DUNEDIN CORN EXCHANGE.

Otago Witness, Issue 1688, 29 March 1884, Page 7

DUNEDIN CORN EXCHANGE.

The meeting called by the Committoe of the Chamber of Commerce to consider the establishment of a weekly Corn Exchange was held at noon on Saturday in the Chamber. MiGeorge Bell (chairman of the Chamber of Commerce) presided, and about 150 persons were present. The meeting consisted for tho most part of country people, who came in to attend the meeting called to consider the cor'j. sacks question, but there was also a v -ery numerous gathering of merchants a';,d other citizens.

lha Chaibhan opened <&„ proceedings by saying: The object lV. a Committee ot tho Chamber of Commrvce has in view iv invitingyou to meet to-^ay is, if possible, to establish a corn expanse— an institution in !.he interests ot b.^ch BGller3 and buyers. I need not reier you to history to prove that under the name of fair, or market, or exchange, or their equivalents in other languages, in all civilised countries, special days and places have been appointed for dealers to meet together to facilitate tho transaction of business. In

London, in every capital in Europe, in everj large trading port throughout the ci vilised world, and in every market town in Great Britain and Ireland, convenient places are appointed for that purpose. Nor are wo without an example in tbia country. Already a corn exchange has been established in Christchurch. I am not prepared to say that itts rules and regulations are of the best ; but that is not the function of the Chamber of Commerce to consider : it in a question for those who are immediately interested in the trade. It seems to me that the timo has arrived when a corn exchange has become a iiece3sifcy in Dunedin. When agriculture was limited to a few hundred acres in the immediate neighbourhood of the city ; when there was no outlet for export of our surplus produce — when, in fact, there was none to export,— very crude mercantile arrangements were sufficient. The miller and the farmer easily settled matters between themselves. They were neighbours ; there waa no competition, excepting now aud then some tons of flour perhaps from a neighbouring colony, the selling' price of which fixed the value of the homegrown wheat. The trade was in the hands of two or three firms, and often a glass of whisky and- a shake of the hand closed their bargains. Very rapidly has all this changed. Railways, have equalised the conditions of cultivation,, and land that was at one time so distant from a centre of population that the cost of carriage would have been more than the grain would have sold for, is now profitably cultivated. But this wider dispersion of producers places them at some disadvantage in disposing of their corn. They have not at present the means of sellingit to the best advantage. I know that some— both individuals and associations—who are energetic, enough to avail themselves of this state of isolation of individual farmers have turned it to an unfair advantage. They, of course, do not wish for any alteration in the 1 existing conditions between buyer and seller ? but to me their unwillingness to compete as. buyers is one of the strongest reasons for the 1 establishment of a corn exchange. Their argument is : If wheat can be bought 2d or 3d! per bushel cheaper of a faimer who wants the) money than he could obtain for it if he knew where to place it better, why should not the> buyer do so ? Precisely — why not ? But why should not a farmer take steps to know wherehe can obtain a fair market value, and not b& obliged to accept an offer, or suffer the inconvenience of not being able to sell? This is reallj the gist of the whole matter in -a nutshell. Establish a corn exchange, and let buyers aswell as sellers Da brought into communication or, plainly speaking, into competition. Hitherto, it seems to me, tue producers have been under the disadvantage of there being no competition amongst buyers, and prices have been as various, as men's circum3tanc33. The periodical meeting together will establish a fair market rates between the two classss, for, as Adam Smith says, it is the result of "the higgling and bargaining" of the market. Other advantages will ensue from the establishment of a corn exchange where producer and distributor can meet, not the least of which will probably be the avoidance of such disputes as the bag question. It has arisen through two oppositeinterests adopting different views and resolving to act upon them without consulting the other parties to such contracts. Very probably a little explanation would havo led to a friendly understanding on both sides. But I must not enlarge upon this subject, as it is not one that properly comes efore this meeting, and I have no doubt thati will ba fairly and intelligently discussed at thp meeting of delegates appointed for that purp«.< .c. I will not trespass further on your time beyond submitting for your consideration a very few general rules which the Committee of the Chamber suggest as tho basis on* whioh the exchange should ba conducted. Tho details of the Association and the working of it musi; be left to the members of the exchange, as the Chamber has no wish to interfere wiih specialties, but only with those subjects which bear upon the general interests of commerce. Mr Robert Wilson said : Mr Chairman and gentlemen, it gives me very great pleasure indeed to see such a large number of people present at this meeting, I dare say a good many of you will wonder at seeing such a nice hall, and when I tell you it was built with a view of establishing an exchange. Nothing could give the promoters greater pleasure than seeing their idea carried out successfully. I have often wondered that the farmers do not look better after their interests than they do. I must say they apoear '-a be very apathetic. As the Chairman h,v pointed out, there is an exchange in Christchurch and other commercial centres, and why should we not have one here ? The entrance fee has been fixed at 10s 6d — a very moderate sum, — and if all the farmers would enrol themselves as members, ib would be the best thing they have done for a very long time. Ido not know that I need say anything more on this subject, further than that I shall be most happy to assist in carrying on the exchange successfully, Mr J. M. .Tones pointed out the conveuionces which would be phicod at the disposal of farmers by having a comfortable room to come to, where all (he latest papers, were filod. If Saturday were found lo Be an inconvenieut day to hold the markot, no doubt they could hold jt on Wednesday, as in someplac3s ; aud ho thought the Government could bo induced to grant return railway-tickets for that day as well as Saturday. Mr Gr. Inglis (of Stirling) moved—" That a corn exchange be established in Dunedin." He <jlid not think it was necessary to say much a,3 to the benefits to be derived from such an institution. The farmers all knew that when they came into town at present to meet the millers no day was appointed, and they frequently found that half the millers were away, and an entire day was lost. If the exchange were established they would, alwaya know the day on which they could meet the millers. The fee named was so small that he did not think any farmer would ba opposed ta such a charge.

