FERTILISER INDUSTRY

Press, Volume XCVI, Issue 28321, 5 July 1957, Page 12

FERTILISER INDUSTRY

Minister Replies To Mr Stevens

(New Zealand Press Association) WELLINGTON, July 4. No formal approach had been made to the Government by the fertiliser industry for decontrol, but if one were made it would receive proper consideration, the Minister of Industries and Commerce (Mr E. H. Halstead) said today in commenting on a statement by Mr L. J. Stevens, chairman of the Dominion Fertiliser Company, on behalf of his and three other

companies. “I do not regard as a proper approach Mr Stevens’ public statement, which raises the question of decontrol in a context of a Price Tribunal decision and of an allegation that the Government is, in some way, favouring a farmers’ co-operative company.” Mr Halstead said. “The Price Tribunal is an independent, judicial body. If the fertiliser industry has fresh evidence to submit as to its position, the proper course is for it to approach the tribunal.”

Mr Halstead denied that the East Coast Farmers’ Fertiliser Company was Government-owned, as Mr Stevens claimed. The full extent of Government interest in the company, he said, was a shareholding, small in relation to the total capital, held by the Lands Department. Farmers drawing on the company for supplies were required to be shareholders, and similarly the Lands Department, which was a farmer by virtue of its land development programme, had a shareholding to ensure access to supplies of fertiliser.

The further point raised by Mr Stevens was the loan made to the company by the New Zealand Meat Producers’ Board. This money came from the industry reserve fund and the loan was within the general policy of using the industry funds for the benefit of the industry, Mr Halstead said. The Price Tribunal said today that it had no comment to make on the increase of 18s a ton in the price of superphosphL.c granted the Napier works. At most other works the increase has been 7s a ton.

The New Zealand Meat Board tbday confirmed that the East Coast Farmers’ Fertiliser Company, owner of the Napier works, was using about £960,000 in loan money advanced by the board at 2$ per cent, interest.