The Wheat Situation.

Press, Volume LXII, Issue 18625, 25 February 1926, Page 8

The Wheat Situation.

One of the speakers at the meeting of the Farmers' Union Executive held yesterday said it was exceedingly hard for the Union to say anything which would be of use to the. growers. But he himself, and some of the other members, said some useful things, not the least useful contributions being the reports of sales at a figure far exceeding the 5s 8d which one of the millers' representatives has named as the extreme price which the millers can pay. The ; farmers must be careful not to accept without question even the most straightforward-seeming figures that point to low prices. They ought to bear in mind the fact that last year flour was £lB a ton, and the millers willingly paid 6s 9d. Flour is still £lB a ton, and if the millers cannot pay 6s 9d they ought to say why. It is not as if they were in distress. We printed the other day the report of one milling company whose directors announced that they would pay "the "usual 10 per cent, dividend, and, "as the situation seems to warrant it, " they suggest the payment of a further "5 per cent, by way of bonus." Before giving his wheat away, the grower should think this over well. The general feeling of the Farmers' Union Executive was that the Government's decision is on the whole very satisfactory." It is really a much more satisfactory thing than a mere announcement that a substantial duty on wheat is to supplement the withdrawal of control. For it is a declaration of the Government's belief that the encouragement of wheat-growing is essential to sound national policy. Three months, two months, even one month ago, it could not have been confidently predicted that the Government would resist the pressure of anti-Canterbury and anti-grower interests. But the strength of the case for the grower has prevailed, and Canterbury farmers may now face the future with some confidence. They will feel still more confidence if the Fanners' Union can successfully explore the possibility of united action by the growers in defence of their interests in future seasons.