N.Z. SHEEP-OWNERS

Dominion, Volume 29, Issue 254, 23 July 1936, Page 5

N.Z. SHEEP-OWNERS

Rise in Wool Prices Welcomed i- • REPORT TO COUNCIL’S ■ ANNUAL ■ MEETING The twenty-sixth annual meeting.of the council of the New Zealand Sheepowners and Farmers’ Federation was held in the Dominion Farmers’ Institute yesterday, Mr. 11. D. Acland, Christchurch, presid“The rise in wool prices for this season’s dip, will have been welcomed by sheepowners, who, as a result, will be enabled, at least to some extent, to lower their increased overdrafts, and recoup some of the losses experienced since the 1930-31 season," the annual report stated. “The executive wishes to draw attention to the possible misconception which may arise in the mind of the general public as a result of the publication through the Press throughout the Dominion, of the statement that the wool cheque for the past season was approximately £9,750,000, as compared with £4,500,000 for the previous season. W line the figures quoted were correct, it would not be generally known that in comparison with the previous year over 30 per cent, more wool had been sold, principally due to heavy holdings over of wool from the previous year’s clip; in fact, , n greater quantity of wool had been soid m the past season than had been the case for any season over the last fifteen years, the quantity sold in the 1933-34 season coming nearest to this year’s figures during that period. The average price per pound of wool sold this season was 9.1 d;, whereas for the previous year it was bidIt will be seen, therefore, that although the gross return for wool sold this season had apparently doubled, it does not mean that the price ’per pound has doubled. The 30 per cent, increase in quantity, coupled with the 2jd. per pound increase in price, were the two factors which gave‘the increase in gross return. “The executive has kept in close touch with the activities of the Meat Export Control Board during the year, and wishes once more to express its appreciation of the highly valuable work still being carried out in the interests of meat producer exporters, by the board. A new shipping

Re-elected president of the New Zealand Sheepowners’ and Farmers’ Federation.

freight contract is under negotiation at the present time by the representatives of the board and the shipping companies interested, and it is hoped that as a result of the discussions now. proceeding, it will be found possible to make some reduction in charges under this head.* “On a three-year contract running into many millions per annum for freight both ways, it will be appreciated that even a slight reduction will, in the aggregate, represent a substantial amount to New Zealand producers for export. Every confidence is felt that the best possible terms will be obtained in our interests by the board through its representatives now in London. The action of the board in maintaining the policy of encouragement of the maximum competition among buyers for export of stock on the hoof in New Zealand, consistent with the safeguarding of independent channels of distribution in England, while at the same time maintaining the open door policy through the works for the individual farmer who wishes to ship for realisation on his own account, is much appreciated by the executive.

The Quota.

“The arrangement made last year with the British Government under which quantities of meat for import into Britain was fixed, will expire at the end of the present year, and sheepowners throughout the liominion will look forward with the greatest interest to the visit of the Hon. W. Nash to Britain, when it is expected this And other matters of vital importance to New Zealand producers will be finalised. The question of the continuance of restriction of quantity as against the suggested system of import levies on meat into Britain, is of vital concern to meat producers for export, and the executive feels assured that Mr. Nash and his advisers will be fully seized of the very grave importance of this issue, particularly if, as has been suggested, the import levy proposed is to be applicable to New Zealand. “The British farmers will undoubtedly use every effort to obtain through the British Board of Trade, .the largest possible return from import duties in view of the fact that this will, in a great measure, determine the amount of subsidy which they hope to receive on homeproduced meat. “With over 80 per cent, of our total primary production dependent on world markets for its consumption, and with Britain our only outlet for the bulk of these surplus products, the necessity for the utmost care in negotiation, and the enormous issues at stake, will be fully appreciated. The executive can only express the hope that as a result of the impending visit of Mr. Nash to England in this connection, a period of stability with respect to the marketing of our products may be assured to Dominion producers for export. A still greater measure of reciprocity as between ourselves and our British market is imperative as there appears to be no doubt that with . the present world trend toward national sufficiency. New Zealand will become more and more dependent on the Home market, and will retjuire to conserve to the utmost her present position, while endeavouring at the same time to increase her proportion of sales of produce in England, ‘lf our export trade is to continue to expand to the degree necessary for our national welfare. “The executive wishes to express on behalf of sheepowners generally thanks for the good work being carried out in the various branches of research affecting our industry. The work done by Cawthron Institute and at Wallaceville in the propagation of parasites to deal with blowfly, white butterfly, and bidi-bidi being of special value; while both Massey and Lincoln Colleges continue to give service of the highest character with respect to research as applied to primary production generally. “Arrangements are being made for Dr. A. J. Smith, of the Cambridge Low Temperature Research Station, to visit Australia in the interests of the Australian frozen meat export trade, and the executive trusts that it will be found possible to arrange for Dr. Smith to visit minion before returning to England. ’ President's Review. “The outstanding happening during the past year .is the change l of Government and in Government policy as a result of the last general election, and it. would appear that there can be no question but that the application of the policy of the new Government will create drastic • changes in industry generally within New

