PRIMARY PRODUCTS

Otago Witness, Issue 3495, 8 March 1921, Page 5

PRIMARY PRODUCTS

LOW PRICES RULING. STRICT ECONOMY NECESSARY. SOLDIER-SETTLERS’ POSITION. WELLINGTON, March 2. The Hon. W. Nosworthy, Minister of Agriculture, interviewed to-day, stated that there was no question that the fall in the value of the primary products, meat and wool, as well as the lower prices of some of the principal commodities, except butter, must impress even the densest persons of the seriousness of the whole position and cause them to realise that only by the most strenuous efforts for increased production and absolute economy on the part of the Government and private individuals could the outlook be improved. It was really the [ tremendous increase in shipping freights j that made the drop in prices so bad. He was not disposed to take a pessimistic view, | but he pointed out that meat was now down in the region of what it was 14 years ago, j and it seems that wool, which had brought \ in £13,000,000 last- year, would, on present l market prices, realise onlv from £4.500,000 to £5,000,000. Both freights and prices, he believed, were bound to readjust themselves to something like normal before long. The Prime Minister, interviewed, said that the fall in prices would affect the soldiersettlers in the same way as others, but very few soldiers were taking to fattening cattle, though a number were sheep-farming. Good judges were strongly of opinion that in most cases land had been purchased for the soldiers at prices certainly not beyond the value at the time of purchase, and the interest charged to the soldier-settlers (4i per cent.), when paid promptly, would compare favourably with the ord narv rate of interest obtaining to-day, certainly not less than 6 per cent. The Hon. D. H. Guthrie agreed that most of the soldiers stock-farming were going in for breeding, not fattening. The Government. he said, was making arrangements to ; help the soldiers over the time of the slump. With regard to wool and meat, the prices of store stock would be lowered, because it depended on the price of fat-s. The Government had been meeting the soldiers up to the present by postponing rent, taking instalments or capitalising it. or in extremely necessitous cnees remitting it altogether. Each soldier s case was considered on its merits bv the board in the district.