The disastrous visitation imposed on Australian Dairy-farmers was not unexpected.
It has been building up for many years and if you had been following the trends it was inevitable although its final form unknown; invariably it would be accompanied by misery and hardship for honest hard-working Australians.
The number of cows needed to remain a viable business has increased year by year pushed by costs arising from outside the farm boundary. In the beginning it was relatively easy to milk a few more cows or plant a couple more acres of crop. It was akin to a raging fire under the steam-boiler and adding more weight to the pressure relief valve.
All of the increased costs are induced by State and Federal Governments who automatically increase their taxes and charges by the annual inflation rate and this flows right through the community.
Added to this are local government rates and charges; have you ever known rates to be reduced? Capping council rates is another weight on the ‘pressure valve’.
Whenever there is a tariff review or references to the Productivity Commission, it always means increased costs whether it is energy (power and fuel), water for irrigation, etcetera. Farmers cannot pass these costs on to somebody else.
To offer farmers’ loans at concessional interest rates is also an inane response when the total rural debt carried by a diminishing number of farmers is rising each year.
It is not sustainable and will lead to ever more hardship and misery spread throughout the entire population of Australia with the only exemptions the few who live in ‘ivory towers’ who are insulated from the results of their decisions; it is time for a change!
The nub of the problem lies with the financial system and inherent inflationary policies emanating from our Parliaments. The Reserve Bank is a creature of the Parliament and is charged with ‘managing Australia’s Finance’. (Ask your elected Member for a copy of the Reserve Bank Act 1959)
Inflation should NOT BE MANAGED BUT ELIMINATED, and it can be!
This was effectively done during World War II and you can find references in the Australian Year Book, Number 37, 1946-47, beginning page 458.
Chapter XII, Labour Wages and Prices. Section C. Control of Prices during and since the 1939-45 War.
An inquiry into the Financial System needs to be undertaken but not lead by the wolves, (bankers and economists) instructing the foxes (elected politicians) how to manage the lambs and chickens (Australian Public).
It is the Parliament that should be instructing the ‘financial managers’ to implement policies in the best interests of the Australian people or terminate their employment; they must be judged on their performance which at present is wanting.
This also applies to the elected politicians who would rather yield to external foreign and financial interests before serving their constituents.
In the final analysis it comes down to the voting patterns of you, the Australian Voter … when will you wake up?
Louis Cook, Numurkah, Victoria
Some press references for your interest follow …