PRODUCE AND SHIPPING

Dominion, Volume 12, Issue 34, 4 November 1918, Page 6

PRODUCE AND SHIPPING

FARMERS' REQUIREMENTS IMPORTANT STATEMENTS BY 1 MR. MASSEY REPLIES TO FARMERS' UNION 1-EtfITS

Some important statements concerning New Zealand produce were mode by the Prinio Minister on Saturday, in tho course of his reply to representations made by -the delegates from the Farmers' Conference. Mr. Massey mentioned the wool and meat purchases, the operations, of tho Meat Trust, the distribution of New Zealand meat in London, and other matters. Tho deputation, headed by Sir. James Wilson (president), waited on the Prime Minister (Wight Hon. W. F. Massey), tho Minister of Finance (Sir Joseph Ward) and tlie Minister of Agriculture (Hon. W. D. S. Mac Donald) to present; tho resolutions passed at the recent Farmers' Conference in reference to a number of matters affecting the farming community upon which legislation is desired.

Sir James Wilson, president of the conference, said that it was still thought that occupants of national endowment lands should be given the right to noquire the freehold, especially in lowerclass lands, where improvements should lie encouraged. The union also desired that the wool contract should terminate at the .same time as the meat contract, and. also wished to enter a protest against the huge profits made by English manufacturers out of surplus wool.' In the interests of the production of the country progress ought to be made with the electric power projects. The reI moval of the mortgage tax was also asked for. The settlement of soldiers on i tho land was a matte which would doubtless receive consideration by the Government. In regard to 'the question ot forestry, he advocated that immediate steps should be taken to reserve the kauri forests, and to control the white pine forests in order to protect the butter industry. The union also wanted to know the Blue Book rates in regard to meat, as well as the current rates prior to requisition. Although there Had been some difference of opinion on the point, the conference had condemned the policy of income-tax-free loans. Another important question was that of soedy wool. The freezing companies had had extracted from them the right to fellmonger their wool, and as this practice was detrimental to the industry it should be stopped. It was desired that legislation be introduced immediately in order to check tho operations of meat and shipping trusts, of tho utmost importance to the Dominion, he had no w , , thai Mr ' Masse y aml Sir Joseph Ward had given this matter careful attention while they were in the Old Coun. try, and would-be able to handle the matter eQectively. Mr. W. D. Lysnar (Gisborno) said the trusts were attacking countries that had a surplus of food, tho producers receiving the minimum price and tho trusts the maximum profit. He suggested that all ships should be defined "as common carriers, and the doors should bo shut against all trusts dealing with markets. Ine Commercial Trust Act ahuuld be applied to all items of food. / Mr. Massey: Everything in the way of food is included in the Act. Mr. Lysnar: Shipping and freezing works are not included, Mr. Massey remarked that freezing works were included in a Bill which was to be submitted to Parliament.

MR. MASSEY'S REPLY. THE MEAT TEUST. Mr. Massey replied at some length. • JJealmg with a suggestion that'the operation of the Commercial Trusts Actshould be extended to cover the operatons of the Aleut Trust, Mr. Massey said that the Act already covered everything in tho way of foousluit's. A Bill that was now being prepared would extend tlie. Act to cover freezing works. . Ihe Hon. \V. D. S. Mac Donal- That is a special point of the Bill. The Bill will be submitted to the Stock Committee and there will be an opporlimityfor those who are interested to give evidence. Mr. Massey said he realised that legislation would be required to make it clear that shipping companies wore common earners for the purposes of the Act. Mr. D. Jones (Canterbury) said that the producers wanted the maximum amount ot Government control. The Government had an exceedingly difficult task m dealing with the Meat Trust, and it would have the sympathy of the farmiii". community, even ji it did not quite succeed.

lurning to the shipping question, the Prune, Minister said it ought to he clearly understood that the whole of the snipping in the trade between Britain and Australasia was now under the control ot the British Government ..The Impenal authorities were responsible for the .rates which were based upon the Blue Book rates. Personally he thought that the rates were extremely high, but the Ministry of Shipping in London had assured him that the rates were fixed to cover actual expenses. The ships were not on charter They were fully in the bands of: the British Government, which paid the owners fixed rates. He had tried to get the freight'charges reduced, but he hud not succeeded. He did not believe that the shipping companies were making the enormous profits that lind been mentioned. The companies gnt 0 per cent, on the yalue of the ship at the time it was taken over by the Government, and also certain other payments ior insurance, depreciation, and so forth. ■ bir Joseph AWrd. said that when a ship was sunk by enemy action the jwners were paid the present value, since Mat was the cost of replacement. Payments ol this kind would look like large profits, but actually the owners got no benefit, since the money went''for the bui ding of new ships to take the piace ot the .ones lost.

