The Northern Advocate Daily “NORTHLAND FIRST” FRIDAY, OCTOBER 21, 1938. A Decline In Production

Northern Advocate, 21 October 1938, Page 6

The Northern Advocate Daily “NORTHLAND FIRST”

FRIDAY, OCTOBER 21, 1938. A Decline In Production

Registered for transmission through the post as a Newspaper I

DURINti the election campaign, Mr. Savage and his colleagues made* much of their belief that New Zealand’s production will continue to increase almost automatically, and that greater prosperity and better conditions all round for the masses of the people will follow as a matter of course. In the circumstances,'it must be slightly disturbing to Mr. Savage to see that since last year there has been a distinct falling off in dairy production.

The decline in the Waikato districts, according to Mr. C. J. Parlane, general manager of the New Zealand Co-operative Dairy Company, is 16 per cent. In the Northland dairying areas there has also been a drop in production, but it is not so serious, partly because climatic conditions have been more favourable, and partly because facial eczema did not reach the same serious proportion in Northland as it did in the districts south of Auckland.

The Government has no control over the rainfall, which seems to be one of the few things that will always defy State interference. Thus farmers, though usually quite willing to blame the Government for most things, cannot hold it responsible for a dry spell which causes the yield of their herds to fall away. Nor would it be altogether just or reasonable to suggest that the Government failed to meet the emergency caused by the outbreak of facial eczema. Once the full seriousness of the position had been realised, the Minister of Agriculture and his departmental executives took active steps to assist farmers, and they must have gathered a great deal of valuable data against the possible recurrence of such an epidemic. The Government has, however, responsibility for the rising costs which are proving such a handicap to farmers, and it is reasonable to suppose that their feelings on this subject influenced the adverse vote recorded against the Government by the majority of dairy farmers on October 15.

Inability to secure efficient labour, except at an almost prohibitive rate, must be aggravating the difficulties of farmers in maintaining their production. On account of this factor, numbers of dairyfarraers are tentatively experimenting with sheep, and if growers happen to have a good season in the next six months there is every probability of a pronounced swing from dairy cows to sheep.

Coupled with the decline in dairying production, the deterioration of backblocks lands adds to the danger of a general decline in the volume of exportable produce. High labour costs are making it difficult for those occupying second-class or thirdclass land to keep scrub under control and to keep fencing in good condition. In addition, the graduated land tax tends to discourage the working of poor backblocks sheep country, and there is now a danger that some areas will be completely .abandoned.

All this does not fit into the picture of expanding production visualised by Mr. Savage and Mr. Nash. Without such expansion, the social security scheme cannot succeed. Even its warmest advocates admit that increased production is the keystone of the whole structure. But, apart from that, the general wellbeing of New Zealand cannot possibly be maintained indefinitely if the volume of production contracts.