FARMERS’ UNION

Hokitika Guardian, 14 January 1932, Page 3

FARMERS’ UNION

NEWS AND NOTES. A request was recently made by the Union that loans for the purchase oi fertilisers through the Rural Intermediate Credit Board should be extended to include the purchase of lime. After giving the matter consideration, the Prime Minister informed the Union that in the interests of increasing production as rapidly as possible it was considered that the money available by the Rural Intermediate Credit Board should be devoted entirely to advances for fertilisers alone and should not include lime. The essential objective of this assistance was to provide for topdressing grassland, and for that purpose fertilisers, particularly phosphatic ones, were far more important than lime. It was freely admitted that lime on certain classes of soils increased the efficiency of fertilisers, but as the expenditure for lime in this connection was not great, farmers should be able to make their own arrangements. Lime in most localities was now about 13/6 per ton and where the application of lime, in addition to fertiliser was advantageous the most satisfactory mixture was half lime and half phosphate, or an increase in cost calculated at per ton of phosphate of 13/6, an expenditure that should not require any special monetary assistance. Moreover, farmers already had the benefit of free railage on lime over ahy distance up to 100 miles, whereas railway freights had to be paid on fertilisers, though certainly on a reduced I scale as the Department of Agriculture subsidised the Railway Department to the extent necessary. Under the circumstances he regretted that the Union’s request could not be acceded to. Towards the end of last .year, the Union supplied the Railway Department with some teased wool for the purpose of experimenting with it in the seats of railway carriages. The Department has notified the Union that it will use wool instead of kapoc in railway upholstery wherever possible. After last Executive meeting, the Minister of Health was asked to spend as much money as possible out of the amount available for dental clinics in rural districts where the facilities for dental treatment were few. In reply, the Minister pointed out that while he was fully alive to the desirability of extending the School Dental Service in the direction mentioned, the matter I was one that was largely in the hands of the people themselves in the various districts. He was unable to eonskler the establishment of a clinic unless a definite application had been received from a School Committee or other representative local body which was willing to undertake certain financial obligations in the interest of the children. Towards the end of the year the

Government was requested to make arrangements with the State Advances Office and Public Trustee to release

■ j farmers of the instalment on long term mortgages, while the depression lasted. In reply the Minister of Finance stated that in view of the extremely small margin between the borrowing and lending rates of the Departments concerned, it would not be possible to forego all charges in this conne< tion without imposing a substantial additional burden on the general taxpayer. Each application for relief, however, would be considered on its merits as the Government fully appreciated the difficult conditions at present being experienced by farmers generally. After last Executive meeting the Department of Agriculture was approached regarding a certificate of purity and germination being supplied to the purchaser of seed. In reply the DirectorGeneral of the Department stated that seed testing was paid for by commercial firms and the certificate in respect of any line of seed was the private property of the person or firm sending in that line of seed for testing. It would therefore be a breach of faith it the Department supplied a copy of the certificate to any person other than the one who paid for the original. There was no difficulty in purchasers of seed obtaining seed of good purity and germination, as they could stipulate to the seed merchant before purchase that a Government certificate of purity and germination was to accompany the seed. He did not think that merchants dealing with seed would object .to providing any purchaser with a ropy of the pure seed and germination certificate nor would the merchants object to obtaining a certificate to meet the wishes of the purchaser if the seed had not been already subjected to analysis. He had also to point out that while merchants and! others in the trade had to pay for purity and germination certificates, no charge was made with respect to seed tested on behalf of bona fide farmers, and any farmer was at liberty to send in to the Seed Analyst, Plant Besearcli Station, Department of Agriculture, Palmerston North samples of seed which he might desire to have tested. The following table shows the indexes of farm expenditure and of export prices from 1914 to the end of October 1931

The following points should he noted: (a) When the export index is higher than the- farm expenditure index farming is paying and the farmer is to bank his surplus. 1915, 1916, ,1917, 1918, 1919, 1924, and 1925, were years of surplus. (b) When the two indexes are the same farming is just paying; neither are profits made nor is the farmer running into debt. In 1920, farming was barely paying. (c) When the farm expenditure index is higher than the export price index. farming i s not paying and the farmer is having to use his .savings or i" ” into debt. Such years were 1921, 1922, 1923, 1926, 1927 1928 1929, 1930, 1931.

It is the run of five unfavourable years together with the extraordinary bad year in 1031 that has either crippled the majority of our farmers or is in the process of doing so.

The next meeting of the Dominion Executive will be held in Wellington on Wednesday, 4th February. The principal matter for discussion is to devise ways and means of cutting down the various phases of farm expenditure. A central Committee consisting of Messrs W J. Poison, M.P., W. B. Matheson, the Union’s Solicitor and the Dominoin Secretary has been appointed to watch tile interests of members of the Union in connection with excessive hardship in the financial affairs of members, and to secure legal help in cases where unfair victimisation is apparent.

Farm ExpenExport diture. Prices. 1914 1000 1000 1915 1096 1187 1916 1195 1380 1917 1284 1574 1918 1452 1623 1919 1511 1671 1920 1661 1645 1921 1606 1523 1922 1543 1146 1923 1593 1403 1924 1586 1597 1925 1582 1702 1926 1555 1377 1927 1574 1366 1928 1642 1520 1929 1636 1456 1930 1628 1144 1931 (10 months) 1500 874