Mr. Mnsscy emph.TJised that the owners, ot the ships wore not parties to the" fixing of rates at all. The Imperial Government iad taken over the ships completely at a fixed scale. f Sir Joseph Ward: The owners have nothing to do with it. We mado representation after representation to the Imperial Government to get some of our.ships now employed in the North Atlantic' put back into our own trade. The reply was that it was more important to move American troops to Erance f/.nn to attend to our requirements, and so the ships could not come back.

The Wool Purchase, Turning to the question of wool purc'hiise, mi'. Maasey said at one time he huu thought ii wouid be pericctly sate to drop tlie requisitioning soneiue as soon as tlio war was over. But lie did not think that to-day. The position was that in all the wool-producing countries vast quantities of wool were ■ in store, principally on account of tlio scarcity of shipping. The wool could not reach tlio Allied countries, and it was not allowed to go (o tlio enemy countries. When tlio war ended, shipping would become, available and tho accumulated wool would reach the markets. Tho wool held in South Africa and Argentina had not been requisitioned, and would t?o upon the market directly peace was cn> n l '?,' l -' Ho ~eliovt,(l that tlio release of all this wool would cause prices to drop and his own opinion was that tho New Zealand producers would bo wifo to follow the example of the Australian producers and accept Hie offer of the Jmperia Government to take tho wool for a.hill season nt;er the close of the war Vthilo m London ho had secured from the Imperial authorities a statement snowing the quantities of wool held m t S!? stl ' uliil . °1 , '" 1 - v m lllst '"'''l l,UU,lib hales and tho quantity had j n . creased since.

Mr. JlacDpmikl: H will he double .hat by Christmas.

Mr. Mnssey added that on the saino tlato i\cw Zealand had 432.310 bale? of nearly a season's clip. South Africa had •l.flnn balr s and South, America had Ih.OM bales. Ho was informed that the South American bales wero three llines as henry as dm Australasian bales so the quantity might bo multiplied by three for purposes-of comparison. The new season's .wool was now coming in, and it was cosy to seo what would hap-

pon it' nil this wool were thrown upon an 1 oyien market after the war.

Sir James Wilson: lias the Imperial Government detiuiluly offered to take the wool for a full year after the war? Mr. Massey: Yes, ami i think the utter should be accepted. .Jlr. U. 11. Alursnall (Wellington): Wellington province is heartily in accord ivitn your view. The .hxecmive Comruiltee approved the proposal unanimously. Air. .itassey: Personally, I should liave been very glad to have been able to make arrangements with the imperial authorities lu take tlie whole of our produco tor a full year alter the war. Every store in Sew Zealand will bo full five months from now, and unless shipping conies, as I hope it will come, we will bo in n very awkward position Suppos. mg the Government takes the prouueo for only three months after tho war, there will not be much got awuy. How are wo going to get on after that? If tho requisitioning scheme is continued for twelve months, tlw stores probably will bo half emptied, and we should be able to carry on without serious hardship. I do not say that they will do that. I sounded them. ■ They have not made any offer for meat after the war. They have made an oner for the wool, and I recommend tho producers to accept it. I would recommend tlie producers to accept an offer for the meat and dairy produce for a year after the war at present prices if it was made.

The Food Controller. A delegate: Has tho Imperial Government said that'it will take its stuff from the stores and leave us in the lurch? Air. Massey: No.

The delegate: Then I will trust the Imperial (jovernment.

Mr. Massey: Tho Imperial Government as a whole will not hare anything to do with this. Tho people who have to do with it are the War Office, the Board of Trade, and the Food Controller, ajjd let ine say that I have no confidence in the Food Controller's Department of the British Government. The Prime Minister added that at present eighty per cent, of New Zealand's wool was used for thft Army. The proposal was that in the event of any part of the wool going on the ordinary market the producers should get a price not lower than the Australian price. The wool growers must realise that if had not been for the Imperial purchase they would have been in a very difficult position for a long time past.

