EXPORT TAXES ON WOOL.

Lyttelton Times, Volume CXVII, Issue 17697, 25 January 1918, Page 2

EXPORT TAXES ON WOOL.

ao THE EDIT OH. Sir—According to an article in tho “Lyttelton Times” of August 27 last headed “ New Season’s Wool.” our Government is now getting what is equivalent to an export tax on wool. The Government wanted to take all the wool at double the pre-war average prices, the Government to have 50 per cent of the war profits- Tho pre-war avorage prices of wool as realised at auction in January, 1914, to be tho standard price. But the representatives of tne farmers, merchants and financiers were not content to allow the Government 50 per cent. So the wool men get 55 per cent of the war profits and the Government takes only 45 per cent? If lam wrong I hope to be corrected. Now the pre-war three years average price of wool was under lOd per lb, and the weight per sheen rather over 81b or about 6s 8d per sheep. There wero about 24,000,000 sheep in New Zealand, and the value of their wool about £8,000,000. So the wool men will get over £12,000,000 this year and the Government nearly £4,000,000. Whether the Imperial Government, or Home merchants and financiers, are to get any war profits there may be, over the 100 per cent, or whether the British soldiers or people will get their clothing any cheaper, I do not know, but clearly the people in New Zealand will have to pay 100 per cent more for the wool they use. It. is a strauge thing that while before the war the prices paid for wool sold at auction wore alwayß published, tho present prices are not. Also, that bir Joseph Ward apparently says nothing about the woof money he is requisitioning. Sir Joseph Ward said that “he would be no party to robbing any man by taking from him at a lower price than their value articles which ho had produced or possessed.'’ Lord Rhondda said that “.every rightminded man must necessarily subscribe to the opinion that no man ought to be allowed to make a profit out of tho war.” lam satisfied that if the Government at the beginning of tho war had taken all the war profits on our exports tho farmers would have been content. Three halfpenny postage stamps, twopenny cheque stamps, tea taxes, etc., are absurd war-time taxes! Now if a farmer makes a war profit of over 50 per cent on the prico of his wool and 50 per cent war profit on his mutton and lamb, what is tho value of his sheep and land? Here is more war profit. But Mr Massey says that “to take all war profits would bo sheer robbery. ’ They say we must produce more. Now tho high prices of sheep have prevented many farmers from keeping more sheep last winter, so instead of growing more wool and mutton and producing more lambs they have been cramming tho freezing places with carcases. With a world wide famine sure to come, it is a shame to kill any lambs—especially ewe lambs —and whilst other countries are having meatless days wo might at least exist without eating lamb for a year or two! Sir Joseph Ward savs that after tho war “ there will be an additional seven millions a year for us to pay in interest and sinking funds.” . Part of that debt will be owing to war profit prices paid for our own wool, etc supplied to the Imperial Government- According to Lord Rhondda s dictum Mr Massey and Sir Josepn Ward cannot be right-minded men! Instead of any equality of sacrifice some men women and children do ail tho sacrificing whilst others get all the Pl Eteven thousand of our picked men lulled; twentv-eiglit thousand wounded; but—the country is very prosperous, making money— and Sir Josepti Ward is borrowing it—free of income tax!—l am, etc., J. MILES VERRALL. Swannanoa, January 23. 1918.