Poverty Bay Herald. PUBLISHED EVERY EVENING. GISBORNE, SATURDAY, AUG. 25, 1923. DAIRY EXPORT CONTROL.

Poverty Bay Herald, Volume XLIX, Issue 16213, 25 August 1923, Page 4

Poverty Bay Herald. PUBLISHED EVERY EVENING. GISBORNE, SATURDAY, AUG. 25, 1923. DAIRY EXPORT CONTROL.

The decision of the Minister for Agriculture to form a compulsory butter combine has met with very strong opposition not only from a minority of the factories, inclusive of Kia Ora in this district, but from the representatives of the cities. «Mr. Isitt,, for Ohristchurch, and Sir John Luke, for Wellington, were, two. of the,,strongest opponents to ,Cne Bill with a compulsory clause. The reason of this opposition is plain. Any enforced corner in an article essential to the life of the people, if effective, must raise the cost of living. It is strange that Mr. Mnesey does not see that, through his Minister for Agriculture, he is allowing the farmers, or a considerable section of them, to force Socialistic experiments which are liable, if successful, to increase cost to ali others in the Dominion, and which will very seriously affect the support' which he lias been accustomed expect, at the next general elections. The power given to corner the meat of tho Dominion was bad enough. In that experiment no opposition was raised by the growers. There was opposition, but it was from those who were engaged in the trade, and was therefore too weighted by interest to obtain a hearing. The meat coiner, too, has not eventuated. This attempt is one which, as Mr. Isitt put, it, "enables two-thirds of the producers of butter to seize on the products of the remainder, enforcing principles which they had condemned with bell, hook, and candle." Although by tho device of calling the measure a nonparty'one, the Government has attempted to claim irresponsibility, by night or day it has used all. its power, at the expense of much more important business, to force tho Bill through. Howover much mutilated in committee, it has stuck to the fragments. The Meat Board wisely has not attempted to compel a meat pool.' It never will. But the butter men say that the combine they seek will bo of no use unless compulsion is not only conceded, but enforced. rThe success of the effort would depend upon tho control forcing the price up at its English market. Then automatically tho price will be raised in New Zealand in parity with English rates. A Government that by its unfortunate position of want of votes cannot govern, but has to leave questions of such importance as electoral reform, gaming' control, licensing reform, and this latest exploitation of the consumer of butter, i R fast payim* its way to its own downfall. Meanwhile the attitude of ' the Labor party is amusing. While. Mr. Holland, equally with Mr. Isitt or Sir John Luke, would resent any action which woxild increase the cost of tho people's food; yet he is so delighted to see the Reform Government initiating measures of pure Socialism, that he supports the measure as a valuable precedent for Labor aotion in the day of its opportunity. We need hardly say that the view hold by the city members* that a trust in Dominion butter

