PRICES FOR MILK

Dominion, Volume 35, Issue 257, 29 July 1942, Page 6

PRICES FOR MILK

Need For A National Authority VIEWS OF MINISTER (By Telegraph—Press Association.) CHRISTCHURCH, July 28. Confidence that later the Government would be able to establish some form of national authority which would see that prices were fixed for milk to give a just deal to producers, vendors and consumers was expressed in an interview tonight on his policy on the mjlk supply question by the Minister of Primary Production for War Purposes, Mr. Polson. “One can say definitely that a shortage of city milk looms ahead,” said the Minister. "The whole question is causing some concern because conditions in the industry are not stable and there are variations in the price received by producers. When producers are depending on a price which is inadequate, the producer-vendor produces for the summer months only and endeavours to buy milk from other producers iu the remaining seasons. There should be rates fixed for summer, autumn and winter, which will enable the producer to carry on profitably through the winter when special-feed supplies have to bo provided, or sometimes stock has to be housed. “I have always believed iu some form of national control for urban milk supplies, but this control should not be rigid. We should provide for meeting the particular circumstances of each case. The controlling authority, however, should have sufficient powers gradually to build up a system which, will be fair to both producer and consumer.” At the present time additional difficulties had been created by the tyre and petrol shortages and the scarcity of manpower. Those factors demanded maximum economy, as waste of any nature could not be tolerated, with those handicaps in mind, a national plan should be formulated in his opiuiou, under which everyone would be treated equitably and the producer would be encouraged to carry on. A difficult problem presented itself. Wellington, for example, had a winter price of 1/5J a gallon at the farm gate ou a 4.4 test. That was probably-the highest winter price, while the price in Dunedin was probably the lowest of the four main centres. ’ The Price Tribunal merely fixed prices and had no power to deal with quantities. Furthermore, it would be hopeless to tackle the problem by attempting to fix prices for every town in the Dominion. “In ,he case of Christchurch, the Price Tribunal fixed lid. a gallon as the price for August,” said Mr. Polson. "I am disappointed that the increase could not have been more, but a greater increase would have meant a rearrangement of prices throughout the year. The whole matter requires more detailed consideration, and I suggest that producers might be wise to form themselves into some organization which will enable them to negotiate with the vendors. In the meantime they should also use the Farmers' Union.”