§ 55. Mr. Emeryasked the Minister of Agriculture whether he is aware that a number of arable farmers without sufficient capital try to farm on very cheap borrowed money, and that often the results are unsatisfactory; and will he, to ensure that food production shall not be hindered by an unhealthy farming economy based upon debt, ask agricultural committees to discountenance farming by those already embarrassed by debt and to discourage loans to uncreditworthy persons for stocking and running farms without that ratio of their own capital indispensable in business?
Mr. HudsonI know that many farmers borrow money to finance their business enterprises, but I have no evidence to suggest that the results are any less satisfactory in agriculture than in other industries, nor do I regard the borrowing of capital as a symptom of an unhealthy economy. I could certainly not support any proposal, such as that suggested by my hon. Friend, which would discourage the lending of money to farmers by those who are willing to do so.
Mr. De la BèreIs not this the all-important point, that we want every bushel of grain and every ounce of food we can get?
§ 57. Sir Reginald Blairasked the Minister of Agriculture whether he will examine and report on the complaint that creditworthy farmers, without adequate capital, cannot borrow to farm owing to denial of loans, or to loans at rates justified only by the risks to lenders; and, if the validity of the complaint be proved, whether he will organise and finance creditworthy farmers on land available so that food production may not be hindered by inability to borrow, or to borrow at justifiably low rates?
Mr. HudsonIf my hon. Friend will furnish me with the particulars of any cases in which creditworthy farmers have been refused loans, I shall be happy to make inquiries.