Mr M. Joel had much pleasure in seconding the resolution. He 'was certain onfj, great! advantage that would be derived «om the establishment of an exchange w^uld be the" advancement of the standard r Jf New Zealand grain. When in England ' Qe had a conversation with one of the l>gest grain-buyers in that country, who as> e d him, "Row is it that you poople in Ne^ Zealand do not send Homa a good sample 0 [ gi;am ? We get various samples^ aF huddled together, and you expect to got <„s6 same prico for one as for the other. •Chp; t Q is an immensity of difference in price,, nttd it is a wonder that the merchants who ship the grain do not send Home a better class. Wo arc quite sure that; New Zealand can produce quito as good grain as any part of the--world if they only tako pains to send the--proper avtiuli, properly dreased, and seeuredi from tho vveatnqr." One advantage whichi would bo gained by establishing the exchange! would be that members would see whichi sample was right; and which wrong, and theprico given for iho good article would be sufficient inducement lo all io bestow sufficient pains and attention. Mr Walteu Millkb had much pleasure me supporting the resolution. He was very well pleased to find that this splendid hall was at the disposal of the farmers. For years he bad?

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held».that a corn exchange was an absolute necessity, not only for Dunedin, but for the province at large. Besides the buying and selling of grain, it would be an excellent medium for farmers to obtain good clean seed — an article very difficult to procure ;so much so, that farmers looking around for a clean sample of seed: 'mid not find it. Farmers were therefore compelled to continue using the same article, which rapidly deteriorated, and they sustained great lo>,s thereby. Mr Foster (Tokomairiuo) asked what would be done with the money if a very large number joined. _ , . . The Chairman : Well, gentlemen, I think the entrance fee is a very moderate one. The members of the Chamber pay four times as much, and the use of the room, at any rate, i<j worth something. Of course, the proprietors of the hall will have to consider these matters. A speaker pointed out that the room would not hold half of the farmers. Tho Chairman : I should be very glad to see the necessity for stretching out, but we must cut our coat according to our cloth. The motion, on being put, was carried unanimously.' - It was resolved that the number of the Committee be 15, five to form a quorum. Some discussion took place as to whether grain-agents should be eligible for election ; also as to whether the Committee should ba formed entirely of country people or of town and country people combined. Eventually it was resolved that it would be advantageous to have some grain-agents on the Committee, and also •& combination of town and country people. The following geotlemen were elected : — Messrs J. Duncan, Cherry Farm ; S. Young, Mosgiel ; F, Meenan, Dunedin ;> J. E. Glover, Shag Valley ; J. Runciman, Green Island ; J. Findlay, Mosgiel; P. M'Gill, Tokomairiro ; Robert Wilson, Dunedin ; Jamas Wilson, Dunedin ;D. Stronach, Dunedin ; Robert Anderson, Dunedin ; T. Tomlinson, Dunedin ; M. Joel, Dunedin; G. Inglis, Stirling; Walter Miller, Mount Stuart. The Committee afterwards met to consider the proposed rules. Mr D. Stronach was elected chairman and Mr R. Wilson vicechairman of the Committee. It was resolved that the Committee meet on Saturdays, at 11 a.m. The Exchange is to be open for business from Saturday, April 5. *