PRACTICAL AID

Bay of Plenty Beacon, Volume 2, Issue 188, 19 July 1940, Page 5

PRACTICAL AID

, ' . _ -—•*» : ' . ■ FINANCING PRODUCTION INCREASE LOANS FOR THOSE IN NEED "It should be understood that ;.any loans made under the -scheme outlined by the Prime. in his statement to the Press (which is reproduced on this page), must be for the -specific purpose of increasing production along the lines speci fied. Advances for normal farm-r - ing or seasonal requirements will not be considered," wrote Mr R. B. Tennent, Director of Primary Production, in advising the Eastern Bay of Plenty District Council of Primary Pro -duction of the steps necessary to implement the scheme where* toy those farmers requiring financial assistance could obtain loans from the State Advances Corpon^ ,; on. letter was read at a •sneeting of farmers held before a -special meeting of the District Coun ■cil on Wednesday. Those present fincluded Messrs R. Ruddick, Chairman; G. R. .Kent, Secretary; C* H. "Taylor, Department of Agriculture; W. A. McCracken, E. C. Haultain, B. A. Haultain, R. W. Dunning; . F. Mullins, E. Thompson (Opotiki); A. O. Meredith (Manawahe); W. A. Gault and H. S. Holmes (Opotiki); N. J. C. Macdonald, J. L. Burnett, :N. W. Carter, W. R. Boon and S. iP. Girdwood, State Advances Corporation, Tauranga. The latter ad.dressed the meeting, amplifying the •.scheme as outlined in the Prime Minister's statement and Mr T'ennent's communication. .Not an Unlimited Credit Fund. ]Ylr Girdwood emphasised that the -money would be made available only for increased production and the :scheme should-not be regarded as (providing unlimited credit outside of the usual or normal channels of finance. Farmers would be expected to arrange for finance for the additional work from norma} channels wherever possible. The idea was to have an Executive Finance Committee of each District Council of Primary Production, to consist of two practical faa-mers willing and capable of acting on the ■committee, together with a representative of the State Advances Corporation. This committee would liave at its disposal the staff and facilities of the local offices of the •Corporation. The main duty of the committee would be to review applications for loans and decide whether the proposals involved fitted in with the scheme for increased production as Jaid down by the National Council, Suggestion Adopted. In replying to questions, Mr Gird"wood said that money wouM quite definitely be available and the.rate of interest, was'definitely. 4 1-8 per •cent. The main problem at the pre;sent time was the types of securities required and that matter was receiving consideration. Mr Burnett expressed the opinion that the financing could be done .more expediliously through the Dairy Companies and Mr Girdwood replied that that was a matter for the executive committee, when form cd. Mr Girdwood also reiterated, that farmers should make their own arrangements first, and if they could not procure the necessary assistance from the usual sources, application could be made. If by financial aid farmers could increase production, they would be assured of the money. Mr W. R. Boon was of the opinion that each of those present should call meetings in their respective areas and acquaint the farmers with the detail- of the proposals. Thfe :sugges«p£ was adopted.