Tho Nominating System. Mr. Massey said he did not. agree with the suggestion' that the nominating system should bo abolished in connection with the, meat exports. The system had been designed to maintain the old trade connections, so that there' wjmld be no delay about restoring trade arrangements after the war. One of the conditions had been that the person or firm handling the surplus meat in Great Britain should be of British citizenship Eecently a proposal had been made that the American Meat Trust,; Armour's particularly, who had been purchasing meat in New Zealand, should have their meat sold through their own nominee in London. That would be the thin end ol the wedge, and ho 'had refused positively to give his consent. If the nominating system were done away witlb Armours and tne other trusts would have the right to have the meat sold by anyone they liked.

"No Confidence." Deferring agniii to the Food Controller, Mr. Massey said that ho had no confidence in tiint officer's Department, but lie'was not in a position to give the deputation all the particulars, lie ami Sir Joseph Ward had heen present at meetings of the .Imperial Conference whon everything connected with the -meat trade from Australasia was discussed. The discussion that had taken place was on record. But "the day he arrived back in New Zealand he had received a cablegram informing hjm that for tho present the information that, had been placed before him must bo regarded as confidential. He was handicapped, therefore, in trying to explain to the deputation, his feeling with regard to the rood Controller. "1 think that I can put it this way,' continued Ik. Massey. "I do not think | that we had anything much to complain 1 about until April of the present year. But about April of the present year it became necessary to get American soldiers to France, and many ships were withdrawn from the Australasian trade for that purpose. The \Food Controller said that food requirements must come first. We admit that. The ships having been withdrawn from the Australasian and the Argentine trades, it became necessary for the Imperial Government to get supplies of meat from other sources. The Food- Controller went to America and made arrangements to purchase an enormous quantity of beef for the civil population of Britain and the Allied armies. It was found that a verylarge proportion of this beef was unfit for human consumption. It was necessary then to increase the price, and the price was increased to the middlemen and the consumers. In putting up tho selling price of the meat, of course the Food Controller included' New Zealand and Australian meat. I have to tread carefully in dealing with this matter. I was informed by people interested, by officers of the High Commissioner's Department, that the cost of our meat in store 'in England was BSd. per lb. Tho Board of *l ! rnde passed the meat on to the Food Controller at 10d. per lb., and then the Food Controller sold to the retailers at Is. Id. per lb. Ho made ;i profit of 3d. a pound in addition to, the profit made previously by the Board of Trade. This brought the price up to the same level ,as American beef, which, is inferior. The retailer made another profit, within the maximum price fixed for him. Do you see what has been happening? The Food Controller makes a very large prof,;, out of our mutton and lamb, for they do not sell our beef in the open market, and the inferenco is that he uses this profit to- make up on the American meat. There is no other explanation I can think of. All of our lamb and part of our mutton has gone on the British market. I have the figures, but lam compelled to regard them "ffs confidential. It is not a satisfactory position."

Supply of Ships. Jlr. Massoy added that the supply of ships for the next two months was going to be fairly good, lie expected that twelve ships would be loading; in New Zealand before the end of the year. Some day after the war the discussions that had taken place in London regarding the meat would be published, and the facts would then be plain. He could say that as soon as the.ships came back to the Australasian trade—and he hoped that would be very soon—the Dominion's meat would get to London, and then the Imperial ~ authorities would cease to buy the' American meat.

Sir Joseph Ward: The American meat is lo be stopped then.

The Prime Minister mentioned that he believed the old trouble over the weight allowance in London was going to be overcome. He had not been able to make definite arrangements, but lie had little doubt that the producers were going to be saved the weight allowance.. Ho was entirely convinced that the Dominion must fight against the Meat Trust. If the trust were, allowed to get a footing in the country it would be the blackest day in New Zealand's history. Seedy Wool, Referring to seedy wool, the Prime Minister said that neither the Imperial ''Government nor the New Zealand Government had any wish to take advantage of the producers. The farmers should receive full value for the seedy wool, and if a satisfactory arrangement could be made it would be done.

The deputation thanked the Ministers for their attention.

Tlie number of infeelious ciseases cases reported in the Wairarapa during the mouth of September was twenty-four, m* which fourteen were cases cf diphtheria.

Of twenty-eight samples cf foodstuffs token in the Wairarapa (luring the past month all were I'oimhl to comply with the Act.

-When "TAK-OJj" comes in, dullness goes out. A Splendid polisher for (loots and furniture, leather and lan shoes — .•Wlvl.

The Carterton Morough Council has detitled to make arrangement for an address on town-planning before anything definite is (loiie regarding new municipal olßces.

For Chronic Chest Complaints, Woods' Great Peppermint Curs."