HIGHER RAILWAY FREIGHTS

Hokitika Guardian, 20 December 1930, Page 3

HIGHER RAILWAY FREIGHTS

—— > —o 4-» —< BLOW TO RENNET COMPANY. ELT HAM, December 18. 'Plie recent increase in . the ■ tariff on certain classes'of railway freight comes as a bombshell, to the New Zealand Rennet Company. Three years ago the company .made an arrangement with,the Department for the carriage of rennet at a .certain figure; but on December 15th, the day after, the new tariff came in'to v force; the conipar learned that the freight had been materially increased. The freight from Elthain to Hamilton, 325 miles, was formerly £3 5s 8d a ton; now it was £4 15s 8d per ton. As a large proportion of tip output was sold freight forward, the contracts were made before the commencement of the season, the company was unable to pass oil the charge, and will have to bear the loss. The company’s manager stated today tliat it was a severe blow to the industry. The only option was to arrange bulk output to be consigned by road transport. He pointed out that it cost more to rail a keg of rennet than a keg of beer.

The Railway Department states that the freight on rennet is still below the rate on general goods, pointing out that the freight from Eltham to Now Plymouth had been increased from ■ c 'l 0s 6d ner ton to £1 10s Id, whereas the '■’•diuf"'’ rate on goods; oyer the same distance is £1 16s 6d-.