WHEAT AND FLOUR

Manawatu Herald, Volume XLVIII, Issue 3003, 25 February 1926, Page 3

WHEAT AND FLOUR

DUTIES TO REMAIN,

With a view to giving every encouragement to farmers to grow sufficient wheat for the Dominion’s requirements, the Government has decided to retain the present duties on wheat, flour, bran, and pollard. The following statements was made by (lie Hon. 0. Hawken (Minister of Agriculture) after a Cabinet meeting .yesterday:— “The Government has given further consideration to the position of New Zealand, in regard to the Dominion’s supply of wheat and wheat products, and has decided that it is desirable in the interests of the country generally that every encouragement should be given to ensure sufficient wheat being grown for bread-making, and also for the supply of stock foods which are esssential for the poultry and stock-raising industries. With this object in view, therefore, the present duty on wheat of 2s per cental will remain, together with the duty on flour of £3 per ton and on bran and pollard of £1 per ton.

“In coming to this decision, the Government is aware that the millers may probably find it difficult to import wheat for gristing, but any variation of the course decided upon would result in uncertainty in the minds of the farmers, who naturally might hesitate to grow more wheat, and so defeat the object of the Government in its desire to make New Zealand selfsupporting in respect of its wheat supplies.

“The poultry industry would find it difficult to carry on and pay the full duty. This is particularly true of the North Island.

“Therefore, it has been decided that permits, duty free, under supervision, will be granted for the importation until next harvest of such wheat for fowl feed as may be required from time to time; but it is not intended that these permits shall be granted after the next harvest.

“Under the arrangements decided upon, the wheat grower should receive the full market price for all Hie wheal lie has to sell, while it is unlikely that the consumer will be called upon to pay anything extra for bread. With the exception of the wheal requirements of the poultry industry, the Government sees no reason to interfere with the ordinary course of business. In dealing with this problem, it is imperative not merely to have regard to the present local situation, but to recognise that all over the world each country is tending more and more to absorb its own wheat production, and that it is becoming increasingly dangerous for a country like New Zealand to be dependent, even partially, on overseas supplies."