THE Temuka Leader SATURDAY. MARCH 4th., 1922. WHEAT AND FLOUR.

Temuka Leader, Issue 10305, 4 March 1922, Page 2

THE Temuka Leader SATURDAY. MARCH 4th., 1922. WHEAT AND FLOUR.

The Government’s handling of the wheat and flonr question jins not hitherto given entire satisfaction to all the parties interested. Perhaps it is stating no more than a truism that it is only what ntight be expected. We do not altogether agree with .t.lim, but wo are forced to concede that tho Government all along has had a hard row. to, hoe. Wc anticipate that it will be pleased to give an open market to wheat and millers when this season has passed. Last year the millers were pleased, while , the -farmers wore not entirely satisfied. This year the position is reversed'. ‘The farmers seem, pleased- because thu' •price. of : ; wheat.; in 'sew Zealand Is jtiglier than itwoulcPbo if based' on the world's markets, while the miners complain of .the increment of 113 d per bushel which is being adtled to the price • per ' bushel which has been fixed by the Goyefnment. -Last- year the miller had to pay an extra per bushel above the fixed price to the farmer. This was to pay Id per bushel to the broker and Jd to the Government for office charges. The millers resent the increase from to 9d per bqshel. Flonr is fixed in. price, there being a reduction of'from £2 10s to £3 a ton. Also it is to he remembered that the subsidy on flour to’the millers has been removed. It is difficulj to state the exact reason.of the impost of 9d a bushel above the price paid to Pic farmer. If there is an appreciable surplus of wheat beyond our own requirements, this surplus is to bo bought by the Goverumerd who will require to realise on it by export at the world’s parity for wheat. The Government evidently anticipates that it is going to make a loss on the sale of this surplus, and the extra nincpeucc a bushel, or to be absolutely correct ber bushel, is to make good its loss. If the Government knew what the loss would be, it would be possible to state exactly wh,at the additional impost to the miller should be, but that is what the Government at presenf does not know. Various estimates of the surplus have been given by Mr Massey and Mr Kosworthy, the Minister of Agriculture, and others. These vary from two and quarter million bushels to half a million bushels. If our own needs ■are. taken at six and a-half million bushels, the amount collected at 7Vd a bushel from the miller will amount to £203,125. ' Assuming the surplus at a’million bushels to bo exported at a loss, this sum of £2O-3,125 would provide for a loss, of slightly over 2/- a bushel. Also., it is apparent that, the greater the exportable surplus, then the loss will be greater, and conversely if the surplus is less than a million bushels, then the loss will be less. Surely it is possible for a calculation to be made providing for the impost on a sliding scale if the impost is merely intended to cover the loss on the exportable surplus. That would be our suggestion, snd wc are rather surprised that the millers did not make it when they were in conference with the Wheat Controller and the representatives of the Government. It may not be too late yet to make it, in the interests of millers, and consumers alike.