$450m Socred farm-aid plan

Press, Volume CXV, Issue 34009, 25 November 1975, Page 2

$450m Socred farm-aid plan

(.X Z. Press Association) WELLINGTON, November 24. A Social Credit government would in ject s4som into the farming industry next year through a variable premium on export earnings, the league’s leader (Mr Bruce Beet ham) said today. . This money would not become a debt for farmers or the farming industry, Mr Beetham and the league’s deputy leader (Mr Les Hunter) said in a joint statement. “Instead, a New Zealand credit authority would be authorised to pay farmers for

the overseas exchange earned bv their primary products, at its internal costs expressed in New Zealand dollars.” they! said. The premium would be decided upon by a court of price review. The scheme would be aimed at enabling farmers to meet all costs and earn a reasonable profit, by insulating farmers from fluctuations in overseas market prices. Its costs would be partly offset by the imposition of a premium on luxury imports which would bring the Government s2oom a year, reducing the cost of the farmers’ premium to s2som a year. Mr Beetham and Mr Hunter criticised the Government scheme for farm lending, since this was a debt owed to the Rural Bank. "Social Credit does not favour farmers’ marketing organisations’ stabilising farm returns by debt to the Reserve Bank, even if the debt carries only 1 per cent interest,” they said. “Farmers should receive an adequate income without; debt of any kind.”