Waikato Dairy Farmer on Guaranteed Price

Hawke's Bay Herald-Tribune, Issue 193, 1 September 1937, Page 5

Waikato Dairy Farmer on Guaranteed Price

NET RETURN REDUCED "I cannot say that I like this socalled1 guaranteed price," said Mr J. 33. Leeson, a past chairman of the Morrinsville Dairjf .Oompany to o> Wai" lcato Times representativc. "It is no more nor less than a compnlsory f.o.b. sale to one pnrchased or speculator, narnely, the Government, whiph alone fixes the price. I cannot thmk that such an nnfair system can. last. "The price fixed*by the Government as a return to he paid hy tliem f.o.b, iM just ahout what I anticipated. I never expected that they would try td meet the, increased costs we have to carry through recent legislation. Apparently Mr Nas'h does not intend tp _pay more than he thinks the produce will realise, in spite of pre-election. promises that the London price Wollld not affect the price the Government would pay te farmers in New Zealand. "The net return to the dairy farnier for the coming season will he less than that in the 1935 season under the old" course. The price for butterfat paid by the Morrinsville Dairy Coinpany itt 1935 was 12.808d," continued Mr Leeson. "I am sure that the money and time spent over the advisory committee is wasted, as little notice is taken. of their recommendations. ''What will happen to us with our present course when Australia comes On to the London market again with over 100,000 tons of butter I am afraid to conterBplate,'' concluded the speaker.