PRICE OF WHEAT

Dominion, Volume 11, Issue 287, 23 August 1918, Page 6

PRICE OF WHEAT

Sir,—Somo have asked why there is at disparity of prices between Australian and New Zealand wheat. It is easily explained. Australia is protected with * Customs tariff moro than double tho Dominion one, obviously to protect tliti grower under normal conditions Irons tho dumping of Indian and American: wheat, as the world's wheat calendar shows a harvest for every month of tho year, and it is conclusive that protection was necessary, which tho war has sinco revealed. The Australian Governments, especially the New South Walesi one, offered exceptionally easy terms to» prospective wheatgrowers, laud at 175.. (id. per acre, supplied the seed wheat lubo paid for on harvesting, and otherwise encouraged the industry in every conceivable manner, and the labour employed was infinitesimal to New Zealand's system. For instance, tho Australian! wheat lands are simply scarified, un'll when the crop is ready it is stripped,, and the grain lost in this process create* a second growth, thereby saving an immense quantity of seed wheat, and tho straw does the manuring. With Australia's dry climato very little storage is required, and its railages are much lower than New Zealand's. With ample efficient labour advantage has been takcm of those conditions to make it one of thei granaries of the world since 1916. It had: a 6ovoro drought and crops a failure during 10U and 1915, and imported Wheat soared to 7s. 6d. and Ss. lid. per bushel, and American llour was transferred from Eastern ports to Australia. It is apparent Australia is not a country for New Zealand to rely upon for its fuod supplyOur New Zealand wheatgrowers under pre-war conditions were continually harangued by Free-traders at every sit' ting of Parliament to remove the paltry protection on wheat and llour, and somo who were not in the business furnished figures to show that tho wheatgrOwer should be a philanthropist and take tho risk of elements and markets to ensure> cheapness. Tho result was that a largo number of wheatgrowers ceased, to avoid disaster, and went in for sheep raising, and it takes quite twelve months at the least to change one's mode of farming, and there must be a pecuniary inducement to do so. This opportunity gavo tho Free-traders scope to show their mettle, but there was no response, the. same as in dear old England. I remember many years ago in Canterbury wheat was sold as low as 2s. Id. per bushel, f.0.b., through the absence of ample protection, while Australia was getting oyer 3s. per bushel. What was the result? Wheatgrowers and a number of their backers collapsed, and it was only the frozen mutton and wool industries that rallied Canterbury. In America to-day wheat is Bs. lid. per bushel, bwiug to the. heavy drain on its supplies by our Allies and England, and is not short of efficient labour tho same as New Zealand. Ample protection is just as essential as the alien poll tax to prevent wages being brought down to the Asiatic level, as we may bo forgotten for a time, and we are now experiencing this as regards shipping and requirements. New Zealand, should make itself self-supporting, as outside markets are as tricky as tna weather; and how will they be after the. war with an empty world as regards stocks, with a keen demand for everything, as well as money ?—I "s^^^;' P.S.—Australia's average yield per aero is 13 to 15 bushels. New Zealand s average vield per acre is 23 to 26 bush-els.-P.V.