PROBLEMS FACING FARMERS

Poverty Bay Herald, Volume LIII, Issue 16360, 7 June 1927, Page 10

PROBLEMS FACING FARMERS

PRODUCTION, FINANCE, AND WAGES

MR, POLSON ON HOW THEY MAY BE OVERCOME #

The Art Gallery, Dunedin, "was iilled to overflowing when Mr. W. J. Poison, Dominion president of flic Fanners ’ Union, addressed a large crowd of farmers and business people on the manifold problems which confronted farmers to-day. The speaker was enthusiastically received, and spoke to a keenly interested audience. Comparing land in New Zealand with land in the countries of our competitors overseas, Mr. Poison said that in Denmark and Sweden land was much higher in value, and taxes were just as heavy, increasing the costs of production everywhere. The burden of taxes borne by the British farmer was enormous, but land inflation or deflation were by no means the most seiions aspect of the situation to-day, though .their effect was very great. The most important essential in primary production was a reduction in costs. This would result very quickly from a hastening of public economy. Expenditure was far too high; salaries paid to-day in the Government had doubled, and the Railways, P. and T., and all Government Departments were costing too much. Public economy did not call for any inequality or sacrifice; all sections of the community should bear their share of the burden, and it was only then that public expenditure would return to the normal rate of Hll4. RURAL FINANCE The question of rural finance was a serious one. Long-term loans and mortgages depended greatly on their persistence in hammering at the Government, and what they needed almost as much was the sympathetic support of the townspeople. Mr. Poison outlined at great length the methods adopted in America as the result of the work Eugene Meyer had done in the interests of farmers’ finance.' It had been suggested that had the Commission on Runjl Finance returned earlier the legislation for better finance would have been put on the Statute Book last session. However, it was not the fault of the commission; it had an itinerary to cover, and it could not cover it sooner. Legislation would 'come soon, -'and better and easier financial arrangements would be available. Speaking of -the agricultural bonds to be issued, flic speaker said it had been staled that flic bonds were not Government bonds; but be wanted to deny this. They were backed by the Government, and were as safe as any investment in the country. The Hon. W. D. Stewart had himself given that assurance. The long-term loans of the Rural Credits Board would not carry nearly so high a rate of interest as that attached to the long-term loan •proposals of the Bank of New Zealand. He did n (it want to decry the bank’s offer, but it did not offer the satisfactory conditions -connected with the loans of the Rural Credits Board. NEED FOR MORE MARKETS The qufstion 'o‘f markets for our produce was then dealt with. Mr. Poison said that we must have more markets for our produce. Great Britain became great by trading with the world. Tariff bargains and concessions were a moans to securing more markets, and this should taken up at once.- There was a crying need for sanity in regard to tariffs. It was useless to build up tariff walls to protect the production of commodities better produced abroad. Ho did not want protection of secondary industries abolished, but there was a grant need for a revision. Reasonable prices must replace false and bolstered values. A groat need was a better land settlement policy. He instanced Brazil, where the question of immigration and laud settlement was dealt with in a remarkably sane manner. The production of this -country of 30 million inhabitants was enormous, and all as the result of the land settlement policy of the Government. Surely if Brazil could do so much for foreigners, New Zealand should do better for her own sons, Thousands of young men had had to walk off: their farms simply because of land, deterioration. They wanted this sort! of (thing to stop; they wanted some system proof against such a state bf affairs./ THE LABOR PROBLEM Farmers were badly in need of a 'Government with backbone enough to provide them with some security in respect of labor, continued Mr. Poison, the costs of .which were steadily rising, not only as a result of high wages, but in a greater degree In consequence of the endless and eternal restrictions imposed on production by awards. No industry should be called on to pay higher wages until it Was ascertained without a shadow of doubt that the industry was .flourishing ■enough to boar the burden of higher wages, Wages should bo based on what a man produced, and not upon what he conhomed. That was the chief objection 'to the fallacy of basing wages on the cost of living alone. It, was necessary that farmers should see that at next session the Government should deal with the question, on a better basis than the present one. DAIRY CONTROL Dairy control, said Mr. Poison, was 'a difficult subject to deal with. He had never been a price-fixing fanatic. >Ho and Colonel Essou had seen the trend of events and had warned the 'Government and the producers in vain. The Danes had all the control New Zealand wanted, aud if the Dominion would now lie low for a while and then when the noise had blown over quietly begin on -the principles adopted by the Danes New Zealand would ultimately get over the difficulty in regard to control which had lately disorganised marketing and cooperation. In conclusion, Mr. Poison said farmers had to have lower production costs, cheaper labor, and more markets for their products. Town people would admit that they were not asking for too much. If the city would help the farmer to these ends the farmer would lie able to do more for the city.