Fertiliser Works Mr Talboys Still Wants Information

Press, Volume CVI, Issue 31077, 4 June 1966, Page 1

Fertiliser Works Mr Talboys Still Wants Information

ffrom Our Parlfamentari/ Reporter.!

WELLINGTON, June 3.

The Government is still waiting for information from the Meat Board on the economics of the proposed co-operative fertiliser works in the central South Island. The Minister of Agriculture (Mr Taiboys) said in Parliament that the support given the venture by the Government would depend on information given to the Electoral Committee of the Meat and Wool boards and Federated Farmers concerning viability.

Sir Basil Arthur (Opp., Timaru) had asked Mr Taiboys for an explanation of delays in giving the necessary approval for the works “now that farmers in the central South Island region have clearly shown their support by an over-subscription of their share of the establishment costs laid down by the Minister.”

Mr Taiboys said that when it asked the co-operative company to demonstrate farmers’ support by subscription of at I least one-quarter of the estimated total cost of the works, Ithe Government had also asked the Meat Board for information regarding the economics of the proposal.

“The Government is awaiting this information from the board,” he said. “In addition, subsequent to the co-operative company commencing its canvass for shares, a resolution of the Electoral Committee of the Meat and Wool Boards and Federated Farmers made it perfectly clear that enterprises supported by industry reserve funds must be capable of operating successfully on a competitive price basis. “The Government has asked the Meat Board for information regarding this.” Sir Basil Arthur: Do 1 take it that more information is required from the Meat Board? Surely the Minister had this information before giving conditional approval to the South Island Fertiliser Company to proceed. Or was conditional approval given without the Minister being in possession of this information?

Mr Taiboys: As I have already said, subsequent to the Government suggesting that the company should proceed with its canvass, a resolution was passed by the Electoral Committee of the Meat and Wool Boards and Federated Farmers regarding the industry operating on a competitive price basis. As far as I am

aware, this information at the present time has been given to neither the board nor the Electoral Committee.

“Several Answers”

Mr S. A. Whitehead (Opp., Nelson): Can the Minister give an assurance that he will give his full support to this venture, irrespective of what the Meat Board says? Mr Taiboys: I will not give my full support to the proposal irrespective' of the information that is given to the Electoral Committee of the Meat and Wool Boards and Federated Farmers.

Mr A. J. Faulkner (Opp., Roskill) asked whether it was fair to take from the Min-

Ister’s “several answers” on a matter so important to the South Canterbury and North Otago region that there was no facility within his own department to check the economics of the venture.

“Is he solely dependent for this on people who are not responsible directly to Parliament?” Mr Faulkner asked.

“The expenditure of industry funds is in the first instance the responsibility of the Meat Board,” Mr Taiboys said. “It is the trustee for the industry." Sir Basil Arthur: Irrespective of the Minister's previous answers, does he now deny that a firm commitment was made by the Government to the effect that approval would be forthcoming if the local share were assured? Mr Taiboys: The undertaking given to the farmers in the district, through the Meat Board, was dependent upon the answers to the questions that I have stated in the House today.