Assistance for farmers vital, says chamber

Press, 13 June 1986, Page 26

Assistance for farmers vital, says chamber

PA Hamilton A short-term assistance package for farmers was vital for New Zealand’s economic health, said the national president of the Chamber of Commerce, Mr Jack Hazlett. He told a chamber meeting in Hamilton that young farmers in particular needed help to carry them over the change to a free-market economy. This help should be as debt restructuring and suspensory loans. He also praised the Government for the consistency of its policies, which were “basically constructive” with “sound objectives.” While incentives for manufacturers were being phased out over a number of years, farmers were

expected to undergo "cold-turkey withdrawal” of subsidies. This was unacceptable. Young farmers would be the salvation of the economy, he said. Until agricultural products came under the General Agreement on Trade and Tariffs "we are never going to get away totally from farm subsidies,” Mr Hazlett said. New Zealand’s competitors, particularly the European Economic Community, all used subsidies. Farmers were not the only people being hit hard by the transition from a rigidly controlled economy. Servicing towns were also hurting and the pain would soon be felt in cities, he said.