PARLIAMENT

Nelson Evening Mail, Volume 77, 17 October 1942, Page 2

PARLIAMENT

TO-DAY’S SITTING INCREASED WOOL PRICES AN INJUSTICE ALLEGED [From Our Own Parliamentary Reporter] Wellington, This Day. The House met at 10.30 o’clock this morning. Complete review of all the fit, single men who have been exempted from overseas service was asked for in a question, notice of which was given by Mr J. A. McL. Roy (Nat., Clutha). His question suggested that their places should be filled by married men with families. The Prime Minister (Mr Fraser) moved the second reading of the Finance Bill (No. 2) and said that he would answer any questions raised when the clauses were beihg considered. Mr S. G. Holland, Leader of the Opposition. said the Bill gave the House an opportunity to discuss the grave injustice done the woolgrowers by withholding 10 per cent, of the increase in the price of wool granted by the United Kingdom Government. The increase was to compensate growers for increased costs of production. Costs had increased. Workers’ wages had gone up but there was no suggestion that portion of those wages should be held back like portion of the price of wool. Mr Holland pointed out that the Government had subsidised sugar and other commodities to stabilise prices in New Zealand and said that as the internal wool prices were stabilised woolgrowers should be protected with a subsidy. In reply to a Government member who asked if the farmers would go on strike if they did not get the increase. Mr Holland said they would not. They were loyal men but they would deal , with the Government at the first opi portunity. Mr J. G. Barclay, Minister of Agriculture, said the matter was still subject to negotiations between the Government and the Stabilisation Committee. In response to interjections he revealed that he had received con fidential information in Australia that one of the reasons for the wool price increase in Australia was to safeguard Australia’s sterling balance during the war period. To enable New Zealand woolgrowers to get the extra 15 per cent, either the taxpayer or the consumer in New Zealand would have to pay about £200.000 which would have to be found out of the Consolidated Fund That would cause inflation because it would be impossible to get the extra volume of goods to offset that