EXPORT BUTTER BOUNTY

Hawera Star, Volume LII, 7 July 1932, Page 6

EXPORT BUTTER BOUNTY

AUSTRALIAN PLAN OPPOSED. UNSUITABLE TO NEW ZEALAND. (Bv Telegraph—Press Association.) WELLINGTON, July G. Reasons why he believed the Australian system of export bounty on produce, known as the Paterson plan, would not work in New Zealand were explained to the Dominion executive of the farmers ’ Union to-day by the secretary of the Dairy Produce Board, Mr T. C. Brash. Air Brash said the Paterson plan was aimed at keeping up the price of butter on the local market. In New Zealand the farmer was being asked to sell butter at less than it cost him to produce it, The plan would be of no use to New Zealand for the reason that New Zealand exported all but one-sixth of its butter. Australia, on the other hand, exported cmly one-third of its butter.

Air Brash said the dairy producer in Australia was not having a very difficult time. In the best districts this year the Australian dairy farmer would be getting as much as Is 5d a pound for butter-fat, against lid or Is, which the New Zealand farmer would receive. That 'was due partly to the Paterson plan and partly to the exchange rate. Por the Paterson plan to be of any benefit to New Zealand it would be necessary to send the price of butter up so high that the public would not stand for it.