Ashburton Guardian Magna est Veritas et Prævalebit. THURSDAY, NOVEMBER 25, 1937. THE PRICE OF WHEAT.

Ashburton Guardian, Volume 58, Issue 39, 25 November 1937, Page 4

Ashburton Guardian Magna est Veritas et Prævalebit. THURSDAY, NOVEMBER 25, 1937. THE PRICE OF WHEAT.

Considering the matter from the point of view of the consumer as well as that of the producer the announcement by the Minister of Industries and Commerce regarding the price for the 1938-39 wheat crop must be regarded as a fair one. Growers in this district have shown reluctance to commit themselves to a definite opinion on the matter, but sufficient has been said to give the impression that there is not very much to criticise. The chief consideration raised is fear that a tendency to rising costs may render the stated price unprofitable. If the Minister’s statement is interpreted correctly this fear should not influence the decision regarding the acreage to be sown. In his message to United Wheat-growers, Mr Sullivan said: "Present conditions, as well as facts recently disclosed by my personal investigation, give me solid reasons for believing that the price for the 193839 crop will be about the same as that recently announced for the coming harvest." Does not that imply that if conditions change in the meantime the figure will be different from that fixed for the crop soon to be harvested? The crux of the question is in relation to costs and the statement by the electoral committee of United Wheat-growers that the present price is fair and reasonable may be accepted as the considered opinion of men with knowledge of the conditions and requirements of the industry. That being so, there does not appear to be in the Minister’s announcement anything to discourage growers, who, however,"are entitled to full compensation for any increase that may take place in costs of production in the next eighteen months. It must be remembered that importation of wheat to make up any shortage has an indirect effect on the Dominion producer by the fact that diminution of employment in industries that are stimulated by cereal-growing necessarily tells against the fullest economic prosperity of the community generally.