WAIRARAPA PRODUCTION

Wairarapa Times-Age, 11 February 1939, Page 3 (Supplement)

WAIRARAPA PRODUCTION

OBSERVATIONS BY MINISTER OF FINANCE

Benefits of the Guaranteed Price

MARKETING NEGOTIATIONS IN BRITAIN PERHAPS more than other dist riels, the Wairarapa depends on agricultural and pastoral pioduetion, with pastoral- production predominating. In terms oi industries this, means tm •

sheep-farming, dairy-farming, shearing, slaughtering, buttermaking, cheese-making ami the supply of farmers’ requisites are highly important. If the basic industries, namely sheepfarming and dairy-farming, suffer, then the whole of the Wairarapa suffers. There is less business done in the shops. I hewer people are employed. Farms t hemselves begin to go back. It may fie asked what notice does the Government take of. this position. It will be clear to every shopkeeper and dairx - farmer in the Wairarapa that stability has been brought to the district as far as dairy produce is concerned by the institution of the guaranteed price. Whereas formerly the dairyfarmer had to suffer fluctuations in prices beyond his control, now he knows in advance what he is to get lor his produce. Now he ca'n make commitments ahead. He can arrange his spending from month to month. Not only does it benefit him I but it benefits the shop-keepers and all those who depend partly or wholly for theiii employment on farming expenditure. Particularly has the guaranteed price been of assistance to cheese factories. Three or four years ago cheese factories were closing down because the returns from the sale ol cheese

were not bringing them, or the farmers supplying the cheese factories, a sufficient return m comparison with production of butterfat for butter-making to enable them to carry on. But the Government pays more for cheese on the average to provide a better payout lor butterfat 1o all those who supply cheese factories. This has reversed the trend and now we no longer find that cheese factories wish to close down. _ ; , There is no doubt that all farmers appreciate the benefits which a stabilised guaranteed price can bring. _ On the side of mutton and lamb, in which the Wairarapa is greatly interested, the Government is continuously active. Almost weekly cables are going backwards and forwards between the New Zealand and the British Government discussing the mutton and lamb situation.. there are frequent meetings of Government and Aleat Board officials in London with the officials ol the British Government discussing the supplies of mutton and land) to the United Kingdom market. In 1937 New Zealand was threatened with the imposition of a levy on mutton and lamb and the severe curtailment of supplies to the United Kingdom, but by means ol negotiations carried out in London freedom from a levy on mutton and lamb was secured tor a luijher period, which meant that the New Zealand sheep-farmer did not have Io assume this heavy burden, while the amount of mutton and lamb arranged to be supplied, to the United Kingdom market was the highest in New Zealand’s history. At the present time the Government is engaged in further discussions to ensure that’the New Zealand sheep-farmer gets the best possible consideration. . _ . Representations have been mafle to the Government in connection with (he reversion ol land to second growth—and inquiries are proceeding to ascertain the facts . and to determine what, steps if any are necessary to ensure the maximum production of primary products for whie.li sales can be made—as it is upon these products and those produced in our factories, thqt the economy of the Dominion and its development must rest. (Signed) W. NASH, • Minister of Finance and Marketing,