PRODUCE PRICES

Gisborne Herald, Volume LXVI, Issue 20061, 6 October 1939, Page 6

PRODUCE PRICES

EARLY STATEMENT , MINISTER’S PROMISE PURCHASE OF WOOL PARITY WITH AUSTRALIA (Special lo the Heralil.) WELLINGTON, this day. Negotiations for the purchase of food and products required by the United Kingdom are so far forward that the Minister of Marketing, the Hon. W. Nash, informed the House of Representatives last night that he might be able to make a statement before the session closes regarding the prices for dairy products, all forms of meat products and wool. To determine the prices for wool, said the Minister of Finance, the Hon. W. Nash, he had called a conference with representatives of stock and station agents, wool buyers, the Farmers’ Union, one of the oldest members of the Sheepowners’ Federation, the chairman of the Meat Board, representatives of the Department of Agriculture and Mr. Smallwod, of the State Advances Corporation, owing to his knowledge of farmers’ finance. This conference discussed the principles which should control arrangements between the Government of New Zealand and the United Kingdom Government. There was discussion lasting for two or three hours, after which he asked some of the representatives more immediately concerned to go away and discuss the various points and come back with a report regarding prices which ought to be obtained from the United Kingdom Government to enable a fair return to be made to the grower, processer, stock and station agents and others concerned in the handling of the product- He had since negotiated with (he United Kingdom Government on the basis of their report. Element of Bargaining There had been an element of bargaining, but it was only in relation to what should be paid in the event of various contingencies, so that the position could be safeguarded. Mention had been made of the possibility of the United Kingdom Government having a surplus of our wool which it might sell to America. “If England sells some of our wool to America,” continued Mr. Nash, “we will be justified in having some say in the appreciation of price.” The Minister stressed the point that the buyer in New Zealand was the New Zealand Government and that it, itr its turn, sold to the British Government. The procedure in regard to finance would be the same as with dairy products, the Reserve Bank being utilised. Sir Alfred E. Ransom (Nat., Pahiatua): Will the price be less than that for Australian wool? The Minister: I do not think it will be the same, but on parity with Australia, which will be quite good.