DAIRY PROBLEMS

Waikato Times, Volume 127, Issue 21177, 29 July 1940, Page 8

DAIRY PROBLEMS

COST OF CHANGE=OVER SUPPLIERS AND FACTORIES ALL-ROUND LEVY SUGGESTED (Times Special Reporter) MORRINSVILLE, Monday The added costs involved in the swing-over from butter to cheese to provide the extra 15,000 tons of cheese asked for by Britain were referred to by Mr F. W. Seifert, chairman of directors, at the annual meeting of the Morrinsville Dairy Company today. He said that companies realised that winning the war was the first consideration, and all farmers were prepared to pull their weight to bring this about. However, the costs involved in the swing over would be considerable, and the position as to how these costs were to be met was very unsatisfactory. The Government had been approached to give some assistance, said Mr Seifert, but so far no advice had been received. Personally, he considered that a levy should be placed on the whole industry. The bulk of the 15,000 extra tons of cheese would have to come at the expense of the butter companies. Some suppliers could not afford to provide the transport necessary to take whole-milk to the factories, while some were situated on roads that would not permit heavier loads. Butter factories would have their costs increased because of lower output, while cheese factories would have to carry out alterations to enable them to produce more cheese. The added costs, concluded Mr Seifert, should be equalised over all sections of the community.