DAIRY PRODUCE

Hokitika Guardian, 29 August 1928, Page 4

DAIRY PRODUCE

THE MARKETING PROBLEM. ENGLISH DISTRIBUTOR’S VIEWS. DUNEDIN, August 23. A highly interesting talk on the dairy produce markets of the world aiul on general trade conditions was given by Mr A. J. Mills, head of a prominent Tooley Street firm, when he was entertained by the Dunedin' Chamber of ‘Commerce this morning. While he largely blamed the New Zealand dairy producers for the trying time they had experienced through their begrudging the distributors their remuneration for services, Mr Mills declared that the outlook for' the dairy industry was brighter than it had been for many ears. He prophesied that within the next twelve or fifteen years New Zealand would double its production and the lot would be taken by the consuming countries of the world. One of the problems that faced them at Home, said Mr Mills, and it was particularly a problem of the dairy produce business in which New Zealand was so interested, was the finding out just how the New Zealand produce) wanted to market his goods and what was his viewpoint towards the organisations at Home engaged in distributing his goods. Difficulties had been brought about by New Zealand itsell in its efforts to get into a better position in marketing its produce. The produce had to be distributed very extensively in England, Scotland, and Ireland. It had to be conveyed to the consumers through the retail shops, and that distribution was as much a science as the actual producing. The establishments had been built up from many years of experience and applied themselves to the economic distribution of foodstuffs at Home. They were very valuable to the producers and were due of the necessary needs of the distributor’s work and without the distributing organisations the producers would have a very much harder row to hoe.

“We sometimes wonder how the dairy producers really want to sell or dispose of their goods,” said Mr -Mills. “ To-day their produce is more sought after than ever before, but owing to the blows they have received the producers seem to be entirely unable to appreciate that they are going to have a better time. For the first time in my career I have met producers in New Zealand who are perfectly satisfied with the prices they are obtaining -My opinion is that in the dairy industry the outlook is brighter than it has been for many, many years. The consuming countries of the world are nof keeping pace with their production. England, for example, notwithstanding the increased spending power on the part of the working class, imported less butter last year than lor the throe previous years. That invasion of Russian, Siberian, and Eastern butter, which was going to flood the country, and made it so difficult for New Zealand to compete, has not yet come about, and I do not think it is likely to eventuate for some time.”

When it came to cheese, said Mr Mills, New Zealand was on a most exceptional wicket. Canada was its only competitor, but the imports from Canada to the United Kingdom had decreased since 1917 by 50,000 tons. The New Zealand producer would, therefore, appreciate the need of distributing to get his products into the tens of thousands of retail shops all over the Old Country. Tie believed that New Zealand would double its production of butter and cheese in the next twelve or fifteen years, and the whole would bo wanted by the consuming countries of the world. “ My opinion of trade in the Old Country is that we are slowly but surel.y getting on to better times,” concluded Mr Milts. "Trade neighbours at Home inform me that they are satisfied that general conditions are improving. We find in the foodstuffs business that credit is good, our buyers are as sound as, or sounder than, we have ever known them to be, and we have every light to be enthusiastic about the next few years’ business. I can only hope that you will feel the same and that this country will push you along to do better than before.*'