GOVERNMENT WHEAT

Otago Witness, Issue 3314, 19 September 1917, Page 9

GOVERNMENT WHEAT

NEXT SEASON'S HARVEST. THE STATE PURCHASE An Order-in-Counoil relating to the sale of wheat to the New Zealand Government is published in a Gazette Extraordinary. It provides that, except with the permission of the Board of Trade, it shall not be lawful to purchase, or agree or offer to purchase, whether as principal, agent, or otherwise, any wheat grown during the 1917-18 season. • Nothing in the regulations will apply to any retail purchase of any quantity not exceeding 50 buehols. In granting a permit, the Board of Trade may impose such terms and conditions as to tho purchase and tho disposition of the wheat as it thinks advisable fer the duo regulation pf the maintenance of industries essential for the public welfare. Any buch permit may be granted or refused in the absolute discretion of the board, and the Board of Trade's permit shall bo revocable at the will of the board. Notice is also given in tho Gazette that the Government )s prepared to purchase wheat of the 1917-18 season in any quantities at 5s lOd per bushel, f.o.b. at tho nearest port. Apparently by the above regulations, the Government does not intend actually to handle the wheat, but to issue permits to millers to purchase stated quantities at 6s lOd per bushel. The Board of Trade recently estimated that 6d per bushel would bo added to the cost, if the Government actually took delivery of the grain. Difficulties, however, may arise if tho harvest is a pv Ocularly good one, for if grain is plentiful, millers, with the ruling price assured, are not likely to purchase early in the season for their whole requirements. Many farmers would thus be compelled to wait for some time before disposing of their wheat. It is obvious, however, thnfc jf there should bo a decided surplus, the Government, will have to take over the delivery of this.

A good deal of discontent is at present beincr expressed to the price being 5a lOd a bushel for all varieties. Tuscan la the more prolific yielder, _ whilst both the velvet ana Hunter varieties, although usually giving smaller returns, have hitherto commandocl higher priovs than Tuscan 6-vving to the additional strength and the Oolour of the flour for bread purposes. In fact, many millers state that velvet and

Hunter wheats have not been grown in sufficient quantities in recent years to fulfil requirements. It is obvious, therefore, that those who have sown these varieties this year, reckoning'' on to compensate, for the expected lower yields, will have cause for dissatisfaction. In any case, it is bound to have some influence on the acreage sown the following season.