FUTURE OF WOOL

Gisborne Herald, Volume LXXI, Issue 21581, 7 December 1944, Page 4

FUTURE OF WOOL

PROBLEMS AHEAD DOMINION "SAFEGUARDS NEW BILL APPROVED 'P.R.) WELLINGTON, Dec. 7. General endorsement was given by Opposition and Government members to the Wool Industry Bill in the House of Representatives yesterday. They emphasised the importance of 'he future of wool being safeguarded not only in the interests of the profiteer but also in the interests of the Dominion as a whole. The bill provides for the establishment of a New Zealand Wool Board for the promotion of the wool industry. The Minister of Agriculture, the Hon. B. Roberts, said he hoped tha‘ older the bill the industry would or safeguarded from disastrous competi ion from synthetic fibres and other lifficulties in the post-war world Britain had undertaken to buy New Zealand's wool for the duration of the var and one year afterwards. Some people wondered whether that meant ffie European war only, but representations confirmed that the contracts related to the global war, which, of course, included the Japanese war, and one year afterwards. Britain had called, a conference in London for the new year to consider the whole wool question and had invited representatives from New Zealand, Australia' and South Africa. The British Government could see problems ahead when the Japanese war was finished, and evidently would like to know the mind of the three Dominions. “We are given to understand that the surplus to-day is from 12,000,000 to 10,000,000 bales,” added the Minister. “Of course, the farmers could say that the contracts have been made for the duration of the war and a year afterwards and that Britain should stand by those contracts, but I am sure that is not the general feeling. Even although the contracts have been made, it was at a time when no one knew what the progress of the war was likely to be, and.it is only commonsense and in a spirit of goodwill that we should approach these problems with Britairf and see what can be done.” Wool Secretariat Levy Mr. K. J. Holyoake (Opp., Pahiatua) stated that the Opposition welcomed the bill realising that the wool industry was of vital importance to the Dominion’s economy, because the probable amount of money it would bring into the country this season was more than £20,000,000. The New Zealand producers were prepared to contribute their full quota to the International Wool Secretariat. The levy was now Gd per bale, but to promote the research and organisation which would stimulate the consumption Oi wool they were quite prepared to accept a levy of up to 2s per bale. He and his colleagues approved of the constitution of the proposed wool board, with the minor exception that it should include representatives of the brokers in accordance with the resolution of the Meat Board Electoral College. They also preferred .the ward system of election, though it was necessary to elect the first board in the same way as the members of the Meat Board. Mr. E. L. Cullen (Govt., Napier) said he hoped the members of the board would bo selected for their knowledge of sheep husbandry and the pasturing of sheep. He thought two years was an insufficient term of office for the members of the proposed board, and suggested that the term should be three years. Mr W. A. Bodkin (OPP- Central Otago) said that if the same energy and effort was put into the improvement of wool products as had been, used in the manufacture of synthetic fibre, wool would have nothing to fear from the competition. Woollen goods were superior in quality. Government Control Mr. R. G. Gerard (Opp., Mid-Can-terbury), who stated that he was one of the producers’ representatives who negotiated with the Government regarding the bill, described it as going a long way towards what was desired and containing provision for some extension of powers when the time was opportune. When the country was ai war the producers would not expect to have full control over their industry. and possibly some control by the Government might have to be maintained for as long as 10 years after. The existence of a large surplus conthe producers of other countries, but slituted a grave problem which could only be solved in conjunction with it should be tackled immediately. The Minister of Finance, the Hon. W Nash, said that in Australia they planned to set aside 2s per bale, to be subsidised by the Government to a like amount, thus providing £600,000 for research alone. If a similar decision were made by the "Wool Board, New Zealand could co-operate with Australia, although the problem was not quite the same, as the surplus was not so great in the varieties of wool which the Dominion produced. As to the suggestion that representation on the wool board should be widened, any extension of representation would involve the inclusion of seven or eight more interests. When the bill was considered in committee, Mr. Holyoake moved to amend the constitution of the wool Board by adding a representative of the Wool Brokers’ Association as an associate member. The proposal was lost on the voices and the bill was subsequently read for the third time and passed.