MILK PRICES.

Auckland Star, Volume LXIX, Issue 65, 18 March 1938, Page 8

MILK PRICES.

FOR THIS WINTER. ANIMATED DEBATE. / FIXATION BY COUNCIL i TO BE SAME AS LAST YEAR. I Two hours of keen debate preceded a decision by the Auckland Metropolitan Milk Council to-day to fix the same prices as last year for the sale of milk during the coming winter months. This means that milk will be sold to the consumers at tkl a quart as from May 1. The action of the council was opposed by the producers' representatives, Messrs. C. J. Lovegrove and R. H. Ocklestone, and by Mr. J. Haslam, vendors' representative. The chairman, Mr. I. J. Goldstine, in moving the adoption of last year's winter prices, said that full information on costs of production, treatment and distribution were submitted to enable prices to be fixed in August last. At that time he had made it dear, to dairymen in particular, that the price fixed was not an all-the-year one, and that it might be necessary to alter it later. No further statistics were before the council to-day, and it would therefore be out of the question to consider the fixing of differential prices for the next twelve months. The council had to fix prices with figures and information before it. The proper time to consider price fixation for the whole year or season was next August, when new figures would be available.

Mr. Goldstine then moved that last winter's margins should operate from May 1. Thee© totalled 24d a gallon, which means thai the price to the consumer would be unaltered. Opposing Mr. Gokfetine's proposed schedule, Mr. Lovegrove moved as an amendment that the producer be paid one shilling a gallon for his supply of milk during the months from May to August. He submitted a price schedule fixing the cost to the consumer at 2/2 a gallon, but specified that this waft on the understanding that there would be a revision in August. "The farmer must get the coet of h» production," said Mr. Lovegrove. "Intermediate prices do not matter as long as substantial justice is done to the farmer. I quite understand that it takes courage to ask the consumer to pay more for his milk. Is there anything, however, that has not increased substantially in price over the past two years? There seems to be a reluctance on the part of the council to ask the people to pay more. Mr. Lovegrove claimed that during the winter months, in addition to getting his costs of production, the farmer-, producer should be paid some kind of bonus because of the conditions under which he had to work. " Threatened Shortage. "I have grave fears that the city will be faced with a serious shortage of milk this winter, because the producer feels that he did not get the price of production last winter," Mr. Lovegrove declared. "If 1/ a gallon is not paid the producer this winter, I am in a position to say that there will be a serjms shortage." Mr. A. Kosser: And on the contrary ? Mr. Lovegrove: Many producers will change over to butterfat production. Mr. H. F. W. Meikle commented that the farmer had never received a better price than last year.

Farther amendments in the schedule proposed by Mr. Meikle were suggested by Mr. Haslam. Mr. Goldstine said that before any increase was made in the price to the consumer the council would have to get further cost returns and discuss them thoroughly. The producers must admit that they had received a fair price during the winter months. "I do not regard Mr. Lovegrove's prediction of a shortage as a strike threat," he said. Mr. Lovegrove: It was not. Mr. A. Rosser: No, but we were meant to infer that. Mr. Lovegrove's amendment was defeated by five votes to three, and Mr. Ooldstfne's motion was carried by a two votes' majority.