PRIMARY PRODUCERS

Nelson Evening Mail, Volume 80, 7 June 1945, Page 4

PRIMARY PRODUCERS

ATTITUDE TO COUNTRY QUOTA VIEWS OF FARMERS’ FEDERATION PRESIDENT Hastings, June 6. The attitude of primary prducers to 1 secondary industries and the country quota was discussed by Mr B. V. Cooks, ley. Lower Hutt, president of the Farmers’ Federation, in an address today to delegates at the annual provincial conference of the Hawkes Bay branch of the New Zealand Farmers’ Union. Representatives of the Sheepowners’ Federation, Fruitgrowers’ Federation and Dominion Council of Commercial Growers also attended. Sweeping statements on the one hand attacking local industries and on the other criticising New Zealand as a giant dairy-farm were not helpful, said Mr Cooksley, nor were detailed statements on particular angles. To say mousetraps could not be economically made in New Zealand did not condemn all secondary industry. There were several tests to apply in considering secondary industries—the availability of raw materials in New Zealand: competition with the United Kingdom as chief buyer of Dominion primary produce: quality consistent with price: the undesirability of monopolies; a Customs tariff which should constitute the ceiling in protection: assistance by bounty based on efficiency and merit, and tapering off annually: the granting of such bounty to a particular industry, concern or product as distinct from the blanket protection of a prohibitive tariff. War tended to make local industry unstable and sound economic factors were overruled by expediency. Local industry had expanded due to the war and had to be rehabilitated or reorientated into normal economic channels. The real test should be efficiency aided by the advantages, compared with imported articles, of reasonable tariff, the exchange advantage, no overseas freight charges and the time factor. BIAS AGAINST TARIFFS The farmers, selling on world export parity, were biassed against unduly protective tariffs. They were very conscious that New Zealand’s economy never rested on the gold standard, but always on sterling credits, resulting chiefly from the export of primary produce. The only real exchange was that of goods between New Zealand producers and the United Kingdom manufacturers. Farmers could not get money back from the Um'ted Kingdom except in goods. The business man looked after his best customer and the farmer must look after his—the United Kingdom. The problem could not be solved by general statements and the federation was setting up a special committee which would be only too glad of discussions with other organisations. They must get together on it. Questioned on the federation’s attitude to the country quota, Mr Cooksley said that there were three separate issues—the taking of a census when 100.000 people w4re out of position through war circumstances: the alteration of electoral boundaries on that false basis: the constitutional propriety of such a change. The United States apd Australia had writen constitutions; New Zealand and the United Kingdom had not. That was why the Commonwealth Government when Tt wanted to take powers ouside those conferred by its constitution had to take a referendum last year. The country quota should not be altered before the next general election, but referred to the people then. There was such a thing as playing the game according to the rules. The Labour Party had obtained power three times with the quota as it was and should face the people again the same way.