WELLINGTON NOTES,

Hokitika Guardian, 11 July 1923, Page 1

WELLINGTON NOTES,

AC It ICC LTCRAL BANKS. •flli-; OTHER SIDE. [Si-EiTAL To Tin: Guardian.] WELLINGTON, July !>. Mr W. J. Pulson has been having it much his own way in his energetic and capable advocacy of his agricultural hank .scheme during tho last month or two, but in the "Evening Rost" of Saturday a correspondent, evidently with some knowledge of finance and of the needs of the tanners, challenges the content inns of the Dominion President of the Farmers Union and makes out a very strong ease for the other side. "Mr Poison’s agricultural hank." he says, "involves a shocking piece of class legislation and its basis is -gut and guarantee.' To start the hank, the State is required to make a gilt of £IOO,OOO, for this carries no interest and there is no fixed date for its repayment, much less anv guarantee of repayment." In addition to this gin. the correspondent goes on to explain, the Gnvernnieni is

to guarantee the laud hank bonds, to exempt them from stamp duly ami their holders and the hank itself from income tax. "Why;-” lie asks "should this projected hank he treated diflcrently from, say. a building or a morigago society. The suggestion that a precedent wa> created by the State s assistance to tlm Bank of New Zealand in 1891 is ridiculed. The Government, if is declared, went to the assistance of the Think of New' Zealand thirty years ago to save the de-jasilor-* and avert a financial crisis FARMERS AND FINANCE.

This authority admits that the farmers play a very important pari in maintaining the prosperity of the country and promoting its general welfare, but he protests strongly against the assumption that a knowledge of their own business makes them masters of every other business. He quotes the experience of farmers co-operative concerns, of farmers'

freezing works and of fanners’ excursions into trading ventures of other kinds. "Is not ik" inevitable eenehi--inn to he drawn from this long h.~i ol failures." he a. 1.-, "that, farmer

management and inefficient management are convertible terms. 1 '” lie does mil wish anyone lo run away with the idea that Mr Puhon’s agricultural hank is intended to he one oi those modest affairs that serve the needs ol the frugal Danish and German occupier,, of a few acres. Besides being free to lend up to £20,000. ii is to receive deposits, both lixetl and at. call, issue hills and drafts and letters ot Credit, disc.- tint bills, grant overdrafts and do anything cLe the ordinurv hank' can do. Tsi - being so lie wants to know what prospect there could lie Ol -ill'll an intricate and peril oils business being sueresstilily managed by a board ol worthy hut emirelv inexperienced farmers. ’ MARKETING DAIRY PRODUCE. The l)<i W. Xosworthy, the Minisle.r of Agriculture, and Mr J. B. MaeEw an, H e lead ol the well-know n firm of export merchants, Me-.-rs .Mae Ewan and ('o.. are involved in a discussion in regard to the Danish system ol marketing ilairv products, which is arousing considerable interest on atcount of file bearing ii has on the proposed "dairy pool. lbe subject first obtained prominence from th« .Minister's leply to a question put to I him ii: the House by Mr A. H. L'ield, \ who wanted to know all about Ur:: j Danish ,v -teiii. Mr Xosworthy mid the member ioi* (Uaki that a lew ol the Danish dairies sold their plodtti I ueeklv ~> linns in Great Britain : that another pan wit, bought by Danish exporting linns and that what remained nil- generally consigned In wholesale holm's in Great Britain lor sale on com in i -ejoii 'I he Minister also slated t’aai lie* ('eneeeaa. U (.hull lli iol'l Committee fixed I lie weekly prices to havers. Mi- MueEwnn’s attention bavin . hi en draw u i i Mr Xosworthy': reply he -.inled in I lie course < f -ir. ini :t\ iew that he I bought the Mii |! s-| ter had been misinformed when (haling v. iih Mr !■ ield s quest tan. He had keen a-'iiivd definitely and in proem terms b\ the managing director ot tile Danish United Daiiie-. (hat lbe dairies weed; in the liighi-i possible price, j Thev did Hot favour consigning am! j

eoniparaiivi ly little ol ilu-ir prod me |,.lt their shores unsold. The ( opeilIi:il;.'!I c '>inhi i 1 lee did not tix the week- i | v j.i „, to buyers, as Mr No~wort.liy had informed. Tiiere bad been I confusion non".-, la 'o. Tim t'oinniMteej merely arrunged the prices to be paid j ttt i iit‘ fanfur ti.'v }»rev!iui> wcolv i s';l l l‘s. ilc quoted nn cwlrocl I ruin n.n j addiV's delirered by Mr Ruddiek in j continuation of his first statement. j Till'! Ml S'l STRIPS 11 FI’I.V. In a eoniinmiieauon to the''Post' on Saiurdiiv, Mr Xoswiirthy stated tmn j his information was obtained lium an. oiTieial souree "which could not hi looked upon i's being otherwise' Hum reliable and authoritative.'' Then lie thinks that Mr MaeKwan has read nm mill h into bis ttnswer to Mr field, lie had said that a few of the dairies sold t l} j|rins in (; rent Bril am and t hai : •■another part" w.as bought by Danish j exporting linns, but Mr Marßwnii had assumed that "another part meaul | nulv a "few more." Mr XoswnrUiyj does uni make his point clear, but apparently bis purpose is to admit alter all iliat very little Danish butler L consigned for sole on ooinniis>ion. Interviewed to-dnv Mr Mo< Kwan said he had not the least intention to imply that Mr Xosworthy, for whom lie had a high personal regard, hud wiliully misstated Hie position. But he still was satisfied the olliecrs of the ZVrinis- i tor's Department had keen misled in regal'd to 1 lie essential facts.