DAIRY LOSSES IN AUSTRALIA

Press, Volume XCVII, Issue 28700, 25 September 1958, Page 13

DAIRY LOSSES IN AUSTRALIA

Reported Country Party Plan (Rec. 8 pm.) CANBERRA, September 24. A subcommittee of the Australian Country Party is expected to recommend toon a new policy oa underwriting dairy farmers’ losses. They are expected to recommend that the Government should adopt a policy of guaranteeing losses caused by adverse prices and rising costs up to an agreed fair limit. The committee which was appointed two months ago to study the economic problems of the Australian dairy industry is expected to advise against an increased overall subsidy as a means of stabilising the industry. The committee has concluded that a subsidy plan must break down because of the cost to the Budget and the unequal aid it offers. A subsidy, the committee is expected to report, gives most benefit to dairy farmers who need the least help—those whose output is greatest because of highyielding properties and lower production costs. The committee may also recommend the long-term elimination ot marginal land from dairying and the conversion of high-cost, low-yield dairy farms to other types of production. The community cannot afford the financial aid necessary to keep uneconomic dairy farms in production and farmers working such properties should be encouraged to transfer their land to other uses, the committee is .expected to report v