THE DAIRY CONTROL BOARD.

Press, Volume LXI, Issue 18343, 28 March 1925, Page 11

THE DAIRY CONTROL BOARD.

TO THB XDITOa O* "THH P**SS." Sir, —Owing to the action of the Dairy Control Board in passing a resolution to take complete control of all butter and cheese" as from August Ist, 1926, the premier industry of this country is to-day working under a cloud. It is very easy for a body of people to pass a resolution saying what they will do, but the Board have failed to give us a budget or any indication of what policy they intend to adopt. Their attitude is somewhat after the manner of a body of men in Christchurch deciding to buy the city .without having a plan of either government or finance. Here we have a group of men with no business experience whatsoever. Three members of the Boarrl made a trip Home, and termed themselves a delegation. Their report and experiences, however, were of no value at all to the industry, as the opinions voiced by them have been emphasised time and time again by others who have been Home before.

They nse Denmark as an example. This is most extraordinary, as Denmark has no control. They simply have Associations similar to those operating in this country before the Control Board came into existence, i.e., the North and South Island Dairy Associations. Every factory in Denmark has a free hand to ship its butter as the management wishes; or they may join up under an Association of which there are several in that country. All butter is sold f.0.b., and during the months of May, June, and July they have a certain quantity of butter over and above the requirements of their regular buyers, and that butter is sold to merchants in Tooley street or .elsewhere. The Control Board further quote Denmark as realising higher prices than New Zealand for dairy produce. The reason for this is easily seen; as Germany, for the last six or eight months has taken half the Danish output. It may also be of interest to them to know that at least 1000 tons of our produce is weekly sent to the Continent.

All the Control Board have accomplished up to the present is a trip to 'the Old Country, whereon they spent a lot of the producers' money, and their present occupation of travelling round giving speeches here, and there which have not, at any meeting, proved of botterment to the industry. They simply want control of the industry, and if asked why, are unable to tell for what purpose or reason, or whether their action is going to be of any benefit to producers —they simply want control.

Now, Sir, on consideration of every aspect of the position, there is only ono conclusion to come to, i.e., the dairy farmer to-day is working under a cloud. He does not know what is going to happen, but has an idea that the Control Board will do something for him. Nevertheless, up to the present the Board has done only ono thing, i.e., charged us one-sixteenth of a penny for every pound of butter, and one-thirty-second of a penny for every pound of cheese exported. No real improvements have been effected. All they have done—and more—has been accomplished by the Associations* They have only created positions for highlypaid officials, a number of whom are entirely unsuitable for the work. This little matter of the Control Board is costing the country between £40,000 and £50,000. Now, Sir, I would emphasise what I have said on former occasions: Let us spend that money to improve the dairy herds of this country. Let us procure first-class sires and dams, which will increase the productidn for the dairy farmers, say, by 50 per cent. This could be done within three to five years; and the extra amount in £ s. d. (something like £8,000,000) would enable the dairy fanners of this country to fight the world. If strict attention is paid to the sires and dams from which stock is bred,-it is quite an easy matter to get cows producing that extra 50 per cent.; and at the present prices we are receiving for our dairy produce it would mean at least £250,000 to Canterbury. That is the only way in which New Zealand is going to be successful in competing with foreign countries for the supremacy of the dairying industry on. the world's markets.

I have given considerable thought to this matter, and the figures quoted you will find to be as accurate as is possible. There is no question about the competition that will come. We arc up against a problem which will have to be faced in a straightforward manner, and cannot be solved by forcing an extra $d from the British, consumers. It can" only be met by sending in a superfine article at the lowest possible eost, so that our butter will reach every part of Great Britain. The matter is in our hands, and if the Agricultural Department and the Hon. W. Nosworthy were in any way progressive they would adopt some such policy as outlined above, thereby ac.eomplishing something of lasting benefit to the industry.—Yours, etc., L. HANSEN, Managing Director, Kiwi Dairy Company. March 27th.