THE WHEAT PURCHASE.

North Otago Times, Volume CV, Issue 13931, 13 July 1917, Page 2

THE WHEAT PURCHASE.

lILNISTJSH'S GTATEMENTv

Per Press Association. WELLINGTON, July 12. " In the House of Representatives yesterday afternoon tho Hon, W; D. S, MacDonald (Minister of Agriculture) made a statement regarding the purchase of wheat in Australia. He said in October aad November, 1910, there was i sudden rise in the price of Hour from £l2 to £ls per ton. Wheat rose from 4s 9d to Cs 3d per bushel. There was no apparent reason for the rises, and after the Board of Trade had gone into the question the Government decided to remit the duty on Hour. Later it was found necessary that the Government should get an option over -wheat, and knowing that the Imperial Government had purchased largely in Australia, an attempt was made to purchaso some oi this stock. This failed, and the acting-Premier cabled the Australian Government to ask if they would sell New Zealand a million bushels of wheat. As a result of negotiations the Government decided he had better go to Australia and negotiate on the spot. He met the Federal Minister of Agriculture and the Rt. Hon Mr Hughes (Prime Minister) who said they had decided to raise the price of wheat but would not do so until New Zealand had completed her purchase of the wheat required. I Filially he found that the best arrange-

incut that he could make was the purchase of a million bushels at us fid. The first lot of the purchase was brought to Duncdin and sold at the shin's side at Gs 3d per bushel, and he had received congratulations from all parts of Otago stating that both the price and the quality were highly satisfactory, and asking him not to yield to pressure from those persons who demanded that the wheat be sold at less than the Government gave for it.

He further announced that the Govern" ment intended to pay us lCkl f.o.b. for next season's wheat. He thought this statement necessary on account of the great amount of misrepresentation promulgated in collection with this question,

Mr Witty congratulated the Minister on the straight-forward statement, but thought the Government had been overhasty in running to Australia to purchase wheats.' There were ample stocks' in New Zealand to carry us over till next season.' AVc had to pay a higher price for Australian wheat simply because the Premier would not come to the rescue of Australia in the previous year. • . Dr Thacker and Mr McCombs criticised the patriotism of farmers, in demanding 7s per bushel for wheat, and for refusing to grow the larjest possible area of wheat, Messrs J. Ar.stey, the lion. D. Buddo, and Mr Forbes defendcil the farmers, I lie former declaring that if the Government had not cut down the price offered to farmers in ;>rMcr to give it to the millers, tliero iv«|ild have been no difficulty. ..Mr Macdonald brietly replied ■ con- • li'iMin*r that the Government had art-1 in all its transactions only after obtaining the best information possible at the time.