by putting fruit into cool storages during the height of tho season? As to co-operation among auctioneers. Mr. Boucher said, if that were carried into effect it would be possible that more roJiabio information could.be furnished to growers as to tho quantity of fruit that any particular market could absorb at any particular lime. At the present timo growers were in the unfortunate position of not knowing the stato of the markets.. It was quite a common thing to find, say, Auckland or Christclmrch oversupplied, and tho prico go down as a result.

Mr. Tregear: Tho price to the consumers? Mr. Boucher: The consumers, unfortunately, don't benefit a great deal. Mr. Boucher stated that tho system which ho had mentioned was tho system on which fruit-selling was carried on in California. Ho hail lived in California and knew t.lio system well. It was this system which had inade tho Californian fruit industry what it was. At ono timo tho citrus fruitgrowers there had been threatened willi starvation, and this organisation had been formed, anil it had saved them. New Zealand should have some such organisation, so that a market would not bo sent too much fruit at one time. This season New Zealand ought to have sent 80,000 cases of apples to tho Argentine, and have realised very profitable prices on the fruit; but all that they had been able (o send amounted to 0541 "cases. This failure was largely duo to want cf proper organisation among the growers, and to want, of knowledge of tlie markets. After ono order for 20,000 cases had been declined in various districts, ho Imd found that one district alone could have supplied 10,000 cases. However, that fruit was placed on tho local markets, with the result that fruit dropped in value here. Mr. Tregear: Dropped in value to tho grower ? Mr. Boucher: Dropped in vnluo to tho grower, but, T am sorry to say, didn t drop appreciably.'to the consumer.

"Canning Must Develop." Mr. Boucher concludcd liis (statement fcy reformist to Hie prospects of canning which, lie said, was nil industry which must develop litre. All effort was bi-inrr made to form a company in Auckland, with a. capital n1''.£25.000. Mr. 0. W. Loadlc.v: What lias licen (ho effect of the orchard and garden pest on the snpnl.v of iruil? Mr. Boucher: For n short time it had the effect of restricting the supply. Mr. T.eadley: Would you be in favour of* a'litoro stringent enforcement of the •\ct reliting to pests? Mr. Boucher: I don't think it is necos'liV replv to another riuostiori from Mr. T.eadley, Mr. Tioucher said thai (ho work ~'f |he" Department's instructing stall would lie more effective than it had been in the past. Dr. ttiglifc asked how llie price figures quoted had lice.n arrived at. Mr. Boucher replied that (he figures were'the average prices of sales of (he letter cla«s of fruit. It was no usp quoting Hie figures of (he poorer fruit, imd . luf liad to Admit that muck of tksjovei;

gnulo fruit was only worth .what it brought. .Dr. Hight: Vou suggest co-operation ■among tho auctioneers. Why not cooperation anions growers instead? Jh tlie course of his reply Mr. Boucher said that tlio growers might not be able to find tho capital readily. Dr. TTi(;ht: Von have no experience of countries where fruit is a staple article. Taking into consideration our climate, soil, labour conditions, transport conditions, and the other industries which compete for the uso of capit-il and labour and give a good return, do you think that New Zealand is well suited to successful fruit-growing? Mr. Boucher: Tho conditions hero arc very much the same as ill California. .Dr. Hight: And what of our accessibility to markets? Mr. Boucher Toplied that tho railway facilities were particularly pood. In reply to Mr. Hall, Jh. Boucher stated that (lie organisation of the growers in California had resulted in a slight reduction in the price of fruit to the consumer. Mr. Boucher went en to state that tho honey industry was one which was growing. An export trade had been commenced. Producers sold direct to grocers more than by auction. ■ FARMER'S VIEWS. BUILDING, LAND, AND WAGES. William John Biicli, sheep fanner and general stock breeder, Jlarton, then gave evidence. Mr. Birch stated Hint a grocer who had boon in business in Station for many years liad supplied liim with information which showed that tea, tlonr, currants and sugar had become cheaper than they had been .1 number of years ago, that butter and other commodities liail varied in price, but, igenorajly, iiad cheapened; and that there had been increases in slip- j pers, boots, etc. It was the high protective tariff which was imposed on the people of New. Zealand which had increased the prices of these articles. A matter wlhich bore hardly npon farmers was the duty on imported hardwood, and, in addition, the railway'rates penalised country pboplo who imported hardwood, as tho railroad tariff did not operate evenly. Why Building is Dearer. The cost of housing lrad, undoubtedly, increased. A builder had furnished him with information on this subject. Taking a five-roomed house, the figures of now and ten years ago were: Timber and

mouldings in 1902, ,£65, in 1912, .£130; painting, .£'23 and <£32; labour, .£lO ami .£'ls; and joinery, .£35 and .£4O. The total cost in 1902 had been .£lO3, and now

tho total cost was £217. These figures applied to Marton. Tho present-day high prioe was accounted for by tho increases in tho price of. timber (particularly mouldings, wiiicli appeared to bo unduly high), in paints, and, of course, in lalraur. "I take it, then," observed Mr. Birch, "that rents must have increased quito irrespective of tho price of land.' Sh. Tregear: Of course, you mean tho routs of newly-built houses.

