PRODUCE FREIGHTS

Hokitika Guardian, 3 September 1931, Page 3

PRODUCE FREIGHTS

INTER-ISLAND COSTS. CHRLSTCxi UitCH j August 26. The likelihood of a collapse of arable farming in the South Island becaiti.se trade with the no-ith at competitive prices was made impossible by high, freight charges between, the two islands was predicted by Mr W. W._Miil_ holland at a meeting of tlie North Ganterbuiy branch o-f the Farmers’ Union to-day. He advocated a close investigation of tlie position with a view to obtaining reduced charges. The subject arose in a discussion of a letter from the South' Canterbury executive asking for support of the following remit:—“That in view of the low prices received by farmers’ for tlieir produce the Dominion executive should be requsted to 'set up a subcommittee to investigate the freights wharfage and commission charges imposed when shipping these goods between the two islands with /a. view to a. substantial reduction in these and other charges,?* Following receipt of this letter the head office of the Farmers’. Union had made representations to the slipping compahies asking for a reduction of charges and had received replies from two of them concerned in tlie inter-is-land and coastal trade setting out that the present conditions made it impossible- to take any steps in that direction. “I think this matter should be taken up energetically,” said Mr Mulholland. “The cost of transport of farm produce between the two islands is too great, and if a conference or committee representing both the North and South Island executives can he arranged some light may he thrown on the problem and indicate a course of action. Tlie price figures for some of our produce sold in the North Island is unaltered from compared with the prices we receive for them here show a mar- j gin of difference even greater than the fanner’s original return. We in the South Island will find it imnossible to ! produce goods at a price the North Island consumer can pay because of , the east of transporting them. If such a state of affairs continues tlie arable farming area of the South Island is going to be turned into sheep country j and production reduced by millions of pounds.” An investigation, he said, would show'what tlie position was, but ’ if no means of remedying it could be found lie was afraid the South Island produce trade was going to be lost. Tf a committee were set up tlie personnel should not be confined to tlie Dominion executive. The inquiry should go far wider than freight alone, for he felt that shipping freights were not the . onlv trouble, ' being" in fact only a’ •small part of it. He moved: “That , the matter be further inquired into 1 and tint the head office he advised jaccordingly.” I Mr R. T. McMillan said that be Ind j , formerly held tlie same opinion as Mr i Mulholland, but that since meeting the shipping eomoa”v renresentn fives he was indued to think that lug profits were not being made. The motion was carried., .