ADVANCES TO CROWN TENANTS ON HOLDINGS IN SECOND GROWTH

Manawatu Times, Volume LV, Issue 7199, 23 April 1930, Page 4

ADVANCES TO CROWN TENANTS ON HOLDINGS IN SECOND GROWTH

Loans on Improvements £5,000,000 AVAILABLE FROM SPECIAL FUND SIX YEARS’ MORATORIUM Per Press Association. STRATFORD, Last Night. "I find," said the Minister of Public Works (Mr. E. A. Ransom) in a press interview to-day, "that people are not very well informed as to what the Government is prepared to do in the way of advances to Crown tenants." The previous Government, said Mr. Ransom, had found it necessary to make special provision for men on deteriorated land and tho present Government thought it its duty to find out why so much land was going back to socond growth. As regards the men who had cleared tho land and found it going back to second growth, a measure of relief had been provided by giving a rebate of rent for ten years, provided the occupier spent a sum equal to the rent on fertilisers. He had seen places where this provision had been availed of and the land was gradually being brought back. Recognising that it was not wise to let land go back, tho Government last session passed legislation which, it was hoped, would stop the progress of deterioration. It had been found in most cases that the land went back chiefly through lack of capital. Crown land was usually taken up by men without capital, or with very little, and they usually found themselves at tho end of their resources when their land lost its fertility arising from burns.

The Government felt something should be done to enable such men to get advances on improvements and legislative authority obtained for borrowing £5,000,000, to be devoted by tho Lands Department to Crown tenants on improvements made. Any Crown tenant who can show permanent improvements is entitled to an advance of 90 per cent, of their value. If that advance is spent in improvements, a further advance of 90 per cent, of the value can be procured and advances can be drawn till the occupier has had advances totalling £1250.

Advances on this basis could not be got from ordinary leading institutions nor from the Advances Office. So far, this provision had not been availed of as much as it might be. Th 9 Government’s desire was to help the genuine trier and to give him assistance in his work. • Invariably, second growth was a feature of places with a high rainfall. At Guthrie’s settlement on pumice land at Atiamuri, near Rotorua, tenants were given up to 200 acres and were required to make certain improvements fox six years, when, if the improvements had been made, they were to be given the title to tho land. After three years on the land, the occupiers seemed to have exhausted their capital resources and they had nothing to offer as security in ordinary borrowing Tho Government’s recent legislation would enable these settlers to get advances on their improvements and some had made improvements to considerable value. At the end of six years, the advances would be a charge on the land, but the settlers should not object to that.