Higher levy on wool proposed

Press, Volume CXIV, Issue 33454, 8 February 1974, Page 10

Higher levy on wool proposed

Seventy North Canterbury woolgrowers meeting in Christchurch last evening agreed to a proposal that the Wool Board make a levy of 3 per cent on gross wool proceeds.

This would replace the] present system under: which growers are levied 1.55 c a kilogram. Itj would virtually double the revenue obtained by the board. The meeting was convened i by two local members of the i ! electoral committee of the | Wool Board, Messrs R. H. M.l i Johnston and M. R. Barnett, j land attended by the chairman j of the board (Mr J. Clarke)' land Mr J. D. Mcllraith of 1

South Canterbury, who is also on the board. Messrs Clarke and Mcllraith both spoke in favour of the 3 per cent levy. Asked ■why it was necessary to raise the levy when the board had ssom in reserves, Mr ;Clarke said the reserves were needed for the floor price | scheme operated by the Wool I Marketing Corporation.

The vote was carried with only two dissensions. One of the opponents, Mr E. C. Vaughan, told the meeting that the levy would mean a fine-wool grower would in effect be paying 4.5 per cent compared with the strong! wool grower and that be-j cause charges were not deducted before making the! levy the actual percentage! would be greater. To a question from the! chairman of North Canterbury Federated Farmers (Mr A. F. Wright), Mr Clarke said the vote would be representative of North Canterbury farmers. But at a later stage in the meeting, Mr Barnett—one of the conveners—told a questioner that it would be representative only of those present.