Wool Commission Manager On Visit

Press, Volume CIV, Issue 30811, 24 July 1965, Page 16

Wool Commission Manager On Visit

The London agent of the New Zealand Wool Commission, Mr F, S. Arthur, who is in Christchurch, was general manager of the wool disposals organisation, commonly known as the Joint Organisation, which was set up after World War II as a partnership between the United Kingdom and the Governments of Australia, New Zealand and South Africa to dispose of war-time supplies amounting to about 10 million bales. This task, Mr Arthur said, had been completed in 1951 with a total profit to the partner governments of some £2oom sterling, of which New Zealand's share had been £24m. This had become the capital of the New Zealand Wool Commission set up in 1952 to operate the price support scheme. Most In Tax It was interesting to recall that Australian growers at the same time had the opportunity to retain their share of the profits—something in excess of £6om—but had decided at a referendum against the establishment of a similar scheme to New Zealand, said Mr Arthur. “These profits were distributed to their growers and at that time of high prices and inflation it is probably correct to say that the bulk of that money came back to the Government in taxation.” Now after 12 or 13 years, after the 25 per cent rise in prices in 1963-64 and the equally sharp fall, the question of a price support scheme for Australia had been raised again and another referendum was to be held. The experience of the New Zealand Wool Commission and its successful operation of its support scheme at various periods of low prices, and the effectiveness of its support, was likely to be an important factor in determining the issue. As an instance of the effectiveness of this support, Mr Arthur said that during the last season with a floor price of 35d in New Zealand and with an average price for the season of 42d per lb the protection afforded growers represented 83 per cent of the season’s average price, and in fact during March, when the average price was slightly below 38d. the protection afforded to New Zealand growers represented 90 per cent of the' market price. Mr Arthur was born in Dun-

edin and was wool valuer and auctioneer for Dalgety and Company in Dunedin before he left New Zealand soon before the beginning of World War II as the first New Zealand representative on the International Wool Secretariat.