No Reduction On Wool Freights

Manawatu Times, Volume 61, Issue 212, 8 September 1936, Page 6

No Reduction On Wool Freights

MINISTER’S REPLY TO UNION’S REQUEST. Per Press Association. WELLINGTON, Last Night. A request by tho Dominion executive of tho New Zealand Farmers’ Union for a reduction in railway freight for the carriage of wool has been docliued by tho Minister of Railways, lion. D. G. Sullivan.

The union contended that the railway charge on wool was out of all proportion to tho rate charged on stock. Mr Sullivan pointed out that tho Railways Department was not in a position to bear the loss that would attend a general reduction in freight rates for wool. The department’s scale of charges was based on a system of classification of commodities so arranged that goods of relatively high value, such as general merchandise and manufactured products, wero charged at a higher rate than lower grade bulk goods and raw materials. It was quite true that wool was required to bear a higher freight rate than live stock, but that in itself could not bo regarded as affording justification for adopting a lower rate us a standard for both. It was, he thought, appropriate that mention should be made of tho much greater differentiation which existed between the freight rates for wool and, say, artificial manures and agricultural lirno than between wool and live stock. It could not, however, bo contended with reason that beeauso those responsible for the administration of tho Department undertook in the interests of land production to convey huge tonnages of fertilisers and lime at nominal rates, it should extend the same consideration to other tariffs. Obviously it could not afford to do so without seriously impairing the Department's earning capacity.