DEBATE IN HOUSE.

New Zealand Herald, Volume LXIX, Issue 21117, 26 February 1932, Page 11

DEBATE IN HOUSE.

problems of country.

EMPIRE TRADE PROSPECTS. DIFFICULTIES OF FARMERS. [By TELEGRAPH.— PRESS ASSOCIATION.] WELLINGTON. Thursday. Th o formal Address-in-Reply motion was moved by Mr. A. J. Murdoch (Marsden) in the House of Representatives this evening. Ho characterised New Zealand's financial situation as a reflex of the situation in the Motherland. The Dominion's income was so largely dependent on the sale in th<» Old Country of the products of our soil that when Britain was undergoing a period of depression it followed that New Zealand's finances must also suffer. Britain, having so long stood alone among her competitors as a free trade country, had become a general dumping ground, and it liad been found tbat there had been a general drifting from prosperity. It had consequently become necessary for Britain to impose tariffs, and he believed this ste2J would ameliorate conditions in Wie Old Country, this being followed by improved conditions in New Zealand. Spirit of Reciprocity. Mr. Murdoch expressed his confidence that the Ottawa Conference would result in increased Empire trade. It would bo necessary for New Zealand's delegates to go to the conference prepared to meet delegates in a spirit of reciprocity. He also expressed tho hope that the conference on tho subject of war debts and reparations would produce concrete results. Opportunity would be afforded, if there were general agreement on a reduction, for the world's notions to make a fresh start in an atmosphere of greater hope. In the meantime, New Zealand would have to do her part, and he urged concentration on greater production from the soil and the maintenance of a high quality of produce.

Referring to unemployment, Mr. Murdoch said it was hoped a result of the new programme to be launched by the Minister in charge would be that more men would be placed on the land. It was also proposed to add more money to the funds available to the Mines Department for subsidising prospecting for gold. The motion was seconded by Mr. J. Bitchener (Waitaki), who said it was to be regretted that Parliament had had to meet, because if the economic condition of the country had been improving the session would not have been necessary. One of the country's greatest problems was the low price for primary products. Farmers were endeavouring to go on producing, but a great area of land being farmed was not paying, and lie did not think there were more than 23,000,000 acres showing profit. That meant that 23,000,000 acres were bearing what 43,000,000 acres had previously borne. High Costa of Farming.

He did not think that if the 20,000.000 acres which were not showing a profit were offered rent free anyone with a knowledge of farming wouid take them up, because the costs of farming had so greatly increased in recent years. It was the duty of Parliament and the country to de%-ise some means of making those 20,000,000 acres pay their way. Labour and costs were stiii nearly 50 per cent, above the 1914 level, while export prices were 23 per cent, below. Farmers could not survive unless prices were adjusted. Towns and cities did not realise the position farmers were in.

He considered a free exchange system should be adopted. No body of farmers had said chat exchangg should be pegged at 25 per cent., but thejr felt they should be treated fairly. Continuing, Mr. Bitchener said he trusted New Zealand would be ably represented at the Economic Conference. He felt sure the Dominion's case would be capably presented, and there was no reason why it should not be realised that what would be beneficial for one part of tho Empire would bo good for the Empire as a whole. The debate was adjourned, and the House rose at 8.35 p.m. until 10.30 tomorrow morning.