THE HEMP MARKET.

Manawatu Herald, Volume XXXVI, Issue 1303, 26 September 1914, Page 3

THE HEMP MARKET.

We have received the following letter, with authority for>publica tion from the writers, which has been forwarded by the proprietors of tne Moutoa Estate to mille»s drawing their supplies of green leaf from that source :

“We desire to acknowledge the receipt ot your letter dated 25th August, 1914, respecting the question of a temporary reduction in the royalty on the green flax supplied from our Moutoa Estate, and in reply we desire to say that owing to the very unforseen dis organisation of the hemp market in London, we are in full accord with your desire to have a modification made with respect to royalties, to become due in the month of September, and you may rely upon our fullest sympathy and earnest wish to render any reasonable assistance in our power for the purpose of keeping the mills running if at all possible. We, however, desire to suggest that all parties concerned, employed or engaged in the flaxmilling industry should co-operate iu rendering their respective assistance towards the much-desired object of keeping the industry alive during the terrible and unprecedented disruption of the world’s trade and commerce, and we therefore trust that the New Zealand merchants, yourselves as millers, your employees, and our firm as suppliers of the raw material, may face the position with courage and determination to withstand the financial, commercial and economic siege which is inevitable for several months at least. In order to achieve this object it will, we are sure, be recognised that all parties concerned must, whatever the temporary hardship may be, comply with such conditions as will prevent and avert the great disaster to the employees, their wives and families should the flaxmilling industry be shut down during the ensuing summer months. This fact, we trust, may be fully recognised by at least the large majority of the employees now engaged in the industry. We have, therefore, no hesitation in saying that we have every confidence in the intelligence of those most vitally concerned, and fully believe that all will recognise (as we ourselves do) that this is not the occasion for making a bargain between several sets ot persons with diversity ot interests, but it is a question ot allying ourselves together with the one common object, namely that of keeping the industry on foot at all hazards and so preventing the terrible consequences which must inevitably happen unless the determined cooperation suggested be given the fullest and most serious consideration. We hope, gentlemen, that you will pardon the great length at which we have dwelt upon the subject, but feel sure that the grave and serious result which will happen in the near future unless the general principles herein contained be adopted, we also feel sure that you fully recognise the seriousness of the position that we have ventured to express iu order that this communication may at least serve as a basis upon which to establish the most highly mutual co-operation which it is reasonably possible to obtain beteen all parties concerned whose interests are one and one only. Coming now to the point of detail between yourselves as millers and ourselves as suppliers, we desire to say that after lull consideration we believe that instead of fixing the royalty for September at the minimum of 5s per ton, we consider that although there is at present but little demand for hemp in the London market in sympathy with the recent rise which has taken place in wool, there may be a similar rise in hemp in the near future, and as hemp was at the last quotation 10s per ton in London our royalty consequently being 9s 6d on the green blade, we confidently trust that you may be pleased to consider 7s per ton royalty which we are willing to accept, a very substantial and liberal consession to be made by us, and this we are prepared to do in the full belief that if all other parties concerned iu the industry make concessions commensurate with this or nearly so it will be the first step towards ensuring a certain continuance of operations. With respect to the several other provisions or requests contained in your letter, we desire to suggest that it will be better in the interests of all concerned, and may probably avoid misunderstanding or unnecessary complication, if each vital question be considered and dealt with as it arises, and we give you our most cordial assurance that nothing will be wanting on our part to give the fullest effect and most hearty co-operation to the principles which we have indicated.”