7037. Does it not appear, so far as the Minister and the advisory board are concerned, that the Commission which was appointed at the request of Parliament is really being told to go to hell and they will do as they like?— I hardly think that. There are many things which appear on the departmental records which may have a bearing on certain matters, but have no effect so far as outside recommendations are concerned.

7038. If you had attended the board meeting as Minister would you not have advised the board to stay their hands for a day or two seeing that you would know that the Commission intended to put in an interim report at an early date? — I can only say that I know what my feelings as a man would have been.

7039. By Mr BROWN: Were the board aware of the letter which the Commission sent to the Premier in regard to the stacking sites for the incoming harvest?— Yes.

7040. By the CHAIRMAN: The board turned that down with a bump pretty quickly?— They had already carefully considered the matter. Their decision is only in the nature of a recommendation.

7041. Is not the first urgent necessity in connection with the next harvest that of providing proper sites and sheds?— I think the most important thing is that we should not be held up by the acquiring agent.

7042. Last year you found although the acquiring agents were ready you had no dry places in which to put the wheat, and a lot of the wheat was damaged by water. Did not that happen?— Yes. It could be that the wheat would be held back on the farms, although to the great inconvenience of the farmers.

7043. A most important matter that should be prepared early is that of proper stacking shed?— It is one of the most important matters. They should be ready in time to receive the wheat in December and January.

7044. Have the Scheme paid the Railway Department for the laying down of sidings to the various depôts?— I am not sure that we have actually paid the accounts. We are expected to pay for that, and also for rails.

7045. Do you get any reduction in the haulage charges to compensate for the capital outlay?— I do not think so.

7046. So that you have to pay the full charges as if the Railway Department had put down the sidings at their own cost?— Yes, if we pay, but we are fighting that.

7047. No deduction has been made by the Railway department?— No.

7048. By Mr. BROWN: Has the Scheme paid any insurance to anyone for the sheds or contents?— There is insurance on sheds but not on wheat.

7049. To any particular company?— No, the insurance is done through the Fire Underwriter's Association and all companies participate.

7050. What insurances have you paid?— On the Spencer's Brook shed the cover is £38,000; at Midland Junction £7,400; at Geraldton £8,700; at Narrogin £7,650; and at Tambellup £4,000. The premium is 6s. 8d. per cent.

7051. How is it that the price of flour at Bunbury is £10 15s. and it is £11 in the metropolitan area?— That is not quite correct. The price of flour for local consumption at Bunbury is £11 2s. 6d., and the amount paid by the Scheme for Imperial flour is £10 18s. 6d.

7052. Mr. Forrest then is correct when he says that the local price is £10 15s.?— There is nothing to prevent him from selling under the fixed price, which is £11 2s. 6d.

7053. The Scheme loses the difference between what they are getting for the wheat now and what they might get. Mr Forrest is paying 4s. 9d. for f.a.q. wheat milled there. He is able to make a profit on the business and sell flour at £10 15s. The Bunbury people are buying that flour and making it into bread at a greater profit than the metropolitan people are getting. Mr. Forrest tells us that he is well satisfied with the position. If the Scheme asked him for another 1½d. per bushel he still might be satisfied?— We could not do that, because the price fixed by the Australian Wheat Board for local consumption is 4s. 9d., that cannot be varied.

7054. Mr. Padbury's 7s. is purely for export?— Yes.

7055. If Mr. Forrest wished to export he would have to pay the same?— Yes, there are different prices ruling for different countries.

7056. The "West Australian" of the 30th August says—

The board will also frame a scheme by which the necessary control which the Commonwealth Government seeks for the purpose of assuring for Britain the proper guardianship of the wheat in Australia will be accomplished.

Have your board received any notification from the Australian Wheat Board in reference to that?— Not yet.

7057. Have the board made inquiries from the Australian Wheat Board?— No. We expect shortly to receive the verbatim report of the conference at which that was decided.

7058. The advisory board then have received no information from the Australian Wheat Board as to the methods by which the incoming harvest should be stored?— No. Up till now that has been left to the discretion of the individual States.

7059. By Mr. HARRISON: You stated that the advisory board had already fully considered the amount of storage required and where that would be located?— Yes.

7060. Who are the experts to advise in this matter?— The general manager of the Wheat Scheme, and the Engineer-in-Chief, Mr. Pearse, and Mr. Anketell. Speaking from memory, I think that is all.

7061. You would not be able to answer questions with regard to the suitability of the proposals in this matter?— No.

7062. I presume you have a record of the cost of drainage of the present depôts?— Yes.

7063. Have you any idea what the cost is?— I cannot say from memory, but I will make a note to send you the information.

7064. I suppose you do not know whether the breakdown value of the sheds was taken into consideration, or whether the sheds would be required for further use after normal conditions obtain?— That was taken into consideration.

7065. If the board wanted further light on the matter of the present depôts, and of their advantage, you would recommend the same gentlemen as have already advised the board?— I do not know. Their advice would be good, but I would not necessarily limit the inquiry to them. I would get advice wherever practicable. Just at the moment I cannot say what other sources I would apply to.

7066. By Hon. J. F. ALLEN: From the minutes of your board on the 27th June last it appears that the board considered a question of the storage of wheat on farms, which question was raised by Messrs, Prowse Bros. How did that matter come before your board; by a letter from Prowse Bros?— Yes.

7067. On the 11th July I notice a communication from the premier in regard to the expenses of Honorary Ministers while travelling in the East, and a statement that those expenses would not be charged to the Scheme. Was that information requested by the board, or was it volunteered by the Premier? I find no previous record of the matter in the minutes?— I think that was information which I submitted to the board because one of the members had a few days previously asked me whether the Minister's expenses were to be charged to the Board, and I said the matter was under discussion. It had not been discussed previously.

7068. It was raised by you as secretary, and then communicated to the board?— That is so. I submit to the board any matters that I consider of interest to them, whether they ask for those matters or not.

7069. What are the actual functions of your board? As secretary you ought to know?— If I read an extract from a letter sent by Mr. Baxter to Mr Keys on his appointment as general manager of the Scheme, it will show the relative functions of those variously concerned in the operations of the Scheme—

I commend to your careful study the Wheat Marketing Act, 1916, that has recently been extended by the Act 1917. Under that Act the Minister of the day has full control of the administration of the Scheme, and an advisory committee has been appointed to advise the Minister on all matters relating to the administration of the Act, and also to bulk handling. It personnel comprises Messrs.