might increase cost to the New Zealand consumer,-; would not seriously disturb that section, of the butter producers which has so strongly opposed the compulsory • clauses. The farmers who arc opposing the ;Bill do ,not. believe that the- combine will succeed. They are not prepared to pay a'- levy forj an experiment'' which they consider ,<will. fail. Combination can be'mefc.by combination, and '• * possibly"/ retaliation. They v- dread, too, the£loss,-of individual initiative ""and thb - destruction -of agencies' for''the ; mar 1 , ke'ting - of - Weir , produce under -which they have prospered.';* It-is difficult \ for them to ;.believe •'that some New ;Zeala'rider, however able he may be, merely because he '.can write from '"our London office,' can supersede and improve'upon the- trade activities and acquirements wh*h have taken many years to establish in Great Britain. For good or ill the Bill is through now, leaving, in the wake of its making, a nasty feeling of unrest that will not easily be allayed. The compulsory clause is postponed in its operation, and can only apply to contracts made after July 1, 1923. The opposition has secured this concession that the compulsory clause is not to operate until after a poll has been taken of the producers. The poll is to be taken not later than the first of October, 1923. The practical suspension of the right of free sale after the passing of the Act and before the taking of the poll will be inconvenient. Be that as it may, the producers have the matter left to them to decide as they please from their own point of view. IMPERIAL PREFERENCE. Mr." Wilford, in asking the Prime Minister what attitude he intended to take up at the Imperial Conference on the question of Imperial preference, stated that the preference, which New Zealand now gave British goods had some relation to the high taxation maintained in Great Britain, and which was passed on by the manufacturers to the public. Great Britain had been able to substantially reduce its war debt by maintaining an excessive system of taxation. We in New Zealand in giving preference had to make a sacrifice in revenue which so long as high local taxation was maintained against the manufacturer in Great Britain, could not put him oh an equality with foreign competition, unless indeed the preference given in New Zealand equalled the excess taxation maintained against him in the country of manufacture. Mr Massey reminded the House that . Empire preference had affirmed in the House of Commons in 1917, but its range had been left undecided. No preference had been granted to New Zealand, or Australia. It had', he said, been granted to Ceylon, where tea was and to another country producing sugar. On the main qudstion ho was non-committal. He was not going to increase the difficulties of the British Government by stating plainly what was in his' mind. He repeated, however, his advocacy of "shipping subsidies" as perhaps a way out. Not the least of" Mr. Massey's difficulties in dealing with this subject may be that it is not certain that |he view of the Australian Prime Minister will agree with? the view to be submitted for New Zealand. The Australian manufacturer has a bigger position in the commercial life of the Commonwealth than has the New Zealand manufacturer in New Zealand. Even in New Zealand, given population, the time'niay not he far distanct when it may be better to work up for local manufacture many of our raw products which'wo now send overseas, dirt, waste, and all. ,So marked is this side of the question that the decision of the Commonwealth Government to raise a redemption loan for twenty-one millions locally, and not in Great Britain, caused a rumor to be published in the .Westminster Gazette that this was done because otherwise Australia would bo flooded by manufactures. Gold is scarce. The money would como in the shape of imports. Sir Joseph Cook has thought it necessary to contradict the statement that the final action of the Commonwealth Ministry was taken under pressure from the manufacturers. The Agent-General for Tasmania is not so cautions as Mr. Massey. It is true he only spoke as a business man and not, he said, as Agent-General. He had nothing very now to say, but he put it rather well: — "Britain was buying large quantities of cotton and foodstuffs from America and Denmark which the Empire could produce. It should not be impossible to transfer a portion of this trade to the Dominions. But it may require the scrapping of old shibboleths and a practical extension of preference. This ' would have the double effect of providing work for Britain's unemployed as food producers in the Dominions, and at the same time turn them into purchasers of British manufactures."- This statement was given to the. Morning Post. The Times at the same time/was calling for practical results from the Conference. Not attempting to cover up the difficulties which usually serve for excuse for merely passing resolutions inspired by Imperial sentiment, it says :—"Though nothing is to be gained by concealment of the fact that opposition ten any change in our fiscal system will bo encountered, it is encouraging to find that there is a general .disposition to take a hopeful view of the Conference. Differences of opinion are- largely confined to the methods to be adopted to achieve admittedly desirable ends." The important facts are that Great Britain cannot be self-contained. The Dominions must find markets which can be relied upon or they perish. Tho British farmer has to be allowed to live. That fact is a fact which looms very prominently in English politics. It is true that the same energy and!,-capital employed in other parts of the Empire would give him better results. There is the homo instinct to be reckoned with. You cannot level up the possibilities of Empire production by mathematical or logical argument. Humanity will come breaking in. i Time, with patience, and a good deal of allowance for each other's views will bo required before the Empire, held together not by pact or force, but by cords of tradition, common ideals', and love of freedom' of action and thought, will justify the ideals of its founders and set an example to the rest of tho world of the greatest prosperity extended to the greatest number.