January 25, 1958 (23rd Parliament, 1st Session)

PC

Douglas Scott Harkness (Minister of Agriculture)

Progressive Conservative

Mr. Harkness:

It is quite possible, of course, for a support price to be put into effect for more than one grade in the case of any particular commodity, but in most cases it is not necessary to do that and, as I said before, it increases the administrative cost considerably. As far as cattle are concerned, I think the base price would be determined on the level of good steers rather than choice steers because there is a larger volume of trade in good steers.
As to the question of spreads, they are set by the market in respect of most of these commodities. As I think the hon. member for Bow River knows, on the Calgary livestock exchange cattle are now sold by auction and the price any particular bunch of cattle brings depends on what the bidders are willing to pay for them, to a large extent. One bidder may think they are choice steers and another man may think they are not good enough to be choice steers. Therefore there would be some considerable difference in the bids each would make on the cattle.

Topic:   AGRICULTURE
Subtopic:   MEASURE TO PROVIDE GUARANTEED PRICES FOR CERTAIN COMMODITIES, ETC.
Full View