FERTILISER ADVANCES

Taranaki Daily News, 10 June 1931, Page 7

FERTILISER ADVANCES

£lOO,OOO MADE AVAILABLE

AIDING INCREASED PRODUCTION. EXPLANATION GIVEN BY MINISTER COST OF RAILWAY CONCESSIONS. The special financial provision of the Government to enable fanners to obtain advances for fertilisers on fair terms was elucidated by the Hon. S. G. ’ ith, Minister of Labour, at New Plymouth yesterday. Arrangements had been made for £lOO,OOO to be made available through the Rural Intermediate Credits Board so that farmers would not have to curtail their fertiliser purchases and so decrease production. “It is generally recognised that much of the increased production recently is due to the increased use of fertilisers,” Mr. Smith said. “In 1914 New Zealand used about 100,000 tons of artificial fertilisers. In 1930 the total used in top-dressing alone was 335,276 tons. Indications are that there will probably be a decline in the quantity this year. “The Government has been doing all it can to help in this matter and £lOO,000 has been made available through the Rural Intermediate Credits Board. This clearly shows that the Government appreciates the value of fertilisers to farmers and its willingness to help them. The assistance will be provided through dairy companies or stock and station agents. “The methods under which the board will make available to farmers the sum for the purchase of fertilisers are: (a) By advances through the Rural Intermediate Credit Associations; (b) by advances direct to farmers suppor J- by acceptable guarantees* (c) by the discounting of promissory notes given by farmers and endorsed to the satisfaction of the board. .The two first-mentioned methods involve the giving of a securityover stock and chattels. The last method is simple and inexpensive, as no legal charges and no valuation fees are involved.” . With a view to encouraging _ the creator use of fertilisers, thereby stimulating production, the Government in 1926 decided to make a reduction of 40 per cent, in the scale of charges embodied in. the railway tariff, and that any loss in revenue should >e borne at the rate of two-thirds by the Agriculture Department and one-third by the Railway Department with n uiax mum in the case of the latter department of £25,000 per annum. This arrangement was amended as from April 1, 1929, and the loss was now being shared equally. Payments by the Department of Aoriculture since the granting of the concession had totalled £337,604 and since the department had been bearin” tlie cost of half the value of the concession the loss had been £65,916 m 1929-30 and £60,061 in 1930-31.