PRODUCE DEFICIT.

Manawatu Standard, Volume LIX, Issue 162, 10 June 1939, Page 10

PRODUCE DEFICIT.

Q U FSTIONS EO R AJ INI STEP. Per Press Association. DUNEDIN, June 8. Following the announcement by the A!inistcr of Agriculture (Hon. AY. Lee Aim-tin), at the South Island Dairy Association’s meeting, that this season the deficit in the butter and cheese sold under the Government’s marketing scheme was estimated at £1,82),000, several questions were asked. Air I). F. Boutledge: In the event of a deficit, is that a present to the dairy-farmer, in view of the fact that 95 per cent, of New Zealand’s exports come from the land?

'fhe Alinister: When the guaranteed price was introduced the Government undertook to pnv a price which would give to the dairy-farmer a reward for tlu' service he was rendering. AY here there is a surplus after the first year it goes into the industrial account to offset any deficit in future. AVe are guaranteeing to the farmer a certain price from August 1 to July 31 each vear.

When he was asked ii he could give an indication of the figure of the payout to dairy-farmers for the 1939-40 season, the Alinister replied that Air Nash would probably lie back in the Dominion before the time for its announcement.

“’There has been a considerable number of discussions between Air Nash and Air Hale (chairman of the Dairy Board), and I think the Alinister was disappointed that the industry did not accept the proposals he put to it. He felt that in the circumstances the industry might have met him. “It will fall to my lot, if Air Nash is not hack, to make'a recommendation to Cabinet. I am in touch with him over the question of dairy prices, and •it is not possible for me, at this moment, to make a statement with regard to the guaranteed price, hut I hope that the price will benefit and be to the satisfaction of the industry. I am a dairy-farmer myself' and I know what is a fair price.”