'PREPARE FOR RAINY DAY'

Hawke's Bay Herald-Tribune, Volume 81, Issue 28, 27 October 1937, Page 15

'PREPARE FOR RAINY DAY'

Prices for N.Z. Produce May Weaken ENGLISH 0PINI0NS Eight months' tour of Great Britain and the Continent, which facilitated a comprekensive survey of the Dominion's overseas markets and general economic conditions, had convinced Mr A. M. Carpentor, of Fernside, Nortb C'ante'rbury, that New Zealand producers would do well to prepare for a ' ' rainy day." In saying this he was in no sense pessimistic, Mr Carpenter added. The general opinion in wool, meat, and dairy produce cireles in Great Britain was that prices for all lines of New Zealand produce would bo maintained only while the armament boom lasted. It would be folly for the Dominion to look for a continuation of the present-day prices once Great Britain had compieted her rearmament programme. Mr Carpenter, has just returned from participation in the overseas farmers' tour of Europe. He was appointed de-puty-leader of the party, which comprised farmers from New Zealand, Australia, and South Africa, the leader being another New Zealander, Mr O. G. 0. Dermer, of Feilding. His yiews, he expiamed, were shared hy the other New Zealand menibers of the party. Costs of Production The authorities in Great Britain held that in anticipation of this inevitable fall in prices, the producers of the Dominion should guard against tho ever-mounting costs of production, said Mr Carpenter. If the Dominion 's market slipped and the costs of production remained at- the present high Tatio, New Zealand would be landed in tbe throes of another depression. A very noticeable feature of the party 's survey of British farming conditions, said Mr Carpenter, was the relatively low taxation compared with the staggering burden carried ' by farms in New Zealand. Farm for farm, taxation in New Zealand was on a much higher scale. In Great Britain farming lands had been derated and relieved of land tax, Furthermore, the British farmer received generous subsidies for wheat-growing and beef production, and was subsidised 50 per cent on all manures used on his land. Members of the party gained much information of value to New Zealand producers, said Mr Carpenter, and the committee which had been sot up during the tour felt that they should, if necessary, co-operate with the Government in keeping the young men of New Zealand on the land; 'otherwise the Dominion 's primary industfios would ultimately be placed in a very precarious position. The young farmers' clubs could he of assistance in this matter. There was, said Mr Carpenter, no chance of young British immigrants coming to New Zealand to work the land. We would have to rely entirely on our own man-power. In Great Britain the flourishing state of the general industries of the conntry had attracted the young men from the land, and many farmers were finding it somewhat difficult to procure the necessary labour.