The Guardian And Evening Star, with which is incorporated the West Coast Times. FRIDAY, AUGUST 6, 1926. THE MEASURE- OF CONTROL.

Hokitika Guardian, 6 August 1926, Page 2

The Guardian And Evening Star, with which is incorporated the West Coast Times. FRIDAY, AUGUST 6, 1926. THE MEASURE- OF CONTROL.

The Dairy Control proposals have excited wide public interest, and the sharp division of opinion on the matter shows how great is the difference in measuring the possibilities of the. scheme. We should say at once that no control board in this country can hone to control prices once the commodity, whatever it may be, goes on the world market. When a world’s competition has to he taken into account there is very little hope of effective control as regards firms, for oversea trade provides the supply and the price then becomes a question of demand. Below, some reference is made to the meat export trade, and in that case it is plain that- the South American congestion of meat supply on the Home market precludes the possibility of the New Zealand Meat Producers’ Board being able to control the price of New Zealand beef at ETomq. As a

matter of fact the Beef Board plainly admits that owing to the world competition which has glutted the Homo market, the British prices are not favorable to the Now Zealand beef trade, and no move by the Board can overcome that position. So we take it will he the ultimate result if the Dairy Control Board were to seek to control prices. The best that can he done with control is to co-ordinate all the efforts in connection with the handling of the produce, regulate the flow of supplies so as to avoid gluts and shortages, see that quality is maintained, collect and use information essential to the interests of growers, and push forward with the exploitation of new markets. Along those lines much useful work could lie done. After all, it is best to have a normal trade. The serious fluctuation in prices for dairy produce has not been for the stabilising of the industry. Boom prices carried up land values with a false price for tho commodity, and though produce prices fell, the land values did not come clown, and many settlers found themselves in a false and difficult position from which they may extricate themselves only at a heavy personal loss. If,, then, supplies could be so regulated as to prevent any glutting of the market, and at the same time also' prevent shortages, prices will remain more oven, and a. well-regulated business on reasonable returns will give the most satisfactory arl found results. If the measure of control is kept within reasonable limits there should be general approval, and as time goes on and experience gives sounder knowledge it- should be possible to elaborate the scheme with greater safefv for the benefit of all concerned.