THIS SIDE AND THAT.

Waikato Times, Volume 121, Issue 20264, 5 August 1937, Page 8

THIS SIDE AND THAT.

The question of prices for dairy produce continues, and will continue, to be the centre of discussion. It will be exceptionally interesting to have the views of the Minister of Marketing when he returns, for his was the guiding hand when the legislation was before Parliament, and the decision not to announce the new prices until his arrival is evidence of the weight his views carry. It will have been noted that during the discussions the authorities have said very little regarding the adequacy of the prices fixed for 1936-37. They were admittedly experimental, but some fairly extensive claims were made for them, and it would be informative if someone were to review the position in the light of the experience gained. The prices were fixed on averages and advanced with strong expectations. The results are matters of hard fact.

Last week Mr Savage made a passing reference to the matter stating that although some farmers argued that they had not received the prices they thought they should get, “I think they all realise that at least they have got security." It is a pity that the Prime Minister did not amplify his statement. It is not e\*en, clear what kind of security was meant. Economic security depends largely upon income exceeding expenditure, and there must b« a sufficient margin to provide that standard of living promised in the Act. This statement by the head of the Government should be compared with one made by the chairman of Te Awamutu Dairy Company. Mr Alexander said that the increase in the returns had been nullified to some extent by increased costs. These increases had been quite substantial even where the farmer and his family supplied the labour. “Where hired labour has been necessary the farmer is undoubtedly worse off than he was during the previous year." What security would Mr Savage say the man who hired labour had obtained? If the advances in costs have exceeded the increase in the returns, and those actively engaged in the industry state that at least some of the producers are in that position, it seems a little futile to talk of them at least having security. Financially they must have lost ground, and that means that the standards of living have fallen. In the circumstances security was not exactly the word to use.