We feel that the key to production recovery lies in the government restocking loan said Mr K Cummins president of the Walcha branch of the Graziers Association in discussing drought problems with Mr P Druce, an officer of the Economics Division of the Department of Agriculture, at the council chambers.
This was one of several submissions made by Mr Cummins for the Graziers.Others to give submissions were individual graziers, bankers, accountants, solicitors, stock and station agents and representatives of the Business Houses Association .
The carry on loan within its limits of eligibility has worked reasonably well though some producers are in need of further money with the continuation of the drought, said Mr Cummins.
The necessity of the Development Bank investigation as an extra condition to qualify for this restocking loan is quite wrong.
Instead of a certificate that ones stock have been reduced from say 2000 sheep to 1000 sheep being all that is required.
A full-scale normal Developmental Loan must be undertaken, budget applications made to Sydney, field inspectors, security arrangements and a likely lapse of three months or more before one is able to obtain finance.
During all this period, stock prices are probably skyrocketing. Moreover, Development Bank interest is considerably higher than the Restocking Loan.
Mr Druce's visit was the outcome of a visit to the district by the Member for Armidale.