DAIRY PRODUCE.

Wairarapa Age, 12 February 1927, Page 3

DAIRY PRODUCE.

RAILWAYS DEPARTMENT’S POLICY. SPECIAL BATES TO STAND. PALMERSTON N., February 11. The granting by the Railways Department of a special freight rate on dairy produce for long distances, while factories sending, their butter and cheese over short distances have to pay a higher rate, has not met with the approval of the Manawatu and West Coast Dairy Factories’ Association. A protest was s*ont to the Department, and at yesterday’s meeting the Railway Head Office advised that the existing rate had been introduced with a view of fostering the development of a class of traffic for. long distance which would be diverted from the rail if carried under the usual conditions* From the figures which were available, it, was apparent that the special ratewas justified, as the Department w r as now conveying over long distances dairy produce whitjh would otherwise have been forwarded by other means of. transport. The special, rate was operating over the whole of the railway system in the Dominion, and there waS no restriction as to- the company or person desiring to forward butter or cheese.

The practice of granting, special rates in order to attract business for the Taiways -which could not be obtained at ordinary rates was generally recognised in connection with the road services now competing with the railways. In the case under consideration, in addition to getting, traffic not otherwise obtainable, the Department was assured of full truck loads which was an important factor in connection with transportation costs. In inducing such traffic the Department was making the fullest use of the transportation capacity of the railways in the interests of the Dominion ancl of the users of the railways by making the railway system financially self-supporting, enabling a lower scale of freights to be maintained.

It was thus regretted that the Department was unable to make any alteration to the rates and provisions governing the carriage of butter and cheese for distances of 176 miles or over. “This is the reply to our deputation,” stated the chairman, Mr. S. A. Broadbelt (Levin). “Personally I think it is most unsatisfactory, and 1 am in favour of making further representation to the Minister of Railways. ’ ’ Other members spoke in a similar strain and it was decided to place the matter before Mr. J. A. Nash, M.P., ancL. ask him to arrange for a deputation from the association to meet the Prime Minister on his return.—(P.A.). (It has been pointed out that the present adjustment of railway rates on dairy produce unfairly handicaps factories in the Wairarapa and the Manawatu, and gives an advantage to Waikato factories, in selling butter on the Wellington market).