TOBACCO CROP GUARANTEE

Evening Star, Issue 23325, 22 July 1939, Page 26

TOBACCO CROP GUARANTEE

MIHISTER EXPLAINS TERMS .[Feb United Press Association;) WELLINGTON, July 21. Tho Minister of Industries and Commerce (Hon. D. G. Sullivan) stated today that, following a meeting of the Tobacco Board recently, it had been pointed put to him that there was some misunderstanding in the ind ostry regarding tho relationship of tho average prices of Is per lb for fluecured leaf and Is per lb for airdried leaf which the Government had arranged for the 1939 crop to a longterm plan which had been formulated lor the industry. The Minister said that these paces had been determined and fixed in terms of this plan and would provide a much greater measure of security to growers than had existed in the past. They, were considered sufficient to provide the grower, with a reasonable return on his crop and the Government would make every endeavour to continue them in terms of the plan. Tho Minister also stated that the board had been impressed with the desirability of providing suitable equipment in tobacco-growing districts for the purpose of soil sterilisation and he paid a tribute to the work of the tobacco research station and the Cawthron Institute. The board had decided to proceed with the formulation of standard grades of leaf, said the Minister, and the manufacturers would be asked to meet and discuss the matter fully. Mr Sullivan also expressed pleasure to .learn that one manufacturing concern had been successfully experimenting with the use of'flax packs for tobacco bales.