DUTIES ON STOCK FOODS.

Manawatu Standard, Volume L, Issue 145, 19 May 1930, Page 3

DUTIES ON STOCK FOODS.

(To the Editor.) Sir, —I find that my statement that maize could be lauded in New Zealand at 3s per bushel is being widely questioned, both in the Press and elsewhere, and that attention is being drawn to the fact that freights to New Zealand from the Argentine are pretty high. The latter fact I agree with. Freights from the Argentine at the present time are very high, and the reason for that is that there is not sufficient trade to have any direct boats. Small shipments that are made have to be transhipped at another port, which, of course, is fatal so far as we are concerned. All my statements at the pig breeders' conference and other meetings were made on the assumption that duties are taken off maize and that we shall be put into a position to enter into the production of pigs on a large scale on the same lines as Denmark. If we did this we would .require to import maize in cargo loads and as soon as we can offer freight in this quantity there would be keen competition amongst the shipping lines to get it. As I have already pointed out in another place, tho shipping business between here and Great Britain is unbalanced as far as tonnage of cargo is concerned. We send a much greater tonnage to Great Britain than we get back, and the result is that a number of the steamers that come out to- lift ovir produce come out only partially loaded and others come out in ballast. These steamers coming out partially loaded would be only, too glad to come out via the Argentine it they could get a full load of maize, and they would quote a low rate to get it, because the steamers have got to come out anyhow to get our products, and a load each way, even if one is at a low price, is much more profitable than going one way empty or partially empty. They would also save Panama Canal dues, which are heavy on these huge steamers. The liners trading with New Zealand would have to quote low prices, because they would have to enter into competition with the ordinary cheap tramp steamers, which can compete for cargoes like maize when they cannot compete for refrigerated cargo which requires a much more'expensive type of steamer. The business, when once New Zealand got going property, would run into very large figuies. ' The exportable surplus of maize from the Argentine this year is approximately ten million tons. Denmark has been importing in recent years from eight hundred thousand to a million tons of maize a year, and probably this year when the Argentine maize is so cheap she will import a great deal more, ft might be said that maize in this quantity would quickly fill up the ships', but as maize is imported we would require more and more ships to carry away the additional pig and poultry products we would have. There would be no tear of the maize imports ever being too great for the ships to cater for. I have before me the latest edition of the London Grain, Seed and Oil Iteporter, dated March 7. On the first page 1 notice that Argentine maize is quoted at 24s per 480ll> c.i.f. Liverpool. This is equal to 2s 9 3-5 d per bushel of oGlb. This maize has to pay freight from the Argentine to Liverpool, so what the Argentine gets is 2s 9 <3-5d less freight and other charges. If it costs us 2 2-stl a bushel more to bring it to New Zealand from tho Argentine than to take it to England, we would still stand it at 3s a bushel. The business cannot make a start until duties arc definitely removed. The pig and poultry farmers are merely manufacturers of pig and poultry products, using in their work such 'raw materials as they have available. Manufacturers for a protected mnrket can afford to use raw materials, the cost of which has been increased by duties, but no manufacturer of anything in the world will attempt to manufacture anything for export where he has got to compete with the world's lowest prices, unless he can get his raw products at the world's lowest prices. As long as duties remain in New Zealand on the necessary grains required by our pig and poultry farmers, it will be impossible to work a profitable export trade, and the business will be largely confined to producing for New Zealand consumption only. All grains and fodders are allowed to enter Denmark —our great competitor in the trade—free of any duties. How can New Zealand compete unless our farmers also have tho stock foods they require free of Customs duties? It is absolutely impossible. If these duties are removed a large and most valuable export trade in pig and poultry products will be established bringing into the Dominion an annual revenue next probably to that of wool, and providing productive and remunerative employment for thousands of men and women. To use the words again of tho unemployment committee, that I have quoted so often: "The removal of the stock food duties will put all stock-raisers in a position to develop their industry further. Obtaining cheap grains to supplement and balance stock rations will enable better use to be made of stock-foods now produced on our farms.

“The first to take advantage of tic cheap foods will be the raise/'s of poultry and pigs. Later, we feel satisfied, grains will be used as part of the feed for dairy cows. A small quantity of grain fed at milking-time to dairy cows to balance and supplement tneir farm-grow r n foods makes a great addition to their production. This has been proved in this country by breeders of. purebred dairy cattle who put some of their cows under the semi-official test conducted by the Department of Agriculture. Even sheepmen, if they can get cheap grain, will find a little given to hoggets during autumn and winter months of great assistance. “Pigs and poultry in conjunction with dairying will give greater production per acre than obtains at present. This will mean that onemnn farms can be successful on smaller areas than at present, and larger farms will employ more labour and produce more than they do now. More production of export products from the farms of the Dominion will energise and stimulate every industry in the country.” The overwhelming importance at the present juncture of providing new sources of revenue for New Zealand farmers must be my apology for drawing so largely on your spice.—l am, EDWARD NEWMAN.