The Daily News. MONDAY, JUNE 12, 1922. THE DAIRY POOL.

Taranaki Daily News, 12 June 1922, Page 4

The Daily News. MONDAY, JUNE 12, 1922. THE DAIRY POOL.

The action of the South Island Dairy Association in adopting the report of the committee set up by the Association to consider and report on the proposed dairy pool scheme, comes as no surprise. It should be noted that the Association did not actually vote against 'the pool, but against the scheme in its present, form. The committee had evidently given very close attention to the subject in all its bearings, and the reasons for the conclusions arrived at bring into prominence certain features of the scheme that have alreadybeen stressed by its opponents in the North Island. It is contended by the committee that under the scheme Dominion dairymen would be going into partnership with the Tooley Street merchants, and the natural argument is that, if these gentlemen are worthy of such a partnership, then why not let the producers run their own business without their finance? As to the pool creating a prejudice against New Zealand dairy produce, we do not consider the argument is of much value, unless an attempt was made to corner the market, which would be foolish in the extreme. On that point, however, an important principle is involved, namely, that, once established, the board would have power to take any action it pleased as to the marketing of butter -without consulting the producers in any part of the Dominion, for all the latter would be required to do is t.<? produce. ■ and the board would do the rest. South Island producers do not see their way to losing their iden tity, or. what is practically the same, being made pawns in the game. Possibly this jealousy maybe considered unwarranted, but great schemes have been wrecked on a smaller difference than this. Much stress is laid by the committee on the marketing association being retained in the scheme as a distributing channel. That is the crucial point, as regards making use of or dispensing with Tooley Street, and practically indicates the possibility of a deadlock, which the Southern producers are determined to avoid, because it would touch their pockets. What these producers are looking for more anxiously than anything else is assured monthly advances —the larger the better. It is claimed they already enjoy higher advances than is the case in the North Island, and the fear that under the pool scheme they may be adversely affected in this allimportant direction, is evidently a factor'in the decision arrived at. Their contention that the scheme is not perfect, cannot be controverted, but what scheme ever was perfect at the outset? There are certain features in the proposal that, have evoked hostile criticism, particularly as to compulsion. The complaint that the scheme should have been presented in full outline, rather than its general principles should be adopted and control of the output handed oVer to two boards—one in the Dominion and one in London—cannot be ignored. An important new departure of this magnitude certainly required that a full and definite scheme, with all reasonable and necessary details, should have been carefully worked out, and then submitted, on paper, to every dairy company so tfiat the requisite careful attention should be given before taking a vote on the proposals. The promoters do not appear to have handled the matter quite in the right way, depending overmuch on personal exhortation and influence. They can hardly blame the South Island dairymen for endeavoring to safeguard their interests according to their light. They have not killed the scheme, but will not accept it in its present shape. The way is still open to evolve proposals that will be generally acceptable, though that means ‘ materially altering the present proposals. The alternative proposal outlined in the South for holding monthly sales, similar to the wool sales, has the merit of simplicity, but it fails to touch the important matter of marketing and the removal of the many impediments that at present exist

whereby New Zealand butter fails to be put on the market and be brought before Uu consumers on its merits. The matter is one on which unanimity is most desirable, and the efforts of those interested should now be directed to framing a scheme that will be acceptable to all 1 the producers, though we candidly admit that the task is one of the most formidable that can be undertaken. What the London importers think of the scheme may be gathered from a cablegram in this issue, stating that there is a prospect of butter prices rising owing to confidence being restored by the defeat of the pool scheme.