EXTRA WOOL PRICE

Dominion, Volume 35, Issue 250, 21 July 1942, Page 4

EXTRA WOOL PRICE

Minister’s Reply To “The Dominion” The contention that if the wool producer secured a 15 per cent, increase over the total clip produced, he would be exploiting the local consumer because of an increased price granted by the United Kingdom Government under circumstances not directly related to the local market or production costs in New Zealand was repeated last night by the Minister of Marketing, Mr. Barclay. “My attention has been drawn to a leader appearing in ‘The Dominion’ of July 20 in which it returns to the attack, stating that the back-country farmer is getting only lb. for his wool,” said Mr. Barclay. “But the same article makes no reference whatever to the question of slipe wool worth nearly 17d. a lb., on which the 15 per cent, also applies, giving an increase in this respect of over 2Jd. a lb. For the 1940-41 wool season the production of slipe wool amounted to 140,780 bales, and therefore constitutes a substantial proportion of the average sheep-farmers’ income.” The Minister said it was admitted that the 15 per cent, increase would not entirely constitute a net profit to the farmer, but -undoubtedly the biggest proportion of it would come under this category, thus giving him an increase proportionately far greater than the £l3 a year granted to wage workers and civil servants. “An average farm carrying 1000 sheep,” he added, “would be a one-man farm, and therefore, except for shearing, the additional labour costs would be very small indeed. In addition, the average farmer obtains a substantial proportion of his meat, butter, milk, firewood and vegetables from the farm itself, and thus is in a far stronger position to offset increased costs of living than tlie town worker. “It is quite true to say that the farmer often utilizes any increase iu income to pay off his debts, but this is equally true of the "Warner Yet the people who contended that it was inflation when the worker received £l3 a year extra to meet his increased costs and reduce his debts, now tain that it is not inflation when the one-man farmer gets three Umes as much to meet his liabilities.