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Wheat (1) - Part 2
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have to be a good man and understand the different grades and so forth. Under bulk handling storage the wheat is all f.a.q., but under the bulk handling system grades are introduced. As it is now, f.a.q. is dropping. Mr. Sutton has said that our wheat is not as good as it was on account of the good farmer saying that he can see no reason for growing good wheat when it is used to make up for the rubbish grown by others. 3773. By Hon. J. F. ALLEN : Bulk storage would not cure that, but bulk handling would ?—That is so. 3774. By Mr. BROWN : From the point of view of export, the wheat speculator would standardise the wheat down to f.a.q. ?—No. Our wheat will have the same standard on the London market. Western Australian wheat would be numbered 1 or 2, and would have their relative prices. If this were not so it would not be worth while going on. That is one of the benefits of bulk handling. The man who grows good wheat would get a good price. 3775. By Mr. HARRISON : Under the bulk handling system the State would get an economic value as well as the farmer, by reason of a higher quality wheat passing through ?—The farmers would get a better price. 3776. And the State would derive an advantage ?—Incidentally, through the farmer. With wheat at 3s. 6d., and the big wages which the farmers now have to pay, they find it difficult to make a success of wheat growing, and would need the compensating advantage which bulk handling would give. I do not advocate bulk handling as a cure-all for the farmers, but it will save them enormous losses. With regard to weighing, I am open to a wager that when the farmer has the wheat which he sells to the agent weighed, he loses not less than two lbs. on a bag. 3777. I should put it down at one lb. to the bag ?—I think the loss is near two lbs. on the bag. The cost of bags to the farmer is also enormous. It is useless to consider bulk storage unless bulk handling is also considered as a corollary. I must confess that I fear the weevil. I am positive that after the war we shall get the weevil into the wheat before it goes to the ship. 3778. By Mr. BROWN : If wheat growing ceased for one year would weevil still be found in the soil ?—It seems to lie dormant for quite a long time. 3779. By the CHAIRMAN : You have given this matter of bulk handling a good deal of consideration ?—Yes. 3780. From what you have read and heard about the position, have you come to the conclusion that those who control the bulk handling system in Western Australia must be financially strong or have sufficient backing to enable the farmer to deal with the wheat once it is put in the storage ?—I do not think I could emphasise that too much. I have read reports from America showing how different companies have failed or progressed as the case may be. These reports are taken from representative men and I have them confirmed by Dr. Duval and Mr. Love. 3781. By Mr. BROWN : That would be on the speculative system ?—We have a big chance here, because we would have absolute control and would not allow anyone else to come in. 3782. The State would have to finance the business ?—I take it the State would have to come in as a guarantee of the grades. Whoever are appointed would have to be well up in wheat and have a knowledge of grading, and be able to see that the work done by the men at the different centres at which the wheat is received do their work thoroughly, and also to see that a proper system of inspection is established. Unless you give the farmer a certificate worth its face value, it is of no use to him. 3783. By the CHAIRMAN : We have evidence that it is desired that the Farmers' Co-operative Society should take on this business and control it. Do you think that certicates issued by them for handling their own wheat would be accepted by the bank in the same manner as if the wheat was controlled by an independent body ?—Not unless the position was safeguarded by some central body that I have suggested. I would advocate putting a representative of the banks on that commission in order to give confidence to the banks that their interests would be looked after. I would not give control to any individual body without some guarantee in the way suggested. 3784. Under normal conditions advise would not be called for form financial institutions?▬I should like to see the banks brought in because it would give them confidence in the Scheme. They would thus be enabled to be represented by a man who was seeing how the business was working, and that everything was fair and above board. 3785. They have no say so far as the fiancés are concerned?▬At present there is Federal control, and I may say that the banks have been pretty well skinned by the Federal Government. 3786. They look to the Federal Government to provide a guarantee?▬Yes. Some authority has to take the responsibility with regard to the grades. 3787. And it must be an independent authority?▬Yes, composed of people who are above suspicion. It is on those grades that wheat is going to be valued in the markets. 3788. If it is an independent authority the control should not be handed over to the Farmers' Co-operative Society?▬ I would not like to condemn the Farmers' Co-operative Society. It is necessary to have a central body, and I take it the State would assume the functions of that body and safeguard the farmer. Co-operative societies do not represent all farmers. Consequently, the Government represent everybody, as well as representing every farmer. We must never hand over the control of our harvests under a bulk handling scheme, for the issuing of certificates of different grading's of the wheat which would come under that scheme, unless it was to some authority backed by the highest authority in the land. That is the sole secret of the success of grading wheat. In Canada there is such an authority, such a Commission. All the Canadian Co-operative companies issue certificates to the farmers, but the certificates carry no weight until the Government officer at Winnipeg has passed the wheat. 3789. By Mr HARRISON: You think that, how ever the wheat may be handled, there ought to be an executive body, under the Government, guaranteeing bona fides between the grower and the purchaser?▬Yes, absolutely. No matter who works the elevators, there must be a central authority. 3790. By the CHAIRMAN: I note, from the files, that the South African Milling Co complain that the wheat which they purchased was not up to f.a.q. standard. The wheat may have been purchased from Western Australia. The company states that some of the bags did not come up to standard, and they want to know whether bulk sampling was adopted, or bag sampling. So, if the control of bulk handling were handed over to a co-operative company, and if the wheat of several farmers were put in to the one bin, is it not possible that when the Government officer comes to test that bin, the standard might be lowered?▬To test the wheat in the bin will be absolutely useless. The wheat must be tested as it comes from the farmer. In the bin, of course, the identity of the wheat is lost. 3791. There should be a responsible officer at each bin?▬Yes: an efficient grader. 3792. By Mr HARRISON: But to jeopardise the outturn of any one bin would be again the vest interests of all the growers in that particular centre?▬Yes. 3493. Therefore, if would be to the interests of the growers in that particular centre to have a qualified man to judge their wheat?▬Yes. In fact, it would be absolutely essential. But whoever is in charge must be responsible to the central authority, and that central authority would be a board backed up by the Government. 3794. By Mr BROWN: Under a bulk handling scheme in Western Australia, would all the bakers purchase their flour in bags as they do today?▬I knew you were coming at me with that question. 3495. There is a second question, which you might answer at the same time. Seeing that Western Australian flour is the best flour in the world for bread making purposes,▬in the world's markets Western Australian flour brings better prices than any other flour and seeing that we have reason to suppose that in normal times, although our milling capacity today could meet all local requirements in the way of flour with two mills, we might expect the whole of our wheat to be turned into flour, how would bulk handling of wheat work suppose that condition should arise?▬the bulk export of flour has not been done very successfully elsewhere.
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