“CRUSHING BURDEN.”

Hawera Star, Volume XLVIII, 5 November 1924, Page 8

“CRUSHING BURDEN.”

BANK AND; EXCHANGE RATES. Farmers on finance. The Dominion Executive of the Farmers’ Union devoted some time on Thursday to the subject of finance (the Dominion reports). A remit from the Auckland branch Wari moved by Mr. A. A. Ross, asking the Government “to take steps to have the crushing burden of bank exchange rates now in vogue drastically reduced,” as it wag considered that this charge on the country and its producers was “one of the most serious obstacles to general progress and out of all proportion to the service rendered.” Mr. Rosls said that, roughly, if New Zealand exported £50,000,000 worth of produce to London and only imported £45,000,000 worth of goods, a balance of £5,000,000 remained in London. The banks not only charged interest on the balance, but on the whole of the exports and imports. He considered that £1,000,000 was lost annually in this way by the producers of this country.

Mr. J. D. Hall (Hororata) said the subject had been discussed in Canterbury, where it had been suggested.that the £5,000,000 balance of exports over imports might be used for paying o£E Government loans in London or invested in Government . bonds. What was wanted was a committee of exports who could go thoroughly into the subject, dnd (submit a- report. After, further discussion the president (Mr. W. J. Poison) and the secretary (Mr. .J. Row) #ere appointed to endeavour to arrange for a. committee of experts to submit a report upon the matter