PAYMENT OF SUBSIDIES

Wairarapa Times-Age, 10 June 1943, Page 3

PAYMENT OF SUBSIDIES

FROM WAR EXPENSES ACCOUNT DEFENDED BY MINISTER OF MARKETING. POSITION OF PRIMARY PRODUCERS. (By Telegraph—Press Association.) WELLINGTON, This Day. Defending the payment of subsidies from war expenses, when he spoke in the Financial Debate in the House of Representatives yesterday, the Minister of Marketing (Mr Barclay) said that £1,250.000 was the subsidy on .fertilisers spent last year to ensure that the farmers got them at the prewar rates. Would the Leader of the Opposition say that sum should not be charged to ‘war expenditure, he asked. While Opposition members alleged the farmers 'were suffering hardships they did not explain why it was that land values were increasing, the Minister continued. Commercial and banking shares were practically stationary, but land values were soaring. He quoted a case of 150 acres being sold in the Patea district at £76 an acre.

Referring to rehabilitation of returned men on the land, Mr Barclay said there were 14 farms with houses ready for occupation and another 70 to 80 awaiting'houses and other equipment to be ready for settlement. The Government was determined to settle men but not on secondary land or farms bought at exorbitant prices. That was the difference between the Government and Opposition policies. Referring to the guaranteed and other produce prices the Minister said all had been arranged after consultation and agreement with the industry's representatives. The woolgrowers were getting the best deal of all producers, their prices being 61 per cent above pre-war rates, while the dairyfarmers enjoyed only 3.4 per cent and wage-earners from 5 to 10 per cent. In spite of allegations by the Opposition that’ the woolgrowers were suffering hardships only about 11 per cent had appealed to the Government for assistance, and 75 per cent of the claims had been granted.