THE DAIRY PRICE

New Zealand Herald, Volume LXXIII, Issue 22493, 10 August 1936, Page 12

THE DAIRY PRICE

DISSATISFIED FARMERS FEARS FOR THE FUTURE NOT UP TO PROMISE Many protests against the Government's guaranteed prices for butter and cheese are coming to hand from interested farmers. "Ad Augusta" writes: —The time has now arrived, although four days late, when the guaranteed price lias been announced. This Government fumbled into the farmers' business and instead of, as promised, keeping the price above a certain figure, has taken the butter at a price .Id to ltd a pound less than the market price. This price would he all right if other costs were adjusted accordingly. Instead the Government has decreased the price tor butter and cheese and increased the cost of living and farm labour. The Government from time to time has talked of breaking up the Kelly gang. It seems to mc to take the produce the way they are doing is worse than any [veil\ gang. AN by, during the election campaign, did not the Government talk of fixed price which is the true word for the scheme. 1 took their bait hook, line and sinker, but never again. Talk about bringing the country back to the times of Seddon, 1 am sure Seddon would turn in his grave it ho knew the damage that was being done. 1 note that Mr. Savage said the Opposition are having a nice rest. I think they ought to make the most of it now as they will have a hard row to hoe when they have to start again and straighten up the mess.

BADLY HOODWINKED FARMERS SHOULD ORGANISE "Rustic'' writes:—lf anything is certain in these uncertain times it is the revolt of the farmer against Labour as the result of recent legislation. The farmer is gradually reaching the conclusion that he has been badly hoodwinked by the Government over the "fixed price." The farmer is beginning to realise that Mr. Savage's idealism is going to be a very costly business and that the primary producer will have to pay through the nose for it. The Prime Minister's replies in the debate, rather than giving more confidence, removed what little confidence there was, and. demonstrated very clearly that the primary producer had not only been bluffed, but treated like a child. The opinion of many is that the farmer put the Labour Party into power and has only himself to blame. That may be, but the farmer has not hitherto taken politics seriously. The Labour Government has done at least one good thing for the country, ft has forced the fanner to take polities more seriously than he did, although ho is not at all grateful to the Government for the lesson.

Wit h unemployment increasing and the primary producer worse off than before something drastic will have to be done. Now is the time for formation ot Opposition groups throughout the countrv. The fanners' grumbling will serve no useful purpose. Let him organise public meetings at once and definitely increase the Opposition outside Parliament for a start. Opposition inside the House cannot be strengthened until it is strengthened outside.

" INSULT TO FARMERS " BROKEN PROMISES "Eighty Hours" writes:—Once again the struggling farmers seem doomed to bo let down by our politicians. We were emphatically assured prior to last election by the present Prime Minister we would at last get fair and generous treatment from tho Labour Party, and that Mr. Savage would "never let us down." We have had to wait until the last before an\ so-called assistance was made available to us, and when tho gilded promises are finally "implemented" we find that once again we havp been sold a pup. What an insult to the intelligence of a splendid section of the real workers of New Zealand this wonderful guaranteed price scheme has turned out to be! \Vc are to receive less than the probable market price for our butter-fat, and i" addition be called upon to meet a possible increase in farming costs of some 2o per cent. The suggested new wage levels alone for dairy farmers' employees are perhaps double last season's. The promises were to enable a farmer to pay his way again and keep the women and children out of the sheds, etc. M ell, it looks as if the reverse is going to take place. The real result of last election is now being presented to New Zealand. Dozens of fat and well-paid jobs for union secretaries, a huge scheme to amass a political fund bv controlling and enrolling everyone possible in some, labour union, and generally concocting political schemes to make New Zealand a parasite's paradise.

MONEY AT WILL "A SECRET FORMULA" "Onco Bitten" writes: —During the last election campaign Labour politicians travelled through the country telling of a secret formula whereby money could be produced at the will of the Labour Party. From this wonderful source of supply they promised to pay the farmers a price for their butter which would enable them to live in undreamed luxury. We now know we have been sadlv duped. It is true that any profit on our produce will be paid into a suspense account on very fixed deposit, but there is nothing to prevent the Government from using this money to finance their extravagant public works schemes. INADEQUATE WAGES NO MARGIN FOR LAND TAX "Facts" writes:—Mr. Savage has promised dairy farmers a reasonable wage and here is his idea of it. New Zealand cows average 2001b. of fat per cow per annum and that at Is per pound equals £lO per cow. Standard practice has divided costs for many years, one-third wages, one-third maintenance and one-third interest. Sixty cows give £6OO gross or £2OO to each section of cost or loss than £4 per week wages. Rising costs will increase maintenance so that if wages are to be increased it will have to come from capital, but if the whole of the interest is taken it would only be a trood wage for two men to milk the GO cows. With a true valuation the unimproved value of any fanning land in New Zealand is not worth the blanket that bought it from the Maori, as the improvements have not the value of their cost, so that unless exaggerated values are given a land tax 011 unimproved values will produce nil.