WHEAT RESEARCH INSTITUTE

Otago Daily Times, Issue 22064, 21 September 1933, Page 10

WHEAT RESEARCH INSTITUTE

FINANCING OF FUTURE ACTIVITIES SAFEGUARDED BY LEGISLATION (From Our Parliamentary Reporter.) AVELLINGTON, September 20. The financing of the future activities of the Wheat Research Institute in , Christchurch will be safeguarded by legislation, which is to be introduced by the Government during the present session. The Wheat Research Institute was established in 1928 through the combined efforts of the wheatgrowers, flonrmillers, and bakers to secure scientific aid for the wheat industry. Funds were raised through levies voluntarily paid by these three interests, and subsidised £ for £ by the Government through the Department of Scientific and Industrial Research. The amounts of the levies were fixed at lid per 50 bushels of flour sold by the wheatgrower, lid, per ton of the flour sold by the flourmiller, and IJd per ton of the flour purchased by the baker. The statutory authority for the collection of these levies, which covered a five-year period, will expire in December of this year. AVith the consent of the payers of the levies the authority is to be extended by legislation for a further five years. , , . . ' , In its report at the beginning of 1932 the National Expenditure Commission recommended an immediate reduction of the Government subsidy of the levy and its complete abolition at the end of the existing arrangement with the millers, growers, and bakers. The commission considered that after 1933 the industry itself would provide the total amount required for research. At the moment it is understood the Government has no intention of altering the basis of its subsidy, hut in the event of such alteration becoming necessary the Bill will provide- for increased contributions by the different parts o the industry. It is considered unsate tor the institute to budget for a revenue ot less than £4OOO a year, which is approximately its expenditure a present. If the Government subsidy were reduced to £1 for £2 the levies would have to be increased to 2Jd in each case, and if the reduction were to fl for £3 become effective the increase to would be necessary. These increases, to become effective only in the event of the Government being unable to maintain its present' subsidy, will be provided for in the legislation. , , . It has been asserted recently that although New Zealand exported considerable quantities of wheat this year, wheat has also been imported into the Dominion. However, inquiries to-day indicated that the quantity imported was very small, and taking into account flour as well as wheat it was stated that the importation did not exceed an average of 1000 tons a month. It is believed that the imported product is mainly for the purpose of ■mixing with New Zealand flour. The Wheat Purchase Board, which has been functioning since January, makes an allocation to the mills on the basis of capacity and output, and it is stated that, all nulls were treated on' the same basis. There are several " free ” mills in the South Island which, it is suggested, have been obliged to import wheat through their inability to secure sufficient quantities,of 1 the local product. However, the quantity imported for such mills is said to he included in the average amount of 1000 tons monthly, most, of which is required in any event for mixing purposes.