The Guardian And Evening Star, with which is incorporated the West Coast Times. TUESDAY, JUNE 10, 1930. PRICES AND COSTS.

Hokitika Guardian, 10 June 1930, Page 4

The Guardian And Evening Star, with which is incorporated the West Coast Times. TUESDAY, JUNE 10, 1930. PRICES AND COSTS.

In the political arena shortly to lie so active, it is not unlikely that the Hon W. Downie Stewart, cx-M mister of Finance of the Reform Government, will be one of the most prominent critics of Dominion .economies which are sure to lie prominent in discussion. Air .Stewart may he. regarded as safe, rather than brilliant; but lie lias been a close, student of Ins duties, and the soundness of his observations are often

vary apparent, Recently while opening the annual conference of the Otago provincial Council of the New Zealand Farmers’ Union, the lion AY. Downie Stewart reviewed several remits, which the union proposes to discuss, and submitted advice that should interest business people as well as farmers. “I regret that the Hon ATr Forbes has been unable to attend,” stated Mr Stewart. “He could have done so not only as Prime Minister, but also as a practical farmer, For

the time being, however, lie lias been called upon to cea.se farming his own land and farm the whole country. In his capacity as .Minister of Finance he will watch national problems as faithfully as if he were guarding lii.s own interests on his own farm, and he will have a keen eye for all factors that are going to make for Dominion prosperity.” One of the biggest matters that troubled the farming lommnuity, Mr Stewart said, was the disparity between what the farmer was receiving for his produce and the cost of production. That disparity was worldwide, and if they read the American papers they would, fancy they were reading a description of New Zealand coiK.fitici is. Aftt&r rending abstracts Irom a periodical, and commenting on them, Mr Stewart stated that if they could not get the prices up the only thing to do was to get the costs down. A remit to the effect that the Government should be asked to derate all farming lands caused Mr Stewart to agree that the growth of taxation was becoming a serious problem from the farmers’ point of view. He thought it wise on their part to consider the question of derating farm lands. Regarding a remit which involved arbitration matters, Mr Stewart said that the system of rigid wages reached against the farmer even if lie did not come directly under it. That, lie considered, was one of the main causes of unemployment in the cities. He had noticed that if one spoke to farmers throughout the'country they frequently 1 said: “We Have plenty of;work to be done, but although there are hundreds of u..employed in the cities we can’t get labour,” .The answer from the other side was that trade unions circularised .farmers regarding work but "without response, He presumed that the difficulties arose because of die difference between the wages that were expected and those which the farmer could pay, Under existing ■onditions it seemed impossible for the two sides to come togHher as far as the wages part of it was concerned. It was certain that this was the centre of the whole problem. A remit urging that the Arbitration Act. be amended in the direction of providing for compulsory conciliation and optional arbitration, next drew the speaker’s attention. He considered that farmers would find this a lesser matter than they had supposed. The Court had managed to survive for 35 years and it had gone through good times as well as bad. Even if they did secure the abolition of compulsory arbitration it was probable that they would find themselves up against other measures, such as collective bargaining against powerful unions. Mr James Begg had stated that as. prices had come down everything else should come down, hub it was well known that some classes oi people would bo put' in a more favourable position if this should ■omo to pass even with fixed incomes for instance, from rents,, bonds or mortgages If everything were brought m line these men would actually benefit. The current proposal to penalise America for her suggested increase of duty, occasioned the speaker to remark that when lie was in America in K‘2o iiei discussed with American statesmen the doubling of .the duty imposed on New Zealand butter, They admitted that they could not stand rip against competition of New Zealand butter, but stated that farmers had n dominant voice in American politics, .nil even though the general public preferred our butter they had to succumb to the increase in duty. In any effort to impose a duty they had to come face to face with the question nV to who attached most importance to the trade under review. The whole subject was much more complicated chan it appeared on the surfaie, and very often retaliatory methods acted n a curious way. It is clear Mr Stewart is maintaining a good vision of world happenings, and for that reason lie should ho a helpful debater on several important issues to come before Parliament shortly. Mr Stewart can hardly be set clown as a strong party man. He has a deliberative mind and 'seelift to be bent on doing his duty according to his lights, Because of that he is safe, and it is men of this calibre which will he the best critics at tlus : juncture in the financial history of the Dominion.