FOOD RESERVES

New Zealand Herald, Volume LXXVI, Issue 23401, 18 July 1939, Page 9

FOOD RESERVES

BRITAIN LAGGING IMPORTANCE IN WAR CABINET RESPONSIBILITY CRITICISM BY ECONOMIST LONDON, July il A warning that the Government should build up a proper food reserve, instead of the present few weeks' extra supply, is sounded by the Air Haiti Defence League. It points out. that Germany h.->s accumulated a six-months' emergency stock of food. Moreover, Germany is now 80 per cent self-sufficient, in contrast with Britain's 30 per cent. Britain imports £180,000,000 worth of food in six months, and yet the Government had allocated only £14,000,000 for extra food, fertilisers and petrol. Worse Than Last War The News Chronicle, in a leader, says:— "Britain's prospects of maintaining food imports in wartime are worse than during the last war, because there are fewer merchantmen and more population. "The Government has announced the purchase of canned herrings. That is not good enough. Britain was nearly star\ed out during 1917, 'but- managed to starve out Germany in 1918. A futuro conflict would also be decided on the food front." Surveying Britain's stocks of food and raw materials, the News Chronicle declares that, from the point of view of emergency reserves, the position is deteriorating. • , Generally Below Normal Compared with last year, it asserts, stocks are generally below normal, or are gravely deficient. " Only wheat and tin, the paper says, are relatively satisfactory, wheat port stocks being 2,710,000 quarters., compared with 1,499,000 last year, and tin warehouse stocks 30,000 tons, compared with 693 tons. On the other hand, stocks of raw sugar on May 31 were 414,000 tons, compared with 440,000 in 1937, the former including a Government holding of 150,000 to 200,000 tons. Traders' refund stocks are probably 25 per cent below normal. ■ * ~ Cotton stocks are 694,000 bales, compared with 1,138.000, and rubber stocks 63,600 tons in London and Liverpool warehouses —which is dangerous, the paper says, for such a highly inflammable commodity compared with 92.460, and manufacturer^'. stocks 17,000 tons, compared with 25,000.-Cop-per stocks are 30,000 tons, or', six weeks' consumption, compared with 35,000. Traders Fear Risk The News Chronicle adds> that merchants' and manufacturers' stocks are not known, hut are probablj' lower than usual, because of the lower tendency of prices, while, where huge stocks of a commodity are hanging over the market or a huge supply is dammed up by international restrictions, private traders dare not risk holding abnormal reserves.. _ The Government, it declares; must assume much greater responsibility for maintaining and strengthening the reserves. - l"It is insane to do nothing toward building up reserves of vital imports," Mr. J. M. Keynes, the economist, says in the Times. "I have ?iot heard any reason given by the Government for its inactivity," he adds. He says that wheat prices are almost at their lowest, ships are idle aud the Dominions are eager to sell. Moreover, money thus spent would not be wasted, even if the emergency passes.