The Waikato Times FRIDAY, MAY 13, 1938 THE FINANCIAL SIDE

Waikato Times, Volume 122, Issue 20497, 13 May 1938, Page 6

The Waikato Times FRIDAY, MAY 13, 1938 THE FINANCIAL SIDE

If , as has been predicted, a spell of cold weather should th® inroads of the scourge that has taken ° ol n e stock during the past few weeks, the time has arrived * e au^ to make an investigation of the financial losses and position of the producers who have been so heavily hit. The w°i o mi estigating every aspect of the outbreak must, of course, go on, and any decisions reached must be made available to the proucers so that they may be in a position to take preventive action next season. There can be no armistice in that campaign for the as . l J ? ln dnstry of the Dominion is involved. It is because the disease stn es at production that the Government is directly concerned, ts policy is based on a steady increase, and unless that is assured t en many estimates will prove seriously astray. The losses incurred during the last three months have crippled some producers, and seriously handicapped others, and the Government should take steps to ascertain their extent.

Something has been done, and with commendable promptitude, to assist the farmers who suffered so severely in the floods in Hawke’s Bay and elsewhere. They have been placed in a position, by circumstances over which they had no control, that made assistance necessary, and the expenditure by the State on rehabilitating these unfortunate settlers will not be questioned. But those who have lost their herds, or flocks, by reason of this strange scourge have been placed in a position that is equally difficult. They may, unlike their fellow farmers in Hawke’s Bay, still have their farms in good order, but the earning power is represented by the stock, and if that has gone then the capacity to earn a living has also disappeared. The first thing to do is to ascertain definitely what losses have been incurred, and the financial resources of the producer. Those that can carry on will do so, but there are some who must have a measure of assistance if they are to continue. Just what form that assistance should take must be left to the Government. It would doubtless be guided to some extent by the reports submitted, but with the approach of another producing season there is need for action. Those engaged in dairying could possibly obtain some stock from farmers who intend to reduce the size of their herds because of a decision to go in for mixed farming, and at the end of every season there are usually many clearing and deplenishing sales. But unless some of the men who have incurred the heaviest losses are given assistance they will not be in a position to take advantage of these opportunities. It will take a long time for many farmers to work their way back to a position of economic £tabilitj r , but practical assistance at this time would enable them to make a start, revive hope and tend to maintain production. If investigations should disclose that the number of those adversely affected was below the general belief it would help by limiting the need for State action. Mr Savage has said that farmers must be kept on their holdings, and as this scourge may make that impossible for some of them, if compelled to rely on their own resources, a carefully prepared plan, covering a reasonable period so as to make the added burden as light as possible, would, be in the interests both of the producers concerned and of the Dominion.