SCHEME ENDORSED.

Waikato Times, Volume 121, Issue 20277, 20 August 1937, Page 9

SCHEME ENDORSED .

COMPENSATING PRICE. LCVY ON DAIRY PRODUCE. BIG COMPANY’S DECISION.

Following a great deal of discussion, In whloh some opposition to the eohemo was voiced, the shareholders of the New Zealand Co-operative Dairy Company, Ltd., decided at the annual meeting in Hamilton yesterday to authorise the directors to subscribe to the compensating price oampalgn to the extent of 6d per ton on the butter and 3d .per ton on the oheese manufactured by the company. It was stated that this would mean, on an estimate of the supply, about £1486.

The question was‘brought forward by Mr J. H. Furniss, who moved the following resolution: “(1) As we consider the only way In which farmers can be secured against rising costs i and assured of an equitable return | for their services is by payment of a I compensating price for their produce, i and as the success of the campaign for this reform is dependent upon the funds available for it, we urge our directors to subscribe to the fund 1o the extent of an amount equal to Gd per ton on the butter and 3d per ton on the cheese manufactured by the oompany.” Mr R. H. McKenzie, the chairman of directors, stßted that this was a small matter individually, but he and his directors thought the company would not be wise to pursue this matter unless at least other dairy companies in the area—if not the majority of dairy companies in the North Island—agreed to the same scheme. He added that the directors were favourable to the scheme, but did not consider that they would be Justified In committing the suppliers unless other dairy companies also subscribed. A Polltloal Party? Mr M. Kain, of Morrinsville. stated that he was not in favour of any levy, * because, as far as he could see, the compensating price campaign was be--1 ing conducted by the Douglas Social 1 Creditors. Tie did not think that the company should make a levy for any political party. “We are expected to give a lead to the other companies, and T think we should pass the motion,” said Mr 11. J. Valentine. Mr P. H. Saxton endorsed the views of Mr McKenzie, and suggested that the motion should be amended authorising the directors to pay the levy providing 7'* per cent, of the buttert fat produced in the North Island was i similarly levied. ‘•This is an insurance not only for i us lull for future generations,” said i Mr .T. A. Maglll. 'Piie supporters of the compensating i price scheme were merely seeking that , which had been promised them by the Government —namely, a decent standi ard of living—commented another i speaker. ‘‘Tills company has always been i proud of the lead it has given in prei vious reforms, so that it is only to be s expected that In such a vital reform » as represented by the compensating price the company should show no ) hesitancy in giving the lead to other \ companies,” commented another dele--5 gate. i Question of Competition. ) ‘‘Personally I am 100 per cent, be- , hind the four principles of the compensating price scheme, which I think is reasonable and just,” said the gen- ; eral manager of .Hie company, Mr G. \ J. Pari an o. However, the directors had a serious responsibility, and ; naturally had to look at the matter in » a slightly different light from -supi pliers. The directors had io take into t consideration the effect of such a levy ] on its elToris lo obtain new supply. . The dire • . would be ready to agree > with Hi si I ion of Ihe proposed levy if i ; companies in the comI pany’s own lerrilory would lake a * similar slop, so tlud all companies 1 .a,ld he on even levins when it came , ! 1 . I lie change-over period. •‘lf you liesilalc to endorse this re--2 mil the rcsponsihiiily will rest on your shoulders for wrecking the organisation which iias now been completed io carry on tho light for the compensating price scheme.” commented Mr r Furniss, when replying. An amendment that the matter be ? left to tlie directors to deal with, in it conjunction with other dairy com- ” panics in the Waikato, and for them lo * pay out on a pro rata basis, was lost. ” The original motion was amended so ir that the levy would he for one year :• only, and was carried by a very subManlial margin, amidst applause. ) ===r “ Banish colds quickly and econdml- \ cally—lleenzo (Bean's Essence). (4)