Mr. Giles: It makes it a very much better article to ship.

Mr. Love: Apart from the sterilisation, a lot of wheat that could not be shipped before, will, after it goes through, be really f.a.q.

Mr Nichols: We have several types of machines. Our experience in regard to the heating treatment has been precisely like Mr. Love's. We have been doing it since last August, and no weevil has been seen since, though we have been putting it in incubating machines and everything else to encourage it, but it has not affected it. One of our firms has made a portable machine which turns out a very fine sample of grain; the wheat is also made brilliant by the brushes. We propose to have a dozen working very shortly.

Mr. Giles: We shall not have any second-grade wheat to ship.

Mr. Valder: Oh yes.

—The point about the weevil not breeding in it is that the treatment hardens the grain, the hard wheat is not so susceptible to weevil as soft wheat is. I think it would be very wise if you were to call Mr. Pearse, who has made thorough inquiries into all the machines operating in the Eastern States.

465. Seeing that the British Government bought 3,500,000 tons of wheat on this advice, do you not thing this officer is qualified to say something about it?—Even three weeks ago Mr. Love could not say which was the best machine to purchase for this State. As a matter of fact it is a better proposition to haul the wheat which we have trouble with at Geraldton to Metropolitan mills to grist than to erect a weevil treatment plant at Geraldton.

466. You think that so far as the treatment for weevil is concerned, nothing has been discovered satisfactory so far?—So far as my knowledge goes, there is nothing to warrant us in purchasing any plant that has been discovered yet.

467. The statement I read was not a Press statement; it was made to the wheat board?—Yes, I know.

468. You have a machine at North Fremantle at the present time for re-conditioning wheat?—Yes.

469. Why is that not put into use?—We are short of one part of it. I paid a visit of inspection to that building when it was almost complete, during Mr. Sibbald's term as manager, just before he resigned. The machinery was in boxes, and I said, "Have you got all the machines?" and he said, "Yes, every part. It will be going within a month." I was surprised that within a month it was not going, and I found that one part of the machine was not there. We have been unable to procure it until recently. We have just got it from Robinson's in Sydney. The machine will be completed shortly. The plant should have been in operation five months ago.

470. Can you tell us the expenditure incurred in building that shed?—I cannot tell you without referring to the records.

471. That has been a charge on the Scheme?—Yes. Some of the port stacks you will find when making inspection are considerably damaged, but most of that wheat is held on behalf of the British Government. We are only holding one million bags above the contract we have with the Imperial Government, and we have been gristing since that time, and sending wheat and flour away to Java and such places, which will have reduced the quantity. There is not a great deal of the 1916-17 wheat held on behalf of the Scheme. Most is on behalf of the Imperial Government.

472. But the State is looking after it for the Imperial Government?—We are being paid for the care of it.

473. You stated that it had been arranged with Mr. Love to turn as much of the wheat as possible into flour?—Yes.

474. Who stands the loss of that if the flour goes bad?—The Imperial Government.

475. You are not gristing any wheat except for the Imperial Government?—We are sending home to Java.

476. For storing?—No, all we are storing is on behalf of the Imperial Government.

477. Do you agree with the statement of Mr. Darling that flour will only remain wholesome for eight months?—I do not. There are cases on record where we have had flour for two years.

478. Stored as it is here?—I could not say in regard to the storing. At the flour shed we are erecting for the Imperial Government at North Fremantle the flour will be stacked under their directions. Mr. Love aims at getting the flour away as soon as possible, and in each shipment we send the oldest flour we have.

479. Is the flour keeping well?—Yes.

480. Have you any complaints of any going bad?—None whatever.

481. There were a good many complaints made by those interested in the Scheme, farmers and others, that proper accommodation was not afforded to put under cover this harvest's wheat. What was the cause?—First in getting the depôts ready in time. Then we had two strikes to contend with, which delayed us considerably.

482. What was the cause of delay in connection with the sheds?—The first trouble was in getting the necessary sites, in deciding on the necessary sites, getting the land available, which took some considerable time, and then there was the material. In the midst of it all the general manager, Mr. Sibbald, resigned, which left the thing in a state of chaos.

483. The materials were local; there would not have been much difficulty?—There was a difficulty at some of the mills which are turning out orders, but the main delay was in getting the sites ready and getting the whole thing going.

484. It was stated, if I mistake not, in Parliament, that the Spencer's Brook shed remained uncovered for some time. What was the cause?—A small quantity of wheat was put in the shed before the roofing reached that part, but only a small quantity. Up to well into this year there has only been two inches of rain there all told. Since then we have had some trouble, but there have been no tarpaulin covers for the railway trucks, and it is on that account that the damage has been done.

485. There was no delay so far as roofing was concerned?—We were a little behind on the roofing. We could have covered part of the shed earlier if the iron had come here earlier.

486. In your opinion, there was no cause for many complaints so far as Spencer's Brook was concerned?—No. I will not say anomalies did not exist, but we can overcome them this year.

487. Was there any loss so far as the wheat of the 1915-16 harvest was concerned?—I cannot tell you because I do not think any of it was left when I took over the Scheme. Mr. Hall could tell you. Of course, the Pool is not finalised on account of waiting for debits.

488. With regard to the wheat coming down in the railway trucks not being covered, some of that which has been sent to Fremantle is in a very bad condition. Could not arrangements be made to sell that wheat in the country without going to the expense of railing it to Fremantle?—Are you referring to the consignment of eight trucks sent down last week?

489. I saw many more than that?—The damaged wheat could be sent to the re-conditioning plant. We would then get rid of the second quality by selling it as pig and fowl food.

490. Could not that wheat be sold in the country?—We could not get anything like the value for it. It pays the average farmer better to use wheat which is on his place than to buy the other.

491. After you have paid railage and handling charges, will not they then be more than the value of the wheat?—No. Take the Badjeling stack, the wheat in which we had to sell to a Perth merchant. We could not get anything like the same price for it from the local farmers. We find we cannot deal with the people in the country.

492. Some of the wheat we saw at Fremantle smelled very strong?—That would to some extent be due to the wet. It would be all right after re-conditioning. The outside mostly would be damaged, possibly not more than an inch deep.

493. Is it not a fact that a good deal of this wheat has to be dumped as useless?—I do not know of any wheat having been dumped at Fremantle.

494. I notice that a gentleman visiting the State the other day spoke very highly of the system and congratulated the Wheat Board with regard to the provisions made by Spencer's Brook for stacking. If the system is so good, why the necessity for going to a large expenditure to alter it?—We are not going to a large expenditure.

495. What about the Bill which was introduced in connection with storage proposals last session?—The