Wages Up—Reliable Men Scarce. j\s to the in wages, Mr. Bircli said that 10 years ago tlio l?angitikoi County Council pawl general labourers from lis. fill, to Ba. per (lay, while the pre-sent-day rato was from Ss. Gd. to 10s. l'on years aso contractors could Ret the best iuotai-pit moil at 9s. per day. Tlio wages of agricultural labourers had increased, and, in addition, thcro was a difficulty ill getting Rood and reliable men. One reason for this latter fact was .that a good number of men had gone on to land of their own. Mr. birch's own experience was that boy labour was very scarce. There wore many light jobs -which a boy could do, and winch it would not pay a farmer to employ men to do. Mr. 'J'regear: That difficulty is encountered oven in tho towns. I am afraid it is a birth-rate decrease.

Why Land Has Risen. Mr. Birch said that the prico of land had increased in recent years, particularly land suitable for dairying. Improved methods of farming and greater production of stock bad increased tlio price of land. It was not the prieb of land which had raised tho prico of products, but the prico of products and the increased mar-, keling facilities,'which had increased the price of land. The cost of production lind increased mainly becauso of tho increased cost of labour. ' Economic Waste of Girls Who Cannot Cook. The standard of living had increased, inasmuch as people demand better things in tho way of eating, drinking, clothing, and so on. Tho cost of Jiving depeniLtti on economy and proper cooking. Many girls nowadays were unablo to cook a decent meal out of good material. This led to ali sorts of waste. Girls were being educated for offices, and teaching which would fit them for household duties was being neglected. Children were allowed to go to picture shows and other entertainments a great deal, which lad a tendency to kuep our young people hanging about tlio towns. There was no doubt that there were greater demands now than in former years for tilings which wero 'reckoned as "nccessnries." Very Little "Unearned, Increment."

In answering propositions put by Mr. Leadlev, Mr. liirch agreed that a tanner should* establish credit and debit accounts ro&ardintf his form. Above the ordinary cost of labour, maintenance, and living .Ifi'ero should bo a surplus on the year's' operations snriicient to give him the rilling into of interest on his own capital invented either iivlaiul, stock, or appliances, anil a further sum sufficient to give him the ordinary wages of superintendence. Also, there was a third sum which couWl Ire called a contingency, or equalisation, fund, which should bo charged against tile land. In tho present conilition of things these profits were not realised year by vear. They wcro sunk in the land, and* only came as deferred charges or unpaid 'interest, or both, when tho land was eventually realised on. So that really there was very little of what was known as unearned increment; it was, only wages earned and_ interest owing. Tho increased value of New Zealand land had been brought about by the increased yirico of New Zealand produce on the Home markets, and that increased price was due to the improved social conditions in England, which had enabled the people of that country to pay more for the goods sent 'to them from New Zealand. _ Mr. Can you give any idea nt tho conditions under which laliourers in the country live? The reason I ask that question is that it has been represented that, the difficulty of obtaining country workers is because of the conditions under which they are expected to live. Mr. Birch: I can only say that the conditions have much improved in the last ten years and twenty years. , Mr. I.eadlev: Would you bo in favour of extending the workers' home system to the country districts? Mr. liirch: I must confess that. it. is a weakness in our system that wo have not enough cottages. t Mr. Lcadley: Do you think that tho relnclanco of country employers in this respect has a tendency of forcing men into the towns? Mr Birch: It may be; but I hardly think so. It might operate against married people going <o the country. Mr M'Donald: Don t you think that tho public, works policy lias raised tho 1 price of land in this rouutij the making of roads and bridges? . > Mr Birch: nohody can deny that. : Mr! M'Donald: So you do admit, then, that there is a community-created value ? Mr. Fail-bairn: 'Would'there ever have been a road, a bridge, or a railway if - there had not been stock on the land? ' Was not settlement always ahead of (ho [ ro'uK ami the bridge', and the railwavs? Mr IJircli: Yes. they were. And (hose thing's were for the whole population, not I or the land-owner only. p Tn reply to questions by Mr. Trogear, t Mr. Ril-cli said that tho money obtained for the average sheen was about 175.. [I but he cnnld no! state what if cost to liink-A that sheep brinir that, price, r The Commission will resume at 10 e o'clock this morning.