COMMISSION IS APPROVED

Southland Times, Issue 23816, 13 May 1939, Page 8

COMMISSION IS APPROVED

Southland Comment On Proposal

“SATISFACTION AND RELIEF” ASSISTANCE TO BE GIVEN , BY UNION Approval of the decision of the Government to set up a royal commission to make a thorough investigation of the sheep-farming industry was expressed yesterday by prominent Southland farmers. The commission will be presided over by a judge of the Supreme Court and its personnel is expected to be announced within the next few days.

“The announcement by the Prime Minister that a royal commission is to )e set up will be received by the farmers’ Union organization with much relief and satisfaction,” said Mr A. R. Johnston, president of the Southland Provincial Executive. “The Prime Minister in the first instance promised the leaders of the Sheep Owners Federation and the Fanners’ Union that an inquiry would be instituted. At the February meeting of the Dominion executive of the Farmers’ Union the setting-up of a royal commission was strongly advocated and Mr Savage was written to on the subject. The. request was at first refused, but the seriousness of the position of th sheep farmer, and the urgency of the case, since primary production, upon which the welfare of all sections of the community depends, is at present very seriously threatened, have no ddubt influenced the Government in altering its decision.” There were, unfortunately, many people who did not realize how serious were the difficulties of the New Zealand sheep farmer today, nor how farreaching might be the effects of the • situation if some definite steps were not taken immediately to retrieve the position, said Mr Johnston. Many remained unconvinced by the statements and arguments produced by the Farmers’ Union and others interested and it was felt that to bring conviction. to such doubters a commission of . inquiry was necessary. The investigation and report of the Dairy Commission a few years ago and the subsequent investigations of the advisory committees set up to inquire into costs of production in the dairy industry and to advise the Government concerning the guaranteed price for dairy produce, had served a most useful purpose for the dairy farmer in establishing as accurately as possible his costs of production and the prices required to compensate him and to provide for him a reasonable standard of living. The Southland Provincial Executive in supporting the suggestion to set up a royal commission asked that the sheep-farming industry should be adequately represented and that the chairman should be an independent person—one who would judge the position according to the evidence produced. Should that be done they were confident that a'most important move towards remedying the sheep farmers’ present unsatisfactory position would be taken;

SHOULD NOT BE NECESSARY “An investigation by a royal commission will be the only way to impress the Government with the plight of the sheep farmers,” said Mr E. K. Sim, chairman of the meat and wool committee of the Southland Provincial Executive of the Farmers’ Union. “An investigation as proposed will prove that the position is as stated by Mr W. W. Mulholland, Dominion president of the Farmers’ Union. “But an investigation should not be necessary,” said Mr Sim. "The position is obvious enough. However, it appears that the man in the street wants some verification and the only way to give it to him is through a royal commission. The suggestion by the Prime Minister that the farmers’ agitation is a political move is ridiculous. It seems to have been made to ridicule the Farmers’ Union and those associated with it." Mr J. H. McLeod, of Mandeville, said that the proposal to set up a commission was on the right lines; it was the only way to obtain an independent opinion on the position of high country sheep farmers. It was the first step to see what could be done for them, and it was to be hoped that evidence would be heard from all classes of farmers from Auckland to Bluff. “I believe that the freeing of the exchange is the most natural remedy.” he added. Mr W. W. Mulholland, Dominion president of the New Zealand Farmers’ Union, commenting on the announcement in an interview with The Press, Christchurch, said that he was naturally very pleased that the Government had decided to appoint a commission, in terms of its promise to the farmers. “It is to be hoped that it will have a satisfactory order of reference, and that its personnel will be such as to command the confidence of the whole community,” he said. ASSISTANCE OFFERED "It will be desirable for farmers’ organizations to see that the facts in regard to the industry are made available for the commission when it is ready to start work. The Farmers’ Union will assist the commission in every way it can. The union has not made any preparation in this respect. I am given to understand that the commission will get to work almost immediately, and this is naturally very satisfactory.” “The effectiveness of the royal commission will depend entirely on what form it takes,” said Mr H. D. Acland, president of the New Zealand Sheep Farmers’ Federation. “The most important problem is the economic problem, which is the problem of costs. It should be understood that the sheep farmer dependent on wool and surplus stock is in an entirely different position from the mixed farmer.” The investigation should be sectional, said Mr Acland. It should distinguish in its order of reference between first, the wool grower, or hill countiy sheep farmer on second or third-class land, who was dependent for his income on the proceeds from his wool clip and surplus stock. Second, it should inquire into the position of the sheep farmer who was able to dispose of a proportion of his iambs fat off the mothers, and to sell the remainder and his surplus breeding ewes. That class was the one which was most detrimentally affected by the quota restrictions on the export of mutton, because of the serious effect of the quotas on the market for breeding ewes. The third class was the mixed farmer, who beside owning perhaps 500 sheep and producing fat lambs bought for fattening, might grow wheat, or grass seed, or milk cows for the export trade.

He brought his ewes from the hill country farmer. “It would appear that the third type of farmer has many sources of revenue denied to the first two classes mentioned,” said Mr Acland. “His dairy produce, wheat, fruit and honey are all subsidized, and he also has the advantage under present conditions of purchasing his breeding ewes at the level determined by export parity. It will be realized that the amount received by the mixed farmer for his wool clip is relatively unimportant as compared with the returns the hill country man, and second-class light land man gets from his clip. “It is most important that the appointment of the commission, which was promised to the Sheep Owners’ Federation and the Farmers’ Union should be pushed ahead without delay,” said Mr Acland. “It is essential that the report of the commission should be available before the end of the next session of Parliament so that any recommendations may be dealt with by legislation if necessary, before the beginning of the new export season. “It is gratifying that the Government has been able to see its way to grant us the inquiry we asked for,” Mr Acland concluded. “Sheep farmers throughout the country will be pleased.”