“UNFAIRLY TREATED”

Waikato Times, Volume 121, Issue 20253, 23 July 1937, Page 2

“UNFAIRLY TREATED”

DAIRY PRODUCERS. GUARANTEED PRICE BASIS. PROTEST IN SOUTH ISLAND. INVERCARGILL. Thursday. 14 It is my opinion that the dairy farmers have been most unfairly treated under the guaranteed price, and I have consfantly maintained that view since the announcement of the guaranteed price," said Mr. G. RHerron, chairman of the awards committee of the South Island Dairy Association. in an address to dairy factory suppliers at Edendale. “ During its election campaign the present Government assured the dairy farmers that It would put them in the best position '.hey had ever been in, but the figures Jo net indicate that that promise has been carried out." Mr. Herrnn produced a graph to Illustrate the position of one Southland factory with an output of 400 tons of cheese a year, and he claimed that a factory of such size would not be so greatly affected by higher wages and costs as the many smaller factories in the South. In 1029. he said., a factory returned to its suppliers Is Pd per lb. of butter-fat. In 1930 the pay-out had fallen to 1s 7d, and in the depths of the depression butterfat fell to a fraction under iOd per lb. Wages and costs had fallen also. Soaring Costs. The guaranteed price had restored the pay-out to Is 2d per lb., which was still very much below the return for the best years Immediately before | the slump, but wages and costs had j been raised to the highest level on .record. The Government had taken *an average over the last eight or 10 years In order to fix the guaranteed price, and Mr. Herron contended that in order to be fair, wages should have been fixed In a similar way. Alternatively. if wages were to be fixed at the highest level of past years, the guaranteed price should have been fixed In the same way. “ There Is no doubt that the last Government was a hit, conservative,” said Mr. Herron. “I- heard a man say the other day that this Government was at least doing something. I would certainly he inclined to agree with him that they are doing things.” SUBSTANTIAL INCREASE. CONSIDERED UNLIKELY. (by Telegraph.—Press Association.) INVERCARGILL, Thursday. The need for a substantial increase !n the guaranteed price for dairy produce during the coming season, in order to cover the increase in costs of production and manufacture because of the Government's recent legislation, was mentioned by Mr G. R. Herron, chairman of the awards committee of the South Island Dairy Association, in an address to dairy factory suppliers at Edendale. However, he held out very little hope of an Increase approaching that which has been claimed by various producers’ organisations. :‘* I have seen computations by different producers* representatives of the amount of the increase in the guaranteed price required to cover the Increased costs resulting from the Government’s recent legislation, and most of them have been in Hie vicinity of 3d a pound of butter-fat,” lie said. “ When in Wellington recently I learned on reliable authority that we would be lucky to get a rise of a third of a penny, lei alone threepence." Mr John Johnston said that the Minister of Agriculture had dropped i hint at the South Island Dairy Conference that the increase would not be handsome. If the rise was only one-third of a penny producers would not get rich on that. The meeting passed a resolution urging that the payment to dairy farmers should be a minimum of is 6d a pound of butter-fat, which would enable dairy farmers to pay wages competitive wlth other industries.