WHEAT MARKETING

Ashburton Guardian, Volume 53, Issue 255, 9 August 1933, Page 7

WHEAT MARKETING

PROPOSED NEW ASSOCIATION. MEETING AT TEMUKA. A meeting was held at Temuka on Monday afternoon to discuss the proposed association of all wheat-growers. Mr L. V. Talbot, who convened the meeting, was voted to the chair. The chairman said that-, in convening the meeting, he was acting on behalf of the Wheat Board committees and the “free” wheat-growers. Mr Alan Grant, a member of the Wheat Purchase Board, was present to discuss matters connected with the proposed new association. 1 In a lengthy address, during which Mr Grant touched upon matcoi’s not yet made public, he said that the development of organised marketing of wheat was begun by the Wheat-grow-ers’ Association, a body comprising about half the growers, and they entered* into an agreement with the millers, leaving the “free”, growers without representation on the marketing body. Since then, the latter had secured representation on the Wheat Marketing Board. The millers were also represented, and one result was that they were bound over to pay a certain fixed price for wheat. One penny a bushel was deducted from the grower’s return under the new scheme. This has since been returned. The Board had still about £BOOO profit from the sale of brail and pollard, even after the expense of running the scheme had been deducted. New Factors. For the new season of 1933 the directors had found it impossible to carry on under their former lines, owing to several new factors, one of which was that new mills had been built and there was a prospect of a. flour war. There was also a record crop in Canterbury, and Cabinet had viewed the question so seriously that tho new wheat marketing regulations were prepared within a few days after the position had been described by the Board. The Wheat Purchase Board was then appointed to administer the regulations. At the present time the established mills had 87 per cent, of their allocation and the new mills (50 per cent. A statement for the consideration of the Electoral Committee, which will meet in Christchurch on August 16, will be submitted, showing that the returns received by the Wheat. Marketing Board at an average of 32 bushels (last ten years’ average) would show a yield of about 9,280,000 bushels, representing a surplus of 750,000 bushels. (The present season’s average up to date is 37.80 bushels an acre). Unrest Among Millers. In view of tho present unrest among millers owing to several new mills beginning business, and these fighting to get a share of the flourmilling trade, it might prove to he difficult for the Wheat Marketing Board to retain its working agreement with the millc and should a fight take place amongst the millers, wheat-growers must have a strong organisation to protect themselves, as the millers, if fighting among themselves, would probably adopt a hand-to-mouth policy in buying, and thus make the selling and financing of next year’s crop a slow and almost impossible task, with disastrous consequences to the growers. Ou the other hand, the sliding scale of duties was being constantly attacked by interested North Island parties who hoped to profit by its abolition, and it was essential that the growers should have some representative body which would be in a position to safeguard their interests. Strong Organisation Needed. Therefore it was necessary that a strong organisation should < be established. It was proposed to incorporate an organisation in the form of a company, and for electoral purposes the wheat-growing area would be divided into eight districts, returning members as follows: —North Island, two members ; Marlborough, one; North Canterbury, 13; Mid-Canterbury, 13; South Canterbury, 13; North Otago, 4 ; South Otago, 2; Southland, 2- total, 50. It was proposed to ask all growers having an interest in .the- balance of the equalisation fund to give their share towards the effective establishment of 'the proposed corporation; the growers who have no interest in this fund to be asked to contribute on the basis of £1 for each 50 acres of wheat grown last year. In conclusion, Mr Grant said that such a scheme as had been outlined could not succeed unless it received the whole-hearted support and co-oper-ation of the members of the electoral committees. In the opinion of the directors the present position was as critical as any yet experienced, and it was only with the unanimous support of the wheat-growers, and by showing a combined front, that the executive would be able to make the power of organisation felt, and so protect the industry. A motion was passed to the effect “That the meeting, representing the wheat-growers of Temuka, give their full support to the proposal.” A vote of thanks was passed to Mr Grant for bis address.

Meeting at Geraldine. Mr Grant addressed a meeting at Geraldine on Monday night. Mr J• A. McLean presided'. Air J. 1 C. South moved—“ That this meeting favours the formation of an association of wheatgrowers as suggested.” The motion was carried.