No Govt intervention on peas

Press, Volume CXI, Issue 32635, 17 June 1971, Page 3

No Govt intervention on peas

(N.Z. Press Association) BLENHEIM, June 16. The Government is not prepared to intervene in the price dispute between pea growers and processors, or to introduce legislation on the issue this year. This has been made clear to vegetable and produce growers at their federation’s national conference in Blenheim. “The Government’s decision not to enforce nego-

tiation and arbitration by law will be a great disappointment, but it has at least [ cleared the air and everyone , knows where he stands and can plan his action accordingly,” the Parliamentary !■ Under-Secretary to the Minis- , ter of Agriculture (Mr Dick) , said at the conference this afternoon. 1 However, it would not be • fair to say that the Govem- , ment had washed its hands of the problem, he said. “We will be watching the ' progress of the industry this year and I am still prepared to help in any way 1 can—- ■ but I would be' less than ■ honest if I held out any pros-

pect that legislation on the lines you seek is likely to be considered this year,” Mr Dick said. “There is a way out of the problem without any need to resort to legislation. It is the feeling of the Government that the way out of the present impasse is by free interplay of market forces that will in the end achieve an equilibrium. “It is our feeling that those most intimately concerned are the ones best able to sort this out,” he added. “I see no clear path by which both parties can benefit The only way would be for the suffering to be trans-

ferred to a third party—and it won’t be Ute Government. We would not consider subsidising production or processing Costs, or consumer prices. “It wouldn’t be export buyers—the market overseas is competitive,” Mr Dick said. “It could only be the New Zealand consumer. If he had to pay a lot more, he might perhaps buy less.” Mr Dick said there might be scope for an increase in growing prices to be shared among growers, processors, distributors and consumers. The effect on all would be minimal.