RELIEF FOR FARMERS

Northern Advocate, 20 December 1932, Page 4

RELIEF FOR FARMERS

The Wellington “Evening Post” is very outspoken in its criticism of the proposal made by Mr. C. A. Wilkinson, M.P., that farm lands should he freed from mortgages. The main features of the proposal are: (1) All farm mortgages to be written down proportionately to the fall in the value of farm products; (2) the reduced mortgages to be taken over by the State and interest paid at 3 per cent. —with alteration of the rate according to export prices index; (3) the State to levy a special income tax on farmers or a sales tax on farm products to provide funds to pay interest on the mortgages (estimated not to exceed £6,000,000 annually), the balance to come from general taxation; (4) all farm land exceeding a reasonable area to be resumed by the State without payment; in future no mortgaging of farm lands to be permitted. “AVc do not think,” says the “Post,” under the caption “Panic Debt Proposals,” “there is the least fear of such a plan being adopted, but its submission shows how even sensible men are allowing themselces to be carried away. Public men are hypnotising themselves with repeating: “We must help the farmer.’ A year or two ago, even a month or two ago, such a proposal could have come only from the small body of extremists who really believe in confiscation. Now it is seriously placed before a gathering of farmers and business men. One cause for gratification is that the most criticism, both of the plan and the principle (or lack of principle) of contract-breaking came from a farmers’ leader, Mr. Poison, whose remarks showed that he did not share Mi*. Wilkinson's gloomy view of conditions or approve his desperate remedy. We hope, however, that the leaders of the Government will take note of these happenings, which have grave meaning for them. If they play with fire they cannot be surprised if others put matches to a powder magazine. If the leaders continue to teach that a contract is to be maintained only at convenience others will outdo them in agreement-smashing. And if they persist in viewing the crisis from one angle, talking and acting as if none but the farmer is in difficulties, others will follow, and finally outpace them in. extravagant sectionalism. The leaders arc national leaders, and if they are to command the confidence of the nation, they must have a national vision.”