EASING THE LOAD.

Taranaki Daily News, 4 January 1922, Page 2

EASING THE LOAD.

A WORD TO FARMERS. (By Frank Goldberg.) It is patent to practical business men throughout the province that there is a remedy at hand for the easing of the economic position in Taranaki. The well meant but nevertheless injudicious policy of the dairy factories in carrying on trading departments is the cause of considerable loss, not only to the shareholders, but to legitimate trading concerns, and through them the community at large. The farmers get their goods from the factory at what is honestly supposed to be cost price. But the usual overhead expenses that go to make up “cost” in the every-day business establishment are, in many cases, not considered by the factories, for the simple reason that those in charge are dairy experts, not traders, nnd know nothing of the intricacies of costing. It is easy to understand the inevitable result to the factories and the farmers whose money is invested in the buildings and plant. Dividends are either reduced to a minimum or cut out altogether, as the profits made in the factory are swallowed up by the trading department losses. Not only so, but the regular stores dealing in merchandise, and in which farmers have shares, lose business, and have to declare dividends that are vastly disappointing. The remedy: It lies in the hands of the directors of the dairy factories, and we believe these men are wise enough to see and admit their mistakes, and to take immediate action to cut out trading altogether and concentrate'on the proper work of the factories.—i(Publis,hed by Arrangeent.)