FARMERS’ CREDIT

Evening Star, Issue 19326, 12 August 1926, Page 9

FARMERS’ CREDIT

How It Should."Be Based

Productive Value of Land Long Term Mortgages Recommended Up to Two=Thirds of Valuation

[From Our Parliamentary Reporter.] WELLINGTON, August 11. “ In those countries where credit facilities are lacking, farming is generally less efficient and settlement is retarded,” states the Royal Commission on Rural Credits, whose report was submitted to Parliament yesterday. “ The New Zealand producer in marketing his produce is handicapped by distance and the costly delay which must of necessity elapse before his saleable product can be disposed of. Higher transportation charges have also to be taken into account. If the New Zealand producer is to retain and improve his position on the overseas markets he should enjoy at least the same financial advantages that are open to his principal competitors,” The Commission’s report surveys the credit facilities provided for primary producers in Canada, the United States, South America, France, Germany, Denmark (where the farmer may transact every class of business through cooperative associations), Holland, and Belgium. Throughout the eighty pages of its report the Commission has in mind the application of other countries’ experience to New Zealand conditions. It assumes the need for credit for producers, and states the problem as one of how to apply it wisely and economically,