GUARANTEED PRICE

Evening Post, Issue 37, 12 August 1936, Page 14

GUARANTEED PRICE

MR. THORN'S SPEECH

"GREAT HUMAN DOCUMENT"

Mr. J. Thorn (Government, Thames), in giving credit to the Minister of Finance for a historic Budget, said it brought about a degree of equality in human relationships. It taxed the rich and well-to-do people to meet the needs of the poor and helpless. The Budget set out a record of achievement in social amelioration, social reorganisation, and economic development which must be gratifying to every reasonable person in' the community, especially in view of the fact that the Government had only been in office for eight months. Those on the Government benches freely admitted that the Budget had shortcomings. It inadequately expressed their aspirations, and fell short of what they hoped would be immediately possible. "But it still remains a great human document, and it will bring relief to thousands and thousands of our fellow-citizens," he I continued. The policy outlined would also provide better facilities for the education of the children of the Dominion and would make for the physical and moral betterment of the people through a proper housing scheme. To the dairy farmers security was given, together with a higher standard of living. Generally speaking, the Budget laid a foundation for desirable changes in the economic and .social life of the community. PENSION CHANGES. After dealing with the pension changes to be brought about, including the restoration of pensions to miners' widows, Mr. Thorn said that the reforms outlined gave to the Budget a noble, human quality. Not one taxpayer would suffer the loss of a single comfort in paying for the pension benefits. The reimposition of the graduated land tax would no more affect the great majority of the working farmers than its abolition in 1931

benefited them. The abolition of the tax in 1931 was definitely an act to give an advantage to the rich. Sir Alfred Ransom (National, Pahiatua): There are plenty of land tax payers who are not rich. Mr. Thorn:-. It never benefited the ordinary working farmer by one sixpence. Continuing, Mr. Thorn challenged any reasonable person to say that such an Act on the part of the last Government could be justified on any grounds of equity. Referring to the guaranteed price, he said its mention always excited those on the other side of .the House to a superheated mental condition. He traversed the Labour Party's pledges to the constituents in respect to that portion of its platform. "We have carried out our pledge," said Mr. Thorn. "We have taken full legislative authority to apply the guarantee principle to the whole of the primary produce of this country, and this year we are paying a guaranteed price to the dairy farmers. Even the member for Kaipara agrees to that. He said it last Thursday. We have kept the pledge to the letter." Opposition voices: A hoax. MEETING COSTS. With respect to the commission on ' the guaranteed price, he had been in- ' formed by a dairy factory director that the saving on it would enable the factories to meet all the increased costs of manufacture involved in the industrial legislation of the Government. '. He was satisfied that ii the dairy farmers had three months' ago been ; offered a guaranteed price of Is id ' f.o.b. all through the season, plus the payment of any balance in the account in the Reserve Bank, plus a levelling down of mortgages to the guaranteed price, they would have regarded themselves as knee deep in clover. Something- had happened in the meantime. Prices had risen surprisingly, and critics of the Government could say with some little plausibility that the guaranteed price was little more than the average of the last eight t ten years. His reply, to that was that the prices in London today were due to most • extraordinary conditions. "Let me quote one of the leading ' men in the industry—Mr. William Goodfellow," he continued. Opposition voices: Oh, oh. Mr. Thorn: So he's not their friend any longer; he must have fallen out with them. On the day before the Budget was brought down, he said, Mr. Goodfellow, in a Press interview, said that the change in New Zealand dairy marketing methods was welcomed by the best elements in the trade in England. "Supposing the London price does fall below the guaranteed price in New Zealand, what will happen to the critics then?" asked Mr. Thorn. "Is it not pretty certain that nine out of every ten dairy farmers will be. thankful for the security of income given to them, and prefer it to the insecurity of fluctuating market prices in.London over which they have no control?" The debate was adjourned, and the House rose at 9.30 p.m.