WHEAT AND FLOUR.

Star (Christchurch), Issue 11764, 31 July 1916, Page 2

WHEAT AND FLOUR.

THE AUSTRALIAN IMPORTS. AMENDMENT OF NEW ZEALAND TARIFF WANTED. At a largely attended meeting of the general committee of the Ashburton Agricultural and Pastoral Association, held on Saturday afternoon, the president, 3lr James Bruce, being in tho j chair, a letter was read from Mr T. |J. Martin, Christchurch, enclosing a [ ciroulaniu connection with the wheat i position. The writer stated that the matter was of paramount importance to the wheat farming community of Canterbury, and he suggested that the association should follow up any rcsolui tion it might pass upon tho subject | by a strong deputation to Wellington !to interview the Primo Minister. He believed Mr Massey was favourable to a proposal which had been made to put an import duty on wheat and flour, only ho was half afraid of the opposition he might meet with from the North Island consumers of flour. The writer did not think much help would be forthcoming as the result of the Farmers' Union Conference, as the Canterbury representatives had stated that owing to tho opposition of North Island members it would be practically impossible to pass any resolutions favourable to tho South wheat growers. The chairmnn said that the matter was an important one and ho would like it discussed. Mr D. Wood said that tho position was a very serious one for Canterbury, ns this provinco was practically the only district in which wheat was grown. Any resolutions which were brought forward were opposed by tho North Island and the members of Southland, as they did not want any protection or help. A lengthy printed circular on tho wheat position was read, in which it was suggested that if the Government should fix a price for wheat on trucks it would bo unworkable and unsatisfactory. If a duty of £3 a ton were placed on wheat and Is 9d per cental on flour tho Now Zealand growers would then get the advantage. Now was tho time for wheat growers to move in the matter and to make a stand in approaching the Government on the question. Mr D. G. Wright said that it had always been tho policy of the association to avoid politics and he asked whether it could discuss this question without trenching on politics. Personally he was of opinion that tho committee should be free to discuss any matter which affected the interests of the fanner.

The chairman said the question was so. important that ho was strongly of op ; nion that the committee should 'deal witli it.

Mr R. B. Coward said he was not a whoat grower himself, but ho was opposed to so much wheat and fiour coming from Australia without a reasonable duty being plaoed upon it

Mr J. Cairns said, he had been growing wheat for a 'good many years, and had grown it at a loss, but he should now grow what he thought would pay him best.

Mr F. Frampton said he could not see why Australia should charge New Zealand £2 a ton and New 'Zealand should only charge Australia £1 a ton. The association should send a strongly worded resolution to the Government asking that a duty should bo put on wheat and flour equal to that imposed by Australia. If this were not done New; Zealand, wheat-growers would be pushed out of the market altogether. If Australia was allowed to do as it liked in the matter bur own community would suffer later on. He had grown wheat at a loss, and he was strongly opposed to Australia being allowed to dump so much, wheat and flour into New Zealand in the manner it had been doing. He did not want any unreasonable duty, but he thought a fair duty should be'imposed. He moved—"That the attention of the Government be called to the urgent necessity of preventing the dumping of Australian wheat in the Dominion, and the association Suggests that the -tariff bo amended to at least equal to that imposed by Australia -on New Zealand wheat and flour, namely, 2s 6d per cental on flour and Is 6d per dental on wheat." Tho motion was seconded by Mr D. "Wood. He said that if such a duty were _ put on it would encourage the growing of wheat, and he was of opinion that they must grow sufficient for their own requirements.

■Mr A. Drummond was of opinion that the Government sbcfald put a fair tariff on wheat and flour so that the farmer could know -what be was doing. Mr J. Cow said he was a wheatgrower himself, but if the Government fixed a price were they all going to abide by it? The matter was simply a question.of supply and demand, and the farmer would grow what he thought would pay him best. Mr D. G. Wright was of opinion that Now Zealand could not compete with Au6feraJia and Canada without somo reasonable protection. Mr G. W. Body said that there were many Imall farmers who had to grow wheat, as their areas were not large enough to go in for growing wool only. Mr C. Beid said the greatest mistake the Government ever made was to fix a selling price for wheat. After somo f-arther discussion the motion was carried with one dissentient. MEETING AT OAMARU. SUGGESTIONS TO THE GOVERNMENT.

[Pes Pbess Association.]

