LOWER PRICES

Ashburton Guardian, Volume 60, Issue 302, 28 September 1940, Page 2

LOWER PRICES

DAIRYING AFTER THE WAR. HARDER TIMES PREDICTED (Special to the “Guardian.”) WAIMATE, September 27. “As long as the war lasts the sale of our cheese and butter to Britain is assured,” the chairman (Mr H. H. Meredith) stated at the annual meeting of the Waimate Co-operative Dairy Company to-day. “But I would like to point out this fact, that after the war the spending power of the British public will be tightened, and the time will come when New Zealand will have to be content with a price much lower than what she is receiving, probably about lOd or Is a pound. This will result in many dairy farmers going out of the industry unless they see to the breeding of better stock, able to produce more and so offset the lower price. “You will notice that costs are steadily increasing and there does notseem to be any way of checking them under the present method of continually raising wages and so creating a vicious circle,” Mr Meredith said. “To make matters worse, the Minister of Marketing did not increase the guaranteend price for last season, and I feel sure will not do so for this. It is quite evident to me, as I am sure it is to you, that the Minister has no intention of implementing his policy defined by the® Act which he claimed was passed to protect the interests of the dairy farmers. Smaller Cow Population. v “It is unfortunate that more consideration of the welfare of the dairy farmer is not given, and concern as now felt at the decline in the cow population and in the number of suppliers to dairy companies, who are taking up other occupations which offer them a better standard of living,” said Mr Meredith. “To-day we are facing a ti'agedy which overshadows the whole world. The British Empire is engaged in a life-or-death struggle against an . enemy entirely devoid of scruples who threatens to destroy all that stands for. Until the forces which are ranged against us are utterly defeated everything else is of little moment.”

Referring to the past year, Mr Meredith said that from a manufacturing point of view, it had not been a good one. The spring was late and then dry weather set in and continued well into thp next year, with the result that the Waimate factory output dropped approximately 40 tons. After allowing the usual depreciation on plant, machinery and buildings there remained a balance of £4758 11s Bd, which the directors proposed should be allocated as follows: to be paid on alt butter-fat supplied during the year, which-would absorb £3542 10s 2d, and a 4 per cent, dividend on paid-up capital, which would require £225 9s. The balance would be carried* forward.