WOOL PRICE INCREASE

Nelson Evening Mail, Volume 78, 13 January 1943, Page 5

WOOL PRICE INCREASE

PROPOSALS FOR DISTRIBUTION Wellington, This Day. If the Government accepts the recommendation of the Stabilisation Committee, New Zealand sheepfarmers will receive 8£ per cent, of the 15 per cent, increase in the price for wool granted by the United Kingdom, 5£ per cent, will go into a special reserve fund to be used for stabilising production costs, and the remaining 1 per cent, will be used to maintain the domestic price for wool, stated the Minister of Marketing, Mr Barclay, at Oamaru.

Mr Barclay said that the question of handling the increase of 15 per cent, had been referred to the Stabilisation Committee, which in turn had consulted the Sheepowners’ Federation. It was obvious, of course, that the sheepfarmers could not receive the whole 15 per cent., particularly because of the Governme it’s stabilisation policy.

“There has been a lot of humbug and propaganda in the Press about this 15 per cent, increase,” said the Minister. “There has been contortion and misrepresentation, and some statements that are quite untrue; but we have not replied, as the question has been, and still is, under negotiation with the Sheepowners’ Federation: We prefer to talk out our differences, and we are not going to play any game of ‘heads we win and tails you lose’—that is why we referred the whole question to the Stabilisation Committee.”

With reference to the 5£ per cent, to be devoted to the stabilisation of production costs, the Minister said the actual working of this fund had not yet been decided Various aspects were at present being discussed with the Sheepowners’ Federation, but he was sure that satisfactory arrangements would be made. It was to be hoped that the sheepfarming industry would realise the need to guard against inflation and to co-operate with the Government in measures brought about by the war.—P.A.