DAIRY PRODUCE.

Taranaki Daily News, 11 October 1921, Page 5

DAIRY PRODUCE.

CO-OPERATIVE SCHEME. MARKETING AND SHIPPING. ELIMINATING “MIDDLE MEN.” PRODUCERS’ SHIPPING LINE. An important scheme relating to cooperative marketing of dairy produce, involving the elimination of “middle men", and the establishment of a combined producers* and State shipping company, was outlined to the Dominion executive of the Farmers’ Union yesterday. After an interesting discussion the scheme was endorsed, and it was decided to wait on members of Parliament to seek their support in the matter of co-operative marketing, banking and shipping.

By Telegraph —Press Association. Wellington, Last Night. Proposals for the co-operative handling and marketing of all produce, and the establishment of a co-operative line of producers’ ships, were submitted to to-day’s meeting of the Dominion executive of the New Zealand Farmers’ Union by Mr. W. J. Polson, president of the union. Mr. Polson said it was intended, by means of the marketing scheme, to eliminate the “middle man” and substitute an honest system of selling on consignment. The producers also wanted a system of co-operative banking in order that they might obtain better finance. Except in regard to shipping similar co-operative methods were in operation in Germany and Denmark, where they were working successfully. The system was a legitimate development in an ideal direction; the producer would get all he was entitled to in the industry and no middle men or speculators could intervene and rob him of anything which was his. BETTER BANKING SYSTEM. Mr. Polson submitted that the State should assist in the development of cooperative enterprise in this country as in other countries, but for the movement to succeed in New Zealand it would be necessary to break down a certain amount of feeling which existed between town and country. Mr. Polson said that farmers must back the producers’ committee. They must keep a stiff back on the shipping question and they must have legislation to fight a monopoly when the occasion arose. In regard to the marketing project Mr. Polson said the system of Celling through depots would eliminate congestion in London. Our banking system had proved unequal to the strain in the past year or two and had inflicted hardships on the producers, which had not been inflicted in other countries having better banking systems than New Zealand possessed. The Danes and Germans and other agrarian competitors had not felt the strain so much as the producers of this country. It would be necessary to have legislation providing for a better farmers’ banking system. If they had a co-operative banking concern they would have finance to hold wool until they could realise better values It was essential that they should have a co-operative handling and marketing system going, and, if possible, a shipping and financial system attached to it. Mr. R. D. Duxfield (Horotiu) was against anything in the nature of State control. SHIPPING PROBLEM. Mr. Polson explained that he had not intended that there should be State control in the matter of shipping. All Mr. Massey had asked for was that the State should have that representation which it had on the Bank of New Zealand. If they only had an Imperial Shipping Board such as Mr. Massey suggested then the shipping question would be settled. That was a very fine idea, but it required enormous organisation, and he did not think it could be put into operation for many years. On the motion of Mr. J. A. MacPliersen (Oamaru), seconded by Mr. Dunn (Auroa), the executive expressed hearty appreciation of the organising work done by Mr. Polson and Captain F. B. Colbeck in the South Island.

On the motion of Mr. E. Bowmar (Gore) it was decided: “The executive heartily supports the producers’ committee proposals for the establishment of a joint owned producer-Government line of shipping, and urges the committee to see that when the details are being arranged the producing interests have major representation on the board of control.” It was decided to wait on members of Parliament on Wednesday to seek their support in the matter of co-operative marketing, banking and shipping.