THE GUARANTEED PRICE

Press, Volume LXXVI, Issue 23194, 4 December 1940, Page 5

THE GUARANTEED PRICE

* MINISTER’S DEFENCE “DAIRY FARMER BETTER OFF” [From Our Parliamentary Reporter.! WELLINGTON. December 3. A defence of the guaranteed price scheme was made in the House of Representatives to-night by the Minister for Marketing (the Hon. W. Nash). He said he was satisfied on the evidence of years that the dairy farmer was better off under the guaranteed price procedure of the last four years than he would have been without that procedure. The testimony of New Zealand’s competitors was that the organisation of the marketing machine was near perfection. On that record he was content to let. the farmers judge when they knew facts. A detailed review of the scheme and its operation was given by Mr Nash, who said that factory costs had declined, interest rates were not higher, and fertiliser costs were guaranteed. Discussing the post-war difficulties he said that although New Zealand had some arrangement with the British authorities for the agreement to continue- till there was an element of stability in the market at home, the Dominion might be faced with abnormal output and abnormal supplies of margarine. Those were the days the Government would meet, when the guaranteed price would require again to be given some consideration. Mr W. J. Poison (Opposition. Slratford): What do you mean by that? Mr Nash: If there is an abnormal fall in the price of butter overseas, we would have to protect the dairy farmer against if, by paying something to his costs and his own living.