The present Government is a composite one LIBERAL PARTY, COUNTRY PARTY.
We represent town and country. We recognise that Australia's export income still depends primarily on our successful export of wool and meat and wheat and sugar and canned and dried fruits, and of butter and cheese, and so on.
Now export depends on holding the cost level. If world prices stood still, and local costs rose, primary exporting industries would be crippled.
In an industrialised country, rising wages would mean higher costs, unless there was a greater technical or managerial efficiency, or skill and productivity.
Apply this to rural industry. We are providing a subsidy on superphosphates, to increase production and reduce costs. We are, on top of many valuable tax concessions to the farmer, allowing as a special tax allowance a special rate of concession on the installation of modern plant used on farms and stations.
We are also doing our best to make available to the farmer the results of scientific research by C. S. I. R. O. and other Federal and State research organisations. When we came back into office, Commonwealth Labour was spending £ 3M. a year on research. Today, we are spending £ 25M
And, of course, with our great educational programme, this research work will grow.
But we are still not satisfied that the results of scientific research come quickly enough to the man on the farm. The speed of application is not fast enough. The problem is not one primarily for the Commonwealth for agricultural and pastoral activities are State matters. What we, as a Commonwealth, can do must be done in collaboration with the Departments and exports of the State Governments, whose work we would wish to assist, not to overrule.
I therefore say that we, the Commonwealth Government, are prepared to work with the State Governments and to consider, in a financially helpful way, the need and scope for further Commonwealth assistance to State Agricultural Extension Services.
It is for similar reasons that we have made a substantial offer to assist the promotion of wool sales around the world. Rising sales are an answer to rising costs. Having regard to a rumour I heard recently I want to say that there are no strings on our contribution, it will not be repaid to us by any levy. It is a nett contribution to the success of the greatest competitive industry in Australia.