FARMERS’ POSITION

Taranaki Daily News, 16 April 1935, Page 4

FARMERS’ POSITION

DENIAL GIVEN TO RUMOURS. HON. JAMES McLEOD’S OPINIONS. Despite alarming rumours from certain quarters the farming community of Taranaki and the Waikato is far from bankrupt, said the Hon. James McLeod, M.L.C., speaking at the annual meeting of the New Plymouth Savings Bank trustees yesterday. The condition of the bank’s business at the present time proved it, he added. Of all mortgages held on land by the bank only eight were causing the bank’s officers any anxiety. Its mortgages of land covered a large part of North Taranaki and a fair proportion of South and Central Taranaki, and the fact that ,so small a percentage of accounts was troublesome disproved the ill-considered statements being made by a number of people. If all these statements were to be believed there would -be no loan money available for farmers. No doubt the farming community was having a bad time, but no worse than the business community. It might be quite true that a number were threatened by insolvency, but the proportion was no doubt little greater than with people running small businesses. It was a pity such statements' were being made as it tended to destroy the financial confidence which was so very necessary. Revenue was down and coSts were up, continued Mr. McLeod. If by any chance representations at present being made in England were successful and the quota difficulty was overcome there would be very little to worry about. He still believed that the Savings Bank’s best avenue of investment was the land, and its policy of standing by the farmer was fully appreciated. Referring to future lines of investment, Mr. McLeod said that it was evident that considerable portions of New Plymouth would have to be rebuilt in the future and this might provide an excellent means of business for the bank.