GUARANTEED PRICE

Hauraki Plains Gazette, Volume 52, Issue 32309, 6 September 1943, Page 5

GUARANTEED PRICE

Sir, —Sid Holland has issued his policy and he is going to .out-socialise the Socialists. He is giving the farmers a guaranteed minimum price with ceiling prices determined 1 by the farmers themselves; in other words, he is going to turn us back to the mercies of open slather. When we were receiving 6d advance and 50' per cent, of the dairy farm were insolvent, Mr Polson, M.P and national president of the Farmers’ Union, asked the Coates Government for a repayable guaranteed price of lOd and they refused this small assistance.

The third . year the Guaranteed Price was built on 124 s 3d per cwt. London; and taking the costs from the Dairy Board’s Table of Approximate Prices, October 10, 1935, the pay-out would be 15.88 d. I received from the New Zealand Dairy Company 16.45 d. The point I want to make here is that Mr Nash received 114 s 5d only and under the farmers’ own devise the pay-out would be 14.29 d so we we received a benefit of 2.16 d per lb. At this point (July 31, 1940), there was

a debit in the Dairy Marketing Account of £1,888,377. The war had started and the British Government decided to buy f.o.b. N.Z. and Mr Nash was offered a price equal to 115® per cwt. London. Mr Nash held out for the 124 s 3d or better. Finally the price was arranged at 112 s 6d f.o.b. Converted to New Zealand currency we get 14.88 d butter; reduced to butterfat the pay-out is 15.88 d. I received 16.49 d, the following seasons 16.45 d and 16.9 Id and this season we will get 18d provided we tighten up our grade a little. The price, 112 s 6d is for the duration and twelve months after.— I am, etc., Awaiti, 30:8:43. H. E. HILL.