VALUATION METHODS

New Zealand Times, Volume XXXI, Issue 6812, 7 May 1909, Page 8

VALUATION METHODS

STATEMENT BY THE HON. D. BUDDO. PROGRESS OF SETTLEMENT. Au important statement regarding land valuation and land settlement was made at the Farmers’ Union dinner in Palmerston North this week by the Hon. D- Buddo, Ministef-in-Charge of the Valuation Department. Several of tho speakers raised the subject, and the .Minister also referred to other matters of importance to the farming community. INADEQUATE BANKING FACILITIES. Dealing -with the stringency of tho money market, Mr Buddo pointed out that the five banks in the Dominion were unequal to meet the demands lor advances caused by a deficit of .£3,000,000 in our exports, and the position was one for the attention of the public. It was quite evident that the public expected better things, even when there was a stringency, which only happened once in a considerable number of years. At the same time he deprecated giving advances on freehold security, holding that banks’ assets must in every case be, as far as liquid. Ho referred with satisfaction to what tlio Advances to Settlers’ office had done for tho farmer during the stringency. Even with tho reduced amounts given, he believed it had done more than anything else to prevent a panic in the money market. METHODS OF VALUATION.

Replying to a suggestion that the Government land valuation should bo fixed on tho basis of the productive powers of the land, Mr Budao pointed out that this, would be a most erratic basis. Most farmers knew that very capable cultivators took extraordinary results from land. As a matter of fact, a farmer had often more to do with cue results than the farm. He most strenuously favoured the carrying out of tho law which provided for land values being based on the selling value of the ianu, but at the same time he strongly approved, and as far as possible, earned out the intention of making a substantial margin between the selling vaim* and the valuation figure, to allow for fluctuations caused by reduced prices of produce, scarcity of money, or any other reason which would cause land for a time to bear only a nominal, value. Notwithstanding the recent protests against valuations, he ventured to say that the assessment courts § which were about to sit, would deai with considerably less appeals for reduction of valuation than in any previous year. Land Valuers had instructions to in no case exceed the reasonable selling values, and to allow a margin for fluctuation*# "for it would bo a sorry pity to use the Government valuations for the purpose of inflating prices which other farmers might have to pay. LAND FOR SETTLEMENT. T|io Minister stated that a substantial area of land was just about l to bo put on tho market. Some of it was Crown land to be settled under the usual conditions, and the remainder was land-for-settiements areas which it was hoped to cut up into small holdings for men of small moans. He did not desire to anticipate the annual report of the Native Minister, but he would give the exact position of native land settlement at the present time. Under the Native Land Act of 1895 there, had been referred to the various Maori Councils an area of 1,700,000 .acres, to be dealt with in the usual way for settlement. it was not to bo supposed that this was all low-land or plough-land, for tho greater part was bush land, which would require a substantial amount of capital to improve it, but when this was done it would add greatly to the country’s productivity. In addition to this, during the last year the Government had acquired 266,000 acres of native land, some of which was of very good quality, and suitable for small settlements. Altogether., the position in regard •to native lands, was most satisfactory, when they came to consider that two million acres were about to bo dealt with for settlement out of a total of about seven million acres in the hands of the natives. The whole of these large transactions were carried out with the full consent and approval of the native owners, and he felt sure that the result would be very satisfactory to the settleIhent or the North Island.