Zealand and more particularly with our primary producing export industries, which under existing political and industrial conditions, will probably need .a substantial measure of subsidisation in some form if production for export is to be successfully continued,” said the chairman in moving the adoption of the annual report. “The arrangements now being made by the Government with respect to dairy products leads us to surmise that similar guarantees are to be given to other primary producer exporters with a view to enabling them to meet the additional production costs within the Dominion caused by recent legislation and sell on the world’s markets against overseas competition while still leaving a, sufficient balance in .hand on which to live and provide an inducement to increase still further production for export.

“It will be agreed that we must at all times keep our organisation free to approach the Government in the interests of our members quite irrespective of any party issue if effective work is to be done and that as has been the case in the past we should hold ourselves free to make representations and if necessary helpfully criticise legislation affecting our industry without regard to the particular Government responsible for it.

“The present position would appear to be a delicate one as affecting both workers and employers generally and fraught with the gravest possibilities owing to the experimental nature of much of the legislation recently placed on the Statute Book. I feel it to be essential however that our federation should remain in a position to assure the Government of our desire to accept in- the best spirit the legislation already passed and to endeavour to make it workable if possible. We may give the Government this assurance without in any way forfeiting our right to regard much of it as experimental and should occasion arise to express our doubts and misgivings as to the ultimate results of the application of many of the clauses in the various Acts. “I think it will be agreed that all industries in New Zealand should be on the same footing whether the factory is a town .one making boots or blankets or a country one producing butter, cheese or wool and lamb; we are interdependent and must sink or swim together; so far the ‘primary industries alone have been asked to face world conditions of sale and production, but we appear to have now reached the stage where it will no longer be possible to maintain a privileged basis of costs of production for our secondary industries alone; the time has come for our New Zealand manufacturers to face the realities of world trade in the same degree as is the case with primary producers in New Zealand. Money payments for all services must be adjusted to existing currency conditions in the outside countries or a further depreciation of New Zealand currency must be arranged for. “There appears to be grave danger that in their desire to improve general standards of living by collective action Governments both in New Zealand and elsewhere in order fully to carry out their policy may deem it necessary to impose such restrictions and inhibitions on trade and industry ns seriously to affect the liberties of the individual citizen. This ■possibility will require to be carefully guarded against if we in New Zealand are to retain that measure of individual freedom considered hitherto as the inalienable heritage of citizens of free and independent British countries;” Election of Officers. The election of office-bearers resulted: —President Mr. H. D. Acland Christchurch (re-elected) ; vice-president Mr. J. S. Jessep, Wairoa (re-elected) ; hon. treasurer, Mr. E. Hay, Pigeon Bay, Canterbury (re-elected); auditor, Mr. A. A. McKellar, Christchurch.