THE COST OE LIVING AND WAR PRICES.

Levin Daily Chronicle, 1 December 1917, Page 3

THE COST OE LIVING AND WAR PRICES.

Ihe Century Ilall was about half filled last night when Mr H. E. Holland, of elliugton wa« announced to give an address on war profits in re. lation to the cost of living. Mr Scobii'o occupied the chair. Mr Holland sa.icl that in October a large deputation waited on the Prime Minister in Wellington and were told that the Government had done all that was humanly possible to keep prices down and give a square deal to the people of New Zealand. The speaker contested this statement and said that in no country ww there such towering incapacity -in administration as in New Zealand. The Labour Party oame with no wild declamation but with facts and figures taken from the Government's own Year Book and Monthly Abstract to give the answer to t-lic Prime Minfes-jte-r's utatcme-nt. The speaker contended that tho Government's administration and -legislation had been | in the interests of the class which put I it in power. The cost of living had j increased by 50 per cent in the aver, age working class home, but on the other hand wage- bad only risen fO pel cent. Taking the three food groups—groceries, dairy produce and meat—the Government Abstract showed, that there had been a rise of 27. 33 per cent in August last as compared with July, 1914. The purchasing power of the sovereign in tho last June quarter was only la< sdi, that was it took 27s to purchase what 20s would have purchased in the 1910-1913 period. Tho Government- had. made no serious attempt to prevent the increase in the cost of living, but had stood on the side of the exploitcnand had placed tho power of the law and the- machinery of Government at their disposal. The speaker then went into details of various products. Tho u'o-ol capitalists had received in three years £13,812,339 in war profits although they liadi delivered many millions of lbs less of the article, which was used to cloth tho boys in the trenches—that was "the practical side ol patriotism" according to Sir Josejjh Ward. The British Government offered 50 per cent increase on pre-war rates but the growers demanded and got' 55 per cent. The butter producers got per cwt £5 7s lOd in 1914. £6 13s Gd in 1915, and £7 in 1916. In 1917 up to August 31st the price was 158s ' 7d. Tho British Government first offered the New Zealand p'rodaicers 155s this season, but the offer was refused,-, the capitalists in. sitting that the price here should be regulated by the London parity. They eventually got 1575. The total war profits on butter were £2,598.732 in three years, and that for greatly decreased production. War profits on cheese totalled £3,701,34/ ; on beef £7,070,348; on mutton £7.984,522; on lamb £4,756,092; and on flax. £929,559. Tlie price per lb of sheepskins in '1914 and 1915 was - a trifle over 62d. In 1916 it lifted to 7jd and in, 1917, when it wasdi-covered that sheepskins were needed for win- | ter clothing for tho soldiers, the price soared up to a fraction under Is 4d. The total war pro-fits on sheepskins were £1,218,157. Wheat pr-ofitr totalled £1,94'1.875. The average price before the war was 3s 6d. In 1915 it averaged 6s 6d. He asserted that by a. scientific method of production wheat could be grown at 2s per bushel and condemned the interference with the law of supply and demand which prevented New Zealand from taking advantage of the huge surplus in Australia. SchoeJitc and tallow also showed large' war jirofits and the grand total on exported goods was £28,011,094 and on locally consumed goodis £17,465,093 —in all £45,476,137. The speaker criticised an appeal sent out by tho New Zealand Natives' Association of which the Hon. A. L. Herdmail was president, for gifts to supply tho wives and families of our soldiers who were away fighting with Christmas dinners. The appeal stated that had it not been for a- bullock given by Mr E. Short, of Feildl.ing bust year a number of families would have been without meat for Christmas. This was at a time when the cold stores were stocked to the bursting point with meat, butter wind cheese. What wouldi the soldiers in tho trenches think when tliey knew that it was necessary to cadge the material to feed their families in New Zealand. The Government should pay whatever was necessary out of tho consol.dated fund. Ho contrasted the refusal to pay trade union wages to men who, were risking tlioir lives daily with the increases of salary given to public prosecutors in Now Zealand and to other highly paid officers. He referred to tho authority given tho Banks to refuse to pay gold for paper and the proportion -of reserves to liability, and said, while this was backed by the Government guarantee, tliero was no danger but what would happen after the war when thousands of soldiio'rs returned clamouring for work the Government would not be able to give them, when producc prices fell as they inevitably must bringing land piiccs with them. Then a Government would bo needed capable of grappling with the situation, a Government which had studied) economics and scientific methods of production and admini.sti.ition, and such a Government was offered' by the Labour Party. Questions were then invited. Mr Holland declared the first one required an answer that contravened the War .Regulations. "I am not knocking at the gaol doors; I have been there once or twice," lie said. Mr Jas. Prouse challenged the statement that the butter people- refused 155s this year and demanded 1575. He asked what authority Mr Holland had for that assertion. Mr Holland: It was published: in the Dominion as a statement by the Government- and was never denied. Mr Prouse .said he was one of thirteen who did the business: for the sale of the whole- of tho New Zealand butter. A preliminary meeting for the province was held at Palmerston and the statement made that 155s was refused first appeared in a Palmerston paper. It wan quite incorrect and the speaker spoke as one who knew. Ihe l'.iitish Government offered 155s and every factory in New Zealand agreed to accept that price if the British Government saidi'the butter was needed for the soldiers, the munition workers or the British people, though they considered that it was not its value re-

lativo to the price that was being paid for clieose. "I hope you will not make that statement before any other audfience because it is not true" added the speaker. Mr Holland: It is the Government statement in the Dominion. AVill you abido by tho Government's answer as to whether it is true or not. Mr Prouse: No, I wl-Il not. What I have stated is the truth and the Government has nothing to do with it. I was at the meeting and knew the facts. Mr Holland contended that there was no justification for even '155s being paid. The cost to the producers was not that much greater. Wages had not risen in proportion. Tho statesmanlike course would have been to have commandeered the butter at the beginning. Mr Prouse ire-iterated that there was no refusal to sell at 155s which the Home Government offered. At the time Argentine was reoriiivl.ng :171s, Ireland 220s and Denmark 400s to 450b. The price was not on a parity with the cheese prices, but the butter producers were willing to sell if the British Government said "We want it at that price." But tho producers wanted to- be sure that the British people were getting it at the same figure with tlie cost of distribution added. The whole of tho butter producers of New Zealandi were loyal to the principle tlialj, if the British Government wanted their butter for tho soldiers, munition workers and public they only had to name the price. But at the same, time they d,id not see why neutrals should get so much more than was being paid to their own people in New Zealand. Mr Holland said tlie Government took the men for tho trenches at 5s per day. There was no choice. Surely tliey were justified in doing the same thing in regard to these products. If it was right to say "Your life belings to the State," then it was equally right to say "Your butter, your cheese, your money belongs also to the State" The speaker said the columns of the Mao-riland. Worker would be opened to Mr Prouse to set out and argue his contentions. On tho motion of Messrs Smith and Killeen the following motion was passed. "That thlis meeting of citizens of Levin records its condemnation, ofthe Massey-Ward Government in relation to war profits and the cost of living and urges all electors of progressive thought to become members of tho New Zealand Labour Party."