Farm Policy’s Big Impact On Politics

Press, Volume CIII, Issue 30389, 13 March 1964, Page 14

Farm Policy’s Big Impact On Politics

(New Zealand Press Association) PALMERSTON NORTH, March 12. Agriculture at present was playing a role of unprecedented importance in international politics, the American Ambassador, Mr H. B. ' Powell, told the Feilding Rotary Club today.

Mr Powell cited the tremendous impact of agricultural failure on the Soviet bloc and of agricultural policy on the Common Market, the Commonwealth, the Atlantic alliance and on the relations between developed and underdeveloped nations, “It is ironic,” said Mr Powell, “that about the same time agricultural policy should become a problem in both the free and Communist worlds, though in different ways and for entirely different reasons. “We of the free world who look to the market place and the profit incentive to guide us to efficient production and material progress, have found agriculture reluctant to fit this scheme of things at the international level. “The Communist world, on the other hand, which looks to regimentation and central planning presently finds agriculture an even more difficult maverick. “The failure of agriculture under communism is a wellestablished fact But in the free world, agriculture has as yet only become a focal point of concern. “Under communism, agriculture has simply failed to produce. But in the free

world, some areas have overproduced, and the problem is mostly one of marketing, distribution, and satisfactory prices. Market Access The principal current point of conflict on farm policy involves the question of market access. “Protection of one country’s farmers at the expense of another country’s farmers is no solution to a world problem of lagging farm incomes.” said Mr Powell. He said the recent meat agreement between the United States, New Zealand, Australia and Ireland established a new principle in agricultural trade policy. Short-run gain was sacrificed in favour of long-term stability. The agreement would be remembered as a step towards the liberalisation of world agricultural trade.