MALTING BARLEY

New Zealand Herald, Volume LXXIII, Issue 22584, 24 November 1936, Page 11

MALTING BARLEY

STATE CONTROL PLAN MINISTER FIXES PRICES GROWING UNDER CONTRACT IMPORTS ONLY BY PERMIT [hv telegraph—OWN" correspondent] WELLINGTON. Monday The adoption of a scheme providing for the fixing of prices and grading of malting barley was announced to-day by the Minister of Agriculture, the Hon. W. Lee Martin. The scheme involves the stopping of imports, except under permit issued by the Government in defined circumstances. The Minister's statement is as follows;' — Realising the unsatisfactory position of barley growers during rect::„ years, and apprehensive of the rapidly increasing annual importations of malting barley, the Government was prompted to review the industry as a whole, with, the intention of effecting immediate improvement and of placing it on a sound basis. Following upon a careful study of the position and representations made by growers, I have had consultations with the principal buyers of malting barley and I am pleased to state that an agreement has been reached which, will adequately protect the Interests of growers and will ensure their receiving a price for their produce which will make barley growing a more attractive proposition. Promoting Local Industry A study of existing practices in recent years convinced, me that some of the buying interests were not adopting systematic steps to exploit the possibility of locally-grown supplies. To remedy this, and at my instigation, buyers of malting barley in future adopt a system of contract growing for the whole of their 'anticipated requirements.

In future permits to import malting barley will be given only to those who can show that they have taken reasonable steps to secure adequate barley for their requirements grown under contract in New Zealand and that any shortage, if such occurs, is due to unforeseen circumstances. Most countries have adopted some system of grading for malting barley, but up to the present no uniform system has been in force in New Zealand. In effect, buyers alone have decided the quality. Growers have felt that such a position places them too much in the hands of the buyers. As a result of negotiations the principle of independent grading has been accepted by the representatives of the ibuyers and a tentative grading system has been formulated. This system is subject to confirmation or amendment by the committee, which is being set up immediately, consisting of representatives of the buyers, the growers and the Department of Agriculture. Representative Committee Tho personnel of this committee iis Mr. J. H. Gordon, farmer, Garston, Otago; Mr. Albert Anderson, farmer, Southhridge, Canterbury; Mr. J. H. Hewlett, of the Canterbury Sued Company, Christchurch; Mr. 'Bruce Duncan, of New Zealand Breweries, Limited, Christchurch; Mr. R. B. Tennent, director of the fields division of the Department of Agriculture, Wellington, who will be chairman; and Mr. J. M. Smith, fields superintendent of Department at Dunedin. Ihe system as finally determined by the committee will form the basis of prices for the coming harvest. For the present it is not intended to bring into operation Government grading of all lines of barley offered for sale, but provision is being made for the independent grading at a nominal charge of all lines of which the grade is disputed between buyer and seller, the interests of both thus being protected. In order to ensure the payment of prices for malting barley equitable alike to both parties, consideration has been given to various factors existing in the principal growing districts.

As a result prices have been fixed, which must be considered as quite satisfactory to growers, and :vhich hare met with the approval of representatives of the buyers. It has been most apparent throughout the negotiations that the buyers are prepared to treat the growers fairly and I have pleasure in making public acknowledgment of their co-operation. Schedule of Prices The prices for malting barley containing under 5 per cent of seconds, and otherwise conforming to Nd. 1 grade malting barley standard, as finally determined, are as follows:—HaweaLuggate district, 5s per bushel on trucks. Arrowtown-Frankton district, 5s on trucks. Garston district: 4s 6d on trucks. Canterbury and North Otago: 4s on trucks. Marlborough and Nelson:' 4s 3d in store. The schedule of prices covers the principal malting barley areas. When suitable malting barley crops are grown in unspecified districts, prices will be arranged as occasion demands. In regard to contracts for malting barley that have already been fixed for the present season, such are to remain in force, and, where the contract price is lower than that shown in the above schedule of prices, the difference will be paid as a bonus. Action along these lines has been aimed at the immediate improvement of the industry [ from the growers' viewpoint. To me, the Minister's statement concludes, this does not appear sufficient, as I am aprticularly anxious that the industry should be progressive. With this object in view, investigations will l>e put in hand in regard to the disparity in yields in various districts.Manurial practices will be examined in relation to soil and climatic conditions; exploratory work will be conducted with a view to extending barley growing to districts at present regarded as unsuitable; damage to barley during threshing will be investigated; as also will the influence on malting barley of the time of harvesting, the duration of storage, etc. Scheme lor Feed Barley' It is also felt that the Dominion, with its high per acre producing capacity, should not be so dependent upon securing its feed barley requirements from outside sources as is the case at present, and it is proposed to look particularly into this aspect of the barley industry. In order to co-ordinate these investigations it is proposed to set up a small committee of representatives of the industry and of the department tc act in an advisory capacity to the Government and to facilitate the promulgation of practices for the betterment of the industry.