DAIRY INDUSTRY

Wairarapa Times-Age, 7 May 1940, Page 6

DAIRY INDUSTRY

CONFERENCE AT CARTERTON

DANGER OF MARGARINE COMPETITION. NEED OF "PRESTIGE" ADVERTISING. ("Times-Age." Special.) Further evidence of Hie rapidly growing danger of margarine competition with New Zealand butter on the Home market was given by Mr W. E. Hale, chairman of the New Zealand Dairy Board, in an address at a Ward Conference of representatives of the dairy industry, held at the Dalefield Dairy Co's, board room at Carterton today. Mr Hale emphasised the urgent need of maintaining "prestige" advertising in Britain during the war while New Zealand butler was not being sold by brand. Mr A. Linton presided over a large and representative attendance. Mr W. Wilson, of Carrington, was elected delegate to the Dominion Conference of tile Dairy Board. Owing to the outbreak of war in Central Europe and unrest, in the Balkans. 200 000 tons of butter have been lost by Britain, stated Mr. Linton. Over two-fifths of Britain's buttter consumption had been lost owing lo the Gorman invasion of Denmark and Norway. At the outbreak of war, however. Britain had huge quantities of whale oil stored for the manufacture of margarine. He considered that the position would become more acute in the next year or two. Mr. Linton urged every possible assistance to lhe Government, and the abandonment of domestic differences. "The war is overshadowing all other avenues of thought," he added. “This, country's duly is to try to increase efficiency to support Britain in this grave crisis." THE WAR AND UNITY.

"With a full sense of its responsibility to the industry, the New Zealand Dairv Board, at the outbreak of war. offered the full co-operation of the industry to the Government, stated Mr. Hale. Wo felt that the time had gone by when our more personal problems should bo emphasised, and that we should all unite in a common effort to win the war. Wo were told by the Government that the greatest contribution which New Zealand farmers could make to the war effort would be increased dairy production particularly bacon, and that any assistance which the Government would give to help in bringing about the increase would be given. Matters which were in dispute as between the Minister of Marketing and the industry, represented by the board, were by common consent held over until the conclusion of the war."

Mr. Hale referred to the fall in production during the past three seasons because dairying, under today's high cost: conditions, was less attractive than formerly. Dealing with the farm labour position, he stated that matters were more serious than during last season, owing to military enlistments. "Before the war camo, we were short of farm labour in many districts, he observed, "and now, with some thousands actually in the forces, the situation is acute." OUTLOOK FOR INDUSTRY. "What is the future outlook for our industry, both during lhe war and after?” Mr. Hale asked. "I think that even this Government must be disturbed at the decreases in production which have taken place, and must realise that remedial measures are needed because of the lack of balance between rewards in country and in town. Assistance to our industry to improve our position can come in three ways:—(l) Through an increase in the guaranteed price; (2) sudsidics on fertilisers, wages, etc.: (3) through a reduction in our costs." i SUBSIDISED LABOUR.

Mr. Hale contrasted the attitude taken up by the British Government at the outbreak of war and that of the New Zealand Government towards increased costs in the dairy industry. "In some districts,” ho said, "the idea is held that the Dominion Dairy Conference definitely refused subsidies to the dairy industry under all circumstances. That is not so. .. . Subsidised farm labour has never been welcomed by the great majority of our dairy farmers, who would very much prefer to employ labour at good rates of pay without the need for a subsidy, but unless the Government radically alters its public works and subsidised labour schemes in the cities, I can see no other solution than a farm labour subsidy, which will allow public works employees to become producers rather than consumers of our wealth.” Dealing with the problem of reducing costs, Mr. Hale referred to the proposed reintroduction —even if only for the duration of the war —of the 44hour week without increased wages. He considered that this would bring about some reductions in costs that would be extremely beneficial to the farming industry. DISAPPEARANCE OF BRANDS. “It is now not possible to buy butter by brand in England." he continued. "You can't go into a shop and ask for a pound of New Zealand butter. Ail you can get is a pound of Government butter. That butter may be New Zea-’ land today and Latvian tomorrow. You are not told and you cannot know what you are buying Is it any wonder that under these conditions margarine is making inroads into butter sales? You cannot alter the eating habits of a nation as is now being done in the case of butter without leaving behind repercussions that will all'ect those who market the butter in the future. The longer the war lasts the more seritjus this position will become, and the greater difficulty New Zealand will have in regaining her lost butter popularity.

"As dairy farmers we have a very definite duty today Io do everything we possibly can to win the war " Mr. Hale declared. "There is little need for me Io urge you to increase your production if you possibly can. The greater the amount of produce we send to Britain. the better are we arming Iter against her foes. This applies particularly Io pork and bacon, and 1 must earnestly urge you to increase pig production. NEXT SEASON'S PRICE. “Before very long we will be meeting the Minister of Marketing to discuss next year's price." Mi'. Hale said, in concluding. “We will do our best as a board to place before him a thoroughly sound case on your behalf. I only hope that the outcome will re-i lieve you of some of your present worries and give you a price which bears

close) - relationship to your costs than does the guaranteed price today."

The board, added Mr. Hale, had been receiving regular information as to the position in England, and was very apprehensive as to the future. In England the best margarine which had been vitaminised was selling at 9d. per pound, against National butter at Is. 7d. per pound. Margarine was available in, unlimited quantities, whereas butter was rationed, originally at 4 ozs. per person weekly, and now al. the rate of 8 ozs. Alter the outbreak of war grocers found that they were left will) butter on their shelves, because people who had never used margarine before were satisfied with it: With the very great disparity in price—and a much cheaper margarine was available — people had given thought as to whether butter was worth the difference, and unfortunately some had decided that in their case it. was not.

"That this meeting finds that it is impossible for dairy farmers to increase production, as desired by the Government, under the present prices paid for butterfat, and emphatically protests against the Minister of Marketing fixing the price for the current season below the fully considered recommendation of the Dairy Council." was a remit passed at the conference