THE Wairarapa Age MORNING DAILY. WEDNESDAY, DECEMBER 18, 1912 THE WHEAT DUTY.

Wairarapa Age, Volume XXXI, Issue 10713, 18 December 1912, Page 4

THE Wairarapa Age MORNING DAILY. WEDNESDAY, DECEMBER 18, 1912 THE WHEAT DUTY.

The proposal to introduce a reciprocal policy between the Australian Commonwealth and New Zealand, is being viewed with apprehension by those- engaged in the flour-milling trade. It is urged that, if the duty on wheat and flour wore removed, a blew would be struck at an important industry in. this,' Dominion. That argument would hold good if it could be shown tliat any considerable number of people depended upon wheatgrowing or flour-milling for a*n, existence. In point of fact, however, there are not more than 20,000 people in. the whole Dominion wlio are directly or indirectly concerned in the wheat industry. If the duty on wheat were removed, a large number of these people would devote their attention to other profitable forms of industry, and few, if .any, would be thrown out of employment. In the North Island. 1 wheat-growing is slowly, but surely becoming a thing of tho past, while even in Canterbury there is a disposition to abandon the industry in favour of dairying. Why should the great mass of people in this Dominion have to pay through the nose, as it were, for the most important item in foodstuffs? Already large quantities? of wheat and flour are imported from Australia, and the wheat and flour ring so regulate their prices that a handsome profit is made at the consumer's expense. Assuming 'that every flourmill in New Zealand were to close down, and the plowing of wheat wern to ho rendered impossible through Australian competition, would the people of the country he suffering at great injustice? Most assuredly nos. The few hundred people who would be immediately affected would find many other avenues for tire employment' of their capital and energy. It Seems to us to be a monstrous thing tna% tk« wftoT* popijlu-

tion of the Dominion should bo fleeced for the sake of keeping together an industry that i.s already on its last legs). The duty at present imI>asod upon Australian flour is 20s per ton, and upon wheat 9d per cental. This duty i-s paid by the whole community in good and bad seasons alike, and for no apparent reason other than to protect a ring of wheatgrowers and flourmillers. That a ring, or oombine, is in exigence, is unhappily too true. Flourmillers are bound to deal only with an Associa-' tion; bakers arc compelled to buy, and pay the price, from members of the ring. The flourmillers themselves, if they had an eye for the perspective, would favour the removal of the duty on wheat. Apparently, however, they are not allowed to discriminate in the matter. They, and the bakers, aro biflwd band nnd foot. When Mr A. W. Hogg stood up in the "House a few yearn back and demanded the free 'importation of flour, he was met with violent opposition from those who claimed the name of "Liberal," and he was accorded practically no support. All the same, ho was distinctly !on the right trade. 'The Reform Party, if it intends justifying the confidence of the country, will require to tackle this question in real earnest. In recent years Protection bast been allowed to 'run mad in the Dominion. We have been bolstering up industries at the expense of the general taxpayer, simply to find occenpations for a few thousand people, who could be more profitably employed in developing the latent resources of the State. There is a growing feeling that the adoption of a Protective policy by an exporting country is economically wrong. The only justification for an import duty is to protect the British Empire against sweated foreign countries, and to provide the necessary revenue for the maintenance of the ordinary 'services of the State. On no other plea can it be justified. We look, then, to the Reform Government to' propouna a scheme of reciprocity with sister States that will afford assistance to the great bulk of our producers, while at the same time bringing relief to the consumers of the Dominion.