DAIRY PRODUCE

Ashburton Guardian, Volume 56, Issue 266, 22 August 1936, Page 2

DAIRY PRODUCE

GOVERNMENT AND MARKETING. GUARANTEED PRICE NOT ESSENTIAL. (Per Press Association). HAMILTON, August 21. “Our Government has undertaken the great responsibility of improving the marketing of dairy product,” commented Mr W. Goodfellow at the annual meeting of the New Ze'aland Co-operative Dairy Company. “A guaranteed price is not essential to the efficient marketing of our produce in Great Britain, and its retention will, in my opinion, depend on whether or not the losses are too great even for the Government to carry. “The surest way to end the guaranteed price! would be to fix the price at a figure which would result in a big deficit. If Australia has a normal season during 1936-37, and nothing unforeseen occurs elsewhere, it is probable that 12.54 d f.o.b. for butter will mean a loss to the Government. From this angle', I personally consider that Mr Nash has made a sound decision. “The present prices are little or no indication of what the London prices will be for the coming season. The right time! to analyse the guaranteed price will be at the end of the season, when its true value will be! obvious. It is rather unfortunate for the Minister that the price .had to be named during a period when London values were temporarily at an artificial figure,” Mr Goodfellow said. “The Government is to he congratulated upon its decision to send Mr Nash to London for the purpose of negotiating a bilateral agreement between this Dominion and the United Kingdom Government.”