THE SUBSIDY ON PORK

Evening Star, Issue 19787, 10 February 1928, Page 2

THE SUBSIDY ON PORK

DISCUSSED BY FARMERS' UNION MR D. M. REID’S STATEMENT The Government subsidy of £30,000 for tho _ export of pork industry was dealt with at yesterday’s meeting of the Otago Provincial Executive of the New Zealand Farmers’ Union. Tho Chairman (Mr D. M. Reid) said that the Government was assisting pig raising with a £30,000 subsidy on all pork exported, and would also give some assistance in the matter of freight. The proposal would probably mean a bonus of Id per lb. The Farmers’ Union look up tbe attitude that if the price of pork fell below 4id the bonus should be paid, but that in tho event of the price exceeding that figure no payment should bo made. Recommendations to this effect bad been made, but the Government bad decided to grant this aid irrespective of price. The question that had to be decided was whether the money would really be passed on to farmers. There had been a good deal of correspondence in tho papers on the subject, but he had refrained from taking any part in the controversy pending the present opportunity of making a public statement.

“As you arc all aware,” said Mr Reid, “the Farmers’ Union is opposed to the high protection afforded to various industries in the country. What we say is that it is reasonable to grant some protection to a new industry for a limited period until it becomes established, and this is what wo are asking for the pig industry now. Surely this is reasonable in this case, when one considers that there are tremendous possibilities in this industry. With a little assistance in the beginning this industry may become one of our chief exports.”

Continuing, Mr Reid said the dairy industry had commenced in a small way, and there had been plenty of scoffers, but there _was no doubt about its value as a national asset to-day. The pig industry might very easily follow it closely.

“ Some people,” said Mr Reid, “ are opposed to any assistance being given to farmers, but I think that if they could realise the position of the man on the land to-day they would be a great deal less hostile. The wage basis for both sheltered and unsheltered industries is to-day 76 per cent, in excess of the pre-war level, and, while the returns from sheltered industries are approximately 90 per cent, above pre-war days, the increases in respect of unsheltered industries are approximately 48 per cent.” Mr Waite said that most of the fanners were theoretically believers in freetrade, but they could not bo blind to the fact that freetrade was as dead as a dodo. He did not see why the primary producer could not get assistance. It had boon decided that it was better to subsidise all pork exported from New Zealand, and this would put the export trade practically on tho same lines as that of the Argentine. As long as there was Government assistance to be held the primary producer should be granted his share. The speaker objected to tho attitude taken up by practically every metropolitan newspaper, which persistently cried down the system. Protection should extend beyond the secondary industries.