Govt urged to reconsider

Press, 13 June 1979, Page 12

Govt urged to reconsider

PA Wellington The National Government was prejudiced against farmer co-oper-atives and was “prepared to do almost anything” to stop them from getting under way, said the Opposition spokesman on agriway,” Sir' Basil Arthur. Sir Basil was commenting on the decision by the Minister of Finance (Mr Muldoon) to reject again the Meat Board’s application to use meat industry reserve account funds to take over the Kaiapoi freezing works. “This is a gross misuse

of power,” Sir Basil said. “The Meat Board’s reserve funds belong to the farmers. If the board and farmers want to use these funds to buy the Kaiapoi works, the Government should not stand in their way, ’ Sir Basil said. “The only possible explanation for the Government’s refusal is that elements within the National Party are completely opposed to farmer co-oper-atives and are determined to block their creation,” he said. “The board’s motive for supporting the purchase of this plant has been to fur-

ther its traditional policy of establishing ’key’ works in each Of the main producing regions to serve as yardsticks on local processing charges,” Sir Basil said. “There is - an almost total lack of competition in much of the South Island. There are complaints in some areas about killing space not being available for producers wishing t > market their lambs on their own account,” he said. “The Labour Party totally supports moves towards farmer co-oper-

atives. But we believe they should go further and include the workers in their co-operatives. It W'orks well in existing fertiliser and meat companies and the co-operative system works superbly for the dairy industry,” Sir Basil said. “Instead of setting up obstacles to the extension of the system, the Government should be giving every encouragement. “The Kaiapoi decision appals me. I urge the Government to think again and allow farmers to in* vest their funds as they wish,” said Sir Basil.