INCREMENT ON WOOL

Otago Daily Times, Issue 24945, 18 June 1942, Page 2

INCREMENT ON WOOL

PROPOSED RESERVE FUND. FARMERS GRAVELY CONCERNED (P.A.) CHRISTCHURCH, June 17. The suggestion by the Minister of Marketing. Mr J. G. Barclay, that portion of the 15 per cent, increase in the price paid for the 1942 wool clip by the British Government should be retained by the New Zealand Government to safeguard the sheep-farm-ing industry in the event of difficulties from war was strongly opposed by members of the North Canterbury provincial branch of the Farmers' Union, at a special meeting of the Meat, Wool, and Emergency Committees. The meeting also passed a resolution opposing the Minister's proposal that the New Zealand woollen mills should not pay a 15 per cent, increase on local wool in line with the British ment's increase. In a circular addressed to all the provincial executives asking them to take urgent action on the Minister's proposals the Dominion president (Mr W. W. Mulholland) revealed that at a conference held in Wellington last week to discuss the payment of the increase the Minister had stated that if the sheep-farming industry was not prepared to set aside a reasonable reserve fund along the lines suggested it might be necessary for him to recommend Cabinet that in subsequent seasons the Government should purchase meat at the f.o.b. point only. Moreover, in the event of a serious shipping hold-up the sheep-farming industry could not expect the same measure of assistance from the Government as was available at present and which might reasonably be continusd if the industry itself were prepared to create a reserve fund.