GOODS TARIFF

Wairarapa Times-Age, 15 September 1938, Page 9

GOODS TARIFF

MOVE FOR PRICE FIXATION IN WAIRARAPA LICENCING AUTHORITY TAKES DEFINITE STEPS. POSITION OF THE FARMER. Bargaining was very much in evidence yesterday at a meeting of carriers and users, held in the Farmers’ Rooms, to consider the fixing of a tariff schedule for the transport of goods by road in the Wairarapa. The meeting was presided over by Mr F. A. Davis, accountant of the Transport Department. After proposals for an adjournment until December had been advanced by the representatives of farmers and other interests, and counter-proposals had been put forward by the carriers for an early consideration of the schedule, it was agreed to fix the wool rates for the season and to leave the other items for consideration on December 14, the understanding being that every effort should be made by the parties to reach an agreement. According to advice received from Mr D. W. Sims, the secretary of the No 2 Licensing Authority, the procedure to be adopted is as follows: Carriers’ Association to hold a meeting with users in an endeavour to arrive at an agreement. After this meeting has been held the Licensing Authority will hold a public sitting, at which evidence will be taken from both sides before the schedule is completed and ratified. Before the ratification of any price schedule it will be necessary that the carriers in the areas affected shall satisfy the Authority that the internal organisation of the industry is such as to guarantee a reasonably good observance of the schedule of prices. FARMERS’ VIEWPOINT. Mr A. P. O’Shea, Dominion Secretary of the Farmers’ Union, stating that he was speaking on behalf of a meeting held that morning of representatives of the Farmers’ Union, stock and station agents, freezing works and county councils, said the matter had been discussed at considerable length. It was felt that it would be very undesirable for the parties represented at the meeting that morning to bind themselves to a schedule at the present juncture. One of the reasons put forward was that the position of the farmer at present was very uncertain. The total exports for the June year 1939 were £23 millions less than for the June year, 1937. Wholesale prices in England, according to the Board of Trade index figures, had fallen from 111.5 in respect for all articles in July, 1937, to 100.7 in July, 1938. It looked as if the fall in prices would continue. In New Zealand wholesale and retail prices continued their upward trend and the farmers felt that it would be unwise to enter into any binding agreement. The meeting, said Mr O’Shea, was against the principle of fixation at the present time and considered that the whole matter should be held in abeyance. The farmer would be in a better position in December to get a real line on wool and meat prices for the coming season. The present arrangement was working quite satisfactorily and it was felt that this should continue for some time at least. REASONABLE RATE WANTED. Mr L. Pearson, chairman of the Wairarapa Licenced Transport Federation, said the meeting had been called to try to get a reasonable rate fixed for the carriage of goods in the Wairarapa. The carriers were not asking for any exorbitant rates. They were wanting to get a reasonable living for all concerned. At present they were scraping along and only getting a living of some sort out of the business. The transport authorities in New Zealand were endeavouring to put things on a decent standard for everyone. If the carriers and users could not amicably agree a sitting of the Transport Authority would fix the rates for the district. Mr G. L. Thomas, secretary of the Wairarapa Licensed Transport Federation, observing that price fixation was a knotty problem, referred to previous efforts that had been made in 1936, to fix rates. The carriers of the district, he said, could be credited with giving an excellent service. The present proposal to fix rates was an honest effort to put the industry on a payable basis. With one or two exceptions, said Mr Thomas, the carriers of the district, in common with other parts of New Zealand, were living on their capital. There was not the margin to come and go on and there was a desire that a reasonable rate should be fixed and brought into operation. ACTION BY AUTHORITIES. Mr Davis said it was the desire of the Authority that a schedule should be fixed by the users and carriers on 1 what was considered a fair price for carrying service at the present time. He stressed the fact that if a schedule were agreed to, application could be made to the Authority at any time tohave it amended if the occasion arose. He pointed out that price fixation had definitely come in as regards licensed operators in New Zealand and the four licensing authorities had taken steps to bring it about. Whether it was desired by the users and carriers or not the Authority would be fixing prices and if possible, it wanted them to fix the figures by mutual agreement. The Authority would keep a careful watch of the position and if it was considered that the prices were too high or too low adjustments would be made. A plea for an adjournment until December was made by Mr L. T. Daniell, who spoke on behalf of the Transport Committee of the Wairarapa Farmers’ Union. He asked that the matter be postponed until December, to enable the farmer to ascertain the position in regard to wool and fat lamb prices. The'sheep farmer had no guarantee to work upon. Mr Davis: “We can't compel you to discuss this schedule and if the Farmers’ Union feel they can’t discuss it, well, that’s all there is to it.”

Mr O’Shea: “We want to be reasonable and to be fair. We do feel that just at the moment, when things are so uncertain, it would be unwise for us to take any move of this nature. We may find that wool will be back to 4d to 6d. If war does not break out we nay find a recession in England. You know the costs the farmer is bearing at the present time.” PREVIOUS NEGOTIATIONS. Mr Pearson pointed out that in 1936 a meeting of carriers and the executive of the Farmers’ Union was held to discuss a schedule. Prices were discussed and put before the Farmers’ Union and the present schedule was a shade lower

than the one in 1936 while carriers’ expenses in every way had risen'in the last two years. Although it was stated that the schedule was a very fair one, said Mr Pearson, the Farmers’ Union said then that it could not agree to the fixation of prices. After further discussion in which proposals and counter-proposals were put forward by both parties, it was decided to give consideration to the rates for wool, which were fixed after negotiation for the coming season, the other items on the schedule being left in abeyance until December 14. The rates fixed for wool were as follow: Up to two miles Is per bale; from two to five miles, Is 6d per bale; five to six miles Is 9d per bale; six to ten miles 2s 6d pen bale; ten to fifteen miles, 2s 9d per bale; over fifteen miles ljd per bale per mile. Back loading means a load both ways, the rate being 6d per ton per mile.