DAIRY PRICES

Wairarapa Times-Age, 6 October 1939, Page 3

DAIRY PRICES

DECLARED INADEQUATE RESOLUTIONS BY INDUSTRY ’ COUNCIL. REASONABLE REMUNERATION NOT GIVEN. (By Telegraph—Press Association.) WELLINGTON, This Day. Tire Dairy Industry Council, which comprises representatives of all the principal organisations connected with the dairy industry, met in Wellington yesterday and gave consideration to a letter received from the Minister of Marketing, Mr Nash, in which the Minister announced the Government’s intentions of continuing to pay last season’s price for butter and cheese for the current season. The Minister, replying to a suggestion previously made by the council that payment for produce should be made in full in 40 days after delivery, said the suggestion had been carefully considered, but that the existing procedure had worked so satisfactorily during the last three years that it was not proposed to alter it. If, however, circumstances changed so as to make it difficult for dairy companies to finance through the existing channels, the Government would give further consideration to the request. Those present at yesterday’s meeting were: —Messrs W. E. Hale, C. A. Marchant, A. Linton, A. J. Murdoch, John Dunlop (Dairy Board), A. Morton, W. Marshall, A. J. Sinclair (National Dairy Federation), H. H. Meredith, W. Young (South Island Dairy Association), W. Mulholland and H. E. Blyde (New Zealand Farmers’ Union).

After a full discussion the following resolutions were carried: —

/“That this Dairy Industry Council expresses its disappointment and dissatisfaction with the decision to pay last year’s prices for butter and cheese for the 1939-40 season, as such prices are not only less than those recommended by the 1938 Advisory Committee, but increases in farm and factory costs which have occurred during the past year and the further rises which must ensue during the current year as a result of war conditions, must also be carried by the dairy-farmers.

“In our opinion the prices fixed will not give a ‘reasonable remuneration’ to the producer, and are too low to encourage production. “Nevertheless, this council urges all dairy-farmers, as a contribution to the Empire’s part in the war, to make every effort to secure the maximum possible production. “Dealing with the question of payment. for produce the council expresses its regret that the Minister i f s not prepared. •to ■ meet its request for payment at a uniform date after delivery into cool store. Dairy companies are faced with increased costs of manufacture and if they are uncertain as to the regularity of shipments, financial considerations will make it necessary in some cases to reduce the monthlyadvances now being made to suppliers.”