OAMARU, July 29. A largely attended meeting of. the North Otago Agricultural ana Pastoral Association, in conjunction with representatives of commercial circles,. discussed wheat-growing to-day. The following resolution was carried unanimously :

"That this meeting of members of the North Otago Agricultural and Pastoral Association and representative farmers of North Otaco urges the Government, in the interests of agriculturo and the trade of the district, to take steps to prevent Australian wheat and flour being dumped into the Dominion. Prompt action is urged so that farmers may be encouraged to sow as large an area as possible in spring wheat, rending definite tariff adjustment, the meeting suggests that import duties similar to those charged by the Commonwealth on our wheat and flour be imposed. Should this bo adopted', the meeting further suggests, in the intorests of consumers, that legislation bo enacted to prevent inflated prices being charged for the stock now hold." Tt was decided to forward the resolution to the Prime Minister. _ It was also suggested that representatives from various 'parts of the Dominion should wait as a deputation upon the Cabinet. MB MARTIN'S SUGGESTIONS.

Mr J. T. Martin in his letter to the Ashburton meeting said that tho question which was uppormost in the minds of tho farming community to-day, and which not only materially affected the farmers themselves, but had a direct bearing on tho prosperity of Christchurch, was whether, in view of the almost hopeless outlook for favourable . • . r„.. . ■>. l ; ,„..... ■- ■ 1

should bo sown this spring. Quito a largo number of growers bad decided that unless the Government immediately assurod protection tbey would not. sow a single acre. It could not be said that the Government, which has assisted tho frozen meat, dairy and hemp industries, had attempted to help the wheat grower. Rather had tho legislation acted adversely to the wheat growers' interests. Further, in addition to his usual trials the farmer was now faced with the shortage of manual labour. -

The worst feature was that, indications pointed to the'lowest prices on record. He quoted extracts to show that tho United Kingdom and Europe would never get their surplus wheat away before tho now season's wheat was upon them, and if tho Government did not act quickly it was safe to say that heavy dumping of flour would soon tako place far in excess of previous years. The Australian Government contemplated reducing tho prico of wheat to 4s, which meant 3s 9d for next- sea*son's crop on trucks in Canterbury and Otago. No farmer could stand that. Flour for Australian consumption was fixed by the Commonwealth Wheat Board at £lO 17s 6d per ton; for dumping into New Zealand £9 15s per ton, which would probably sooner or later drop to £8 7s 6d per ton. Tho latter price would mean £lO 14s 6d c.i.f.o. at Auckland. To compete with Australian flour at that prico and allowing freight tho South Island miller would require to sell at £9 11a f.o.b. Lyttelton, Timaru or Oamaru, and buy from tho grower at 3s 8d per bushel on trucks. That price, on tho present valuo of Canterbury land, meant a straight out loss to tho wheat grower. At that rate ho would sow no wheat and no one could blamo hjm. Mr Martin quoted statistics covering tho seasons 1911, 1912 and 1913, eh owing that low prices affected tho following season's acreago equal to a 50 per cent decline in three years, whilo in 1914, when the price advanced to 4s £d, the acreago largely increased. Continuation of low prices might result in no wheat being grown at all. Last season, for patriotic reasons, farmers sowed 333',233 acres, tho greatest acreage for tho last ten years, and tho yield was the poorest for many years. Owing to the low prices, the results wero disastrous to the a.verage grower. The flour-milling industry at tho present time was regarded as the worst of investments. The manufacture of agricultural implements depended solely on tho agriculturist. 60 per cent pf the coachbuilding and 70 per cent of the saddlery industry did likewise, while on tho average the annual railway revenue from wheat was £50,825. Dumping Australian flour into New Zealand should be discouraged. Discussing remedies, Mr Martin' said that the fixing of a definite price by tho Government for wheat on trucks at farmers' sidings was quite- unsatisfactory, and would in practice be found almost unworkable. So long as Australian wheat was dumped into New Zealand, so long must the price of New Zealand wheat conform to tho Australian level. There was only one way out of the difficulty. The import duty on all flour should bo raised to £3 per ton, and on wheat to Is 9d per cental. The import rate at present was equal to £1 per ton of flour and on wheat 9d per cental. Australia had an import duty equal, to £2 10s per ton and Is 6d on wheat per cental (1001b). South Island wheat-growers should demand protective legislation. Tho Government should refer to the findings of it-6 own Board of Trado Commissioners, who stated that Canterbury farmers who grow wheat wero said by witnesses to be so dissatisfied with future prospects that unless encouragement wero obtained from tho Government the acreage sown in the immediate future would bo insufficient to meet local requirement.