Growing of Tobacco

Manawatu Times, Volume 63, Issue 81, 6 April 1938, Page 6

Growing of Tobacco

Assistance Sought From the Government MINISTER HEARS DEPUTATIONS Per Press Association. WELLINGTON, Last Night.

Following a meeting of the Tobacco Board held at Nelson, the chairman of the board, Mr. L. J. Schmitt, said to-day that at the meeting several matters of vital importance to the industry were discussed, including the questions of the prices to be paid by manufacturers to growers for the 1938 crop and a request for additional protection to the manufacturers against imported manufactured tobacco and cigarettes. During the course of the meeting two deputations waited on the board and made representations regarding these and other matters. The Minister of Industries and Commerce, Hon. D. G. Sullivan, was also present during the hearing of these deputations. In reply to the deputations the Minister promised that, if it were found possible after a full investigation to do anything to assist the industry, the Government would give very careful consideration to the matter. As a preliminary, the Minister stated, he would arrange for the Department of Industries and Commerce to make a thorough examination of the position on the manufacturing side.

The board decided to make representations to the Government, urging the necessity of granting to the tobacco growing industry such a measure of assistance as may be found necessary by investigation to bridge any gap that may exist between the costs-of the production of leaf and the price manufacturers can economically afford to pay for it. It was decided to recommend to the Government that the regulations passed under the Board of Trade Act fixing a minimum price of Is 2d a lb. for leaf be extended to March 31, 1939.

A resolution was passed to the effect that, with a view to assisting the growers this season, the Government bo asked to reduce the levy of 4d a lb. to 2d a lb. on the leaf of the 1938 harvest for local manufacture. It was also decided that the levy be waived in respect of leaf exported in 1937 under Government guarantee, but that this should be without prejudice to the board's right to impose a levy on leaf exported subsequently. It was agreed that, where growers had separate contracts for export and for local manufacture, one warrant to sell covering the aggregate quantity and acreage contracted for would be issued by the board instead of two as previously proposed. It was decided that £IOO be granted to the New Zealand Tobacco Growers’ Federation for preliminary expenses in connection with the formation of the federation and that £l5O a year be granted for running expenses of the federation. The following were appointed to represent the board on the Tobacco Research Committee: Messrs. J. F. Black, lan Hamilton and C. C. Nash.

The board decided to co-operate with the Department of Agriculture and with the manufacturers in securing a suitable exhibit of leaf for display at the Glasgow Exhibition to be held from May to October of this year.