H.-118,

14

Denmark has an area of 16,750 square miles, which is less than one-sixth of the area of New Zealand. Upon this area she supports a population of three and a half millions, chiefly on a farming basis. Four-fifths of her exports consist of farm produce. Denmark's chief exports in 1927 were — £ Butter, cheese, milk, and cream .. .. .. 25,800,000 Meats (almost entirely pork and bacon, but including a very small quantity of beef, mutton, and lamb) .. .. .. .. 24,373,000 Living animals, chiefly cattle .. .. .. .. .. 5,101,000 Eggs.. .. .. .. .. .. .. .. 4,825,000 For the sake of comparison, New Zealand's exports of similar lines are given for the same year:— £ Dairy-produce .. .. .. .. .. .. 16,985,508 Meats (chiefly lamb and mutton) .. .. .. .. 9,341,378 Living animals .. .. .. .. .. .. 123,564 Eggs and poultry .. .. . . .. .. . . 1,104 Danish farmers lead the farmers of any other country in knowledge of stock-feeding. From their small area they exported the great quantities of animal-products mentioned, in addition to supplying the wants of a population of three and a half millions. They do this (a) by producing the bulky foods required by their stock on their farms ; (b) by utilizing their dairy by-products to the full; (c) by importing grains, which they use to supplement and balance the rations produced on their own farms. Grain and grain-products form by far the largest import line in Denmark. In 1927 she imported these goods to the value of £20,446,000, and of this total approximately £17,000,000 was food for stock and the balance for human consumption. All grains and fodders enter Denmark duty-free. Without these imported grains for stock, Denmark's bacon, pork, live-stock, and egg exports would not be possible, and her dairy-produce exports would be largely reduced. New Zealand has a tariff on stock-foods as follows :—

The Committee wish to make it quite clear that in this report they do not wish to discuss in any way the duties in New Zealand on any grains or grain-products used for human consumption ; rather it is merely the duties on grains and grain-products used for stock-foods they wish to discuss. For the efficient conduct of the pig and poultry industries, grain and grain-products must be used to balance and supplement the rations produced on the farms. If the pig and poultry industries are to be placed on to an export basis, grain and grain-products in large quantities must be available to the industry at world's parity prices. Grain loaded with heavy duties cannot be used to produce animal products that have to be sold in free markets in competition with the rest of the world. New Zealand, like Denmark, is not a grain-growing country. New Zealand grain-growers have stated again and again that they cannot grow grains without protection, and say openly they would have to give up growing it if the duties were removed. It is admitted by New Zealand grain-growers, therefore, that they cannot supply other farmers wanting stock-foods at world's parity prices. With the exception of the small quantity of oats or other grain that many New Zealand farmers now grow to feed their own working horses, there is little grain grown in New Zealand to-day for stock-food. The chief grains grown in the Dominion are wheat, oats, and barley for human consumption. If the duties on these remained, these grains would still be grown. The removal of the duties on stockfoods would hurt very few, and would start an export industry in pig and poultry products that might easily grow to be one of the largest industries in the Dominion.

" i i i British Preferential , Australian Tariff Tariff. i General laritt. Agreement. I I I Animal-foods of all kinds (includes blood-flour, coconut- 20% ! 40% 20% meal, copra-cake, linseed-meal, crushed linseed) Grain and pulse (unground and unmanufactured) — (а) Maize .. .. .. .. .. 2s. cental 2s. 2s. (б) Wheat .. .. .. .. .. Where current domestic value at port of export is 5s. 6d. per bushel, duty shall be Is. 3d. per bushel. (а) Where current domestic value exceeds 5s. 6d., duty is decreased by |d. for every M. of such excess. (б) Where current domestic value is less than 5s. 6d., duty is increased by |d. for every £d. by which such current domestic value is less than 5s. 6d. (c) N.e.i. .. .. .. .. .. 2s. 2s. Is. 6d. Barley .. .. .. .. .. .. .. .. 2s. cental. Grain and pulse (ground and manufactured) — (a) Barley, flour prepared .. .. .. 2s. 6d. cental 2s. 6d. 2s. 6d. (c) Maize, flaked .. .. . . .. 5s. 7s. 5s. (d) Maize, ground or crushed .. .. .. Free Id. lb. Free (/) Oats or oats mixed with other grains .. .. |-d. lb. Jd. lb. Jd. lb. (h) Peas, split .. .. .. .. .. |d. lb. fd. lb. £d. Ib. (j) N.e.i. .. .. ■ • •. • ■ 2s. 6d. cental 2s. 6d. 2s. 6d. Prohibited or Restricted Imports.—Oats, barley, maize (including maize ground or crushed, but not otherwise manufactured), hay, straw, and chaff from Australia, except with consent of Minister of Agriculture.