PRODUCTION OF CITY MILK

Press, Volume LXXIV, Issue 22590, 21 December 1938, Page 10

PRODUCTION OF CITY MILK

State Investigates Costs

FIXED PRICE MAY COME

Study of 300 Farms

A detailed investigation into the cost of producing the city's milk is being made by the Department of Agriculture. The survey involves inquiry into costs on approximately 300 farms.

Though it is stated that- the fixing of prices is not a definite objective it is likely that dairymen 'will ask for it, and the Government should it determine to take action will be in possession of necessary information.

. The investigation covers farms principally on the outskirts of the city, but will extend to Leithfield in the north, and to Leeston and Banks Peninsula.

There are more than 500 suppliers of milk to the city, but the survey will be confined to those carrying 10 cows or more and who have been on their farms for at least three years.

This will leave about 300 farms to be visited, on most of which it is expected to be possible to obtain a fairly accurate estimate of costs and income. The study will extend to considerable detail and will equip the department with very full information on dairy farm costs in the district and differences in costs on different farms.

A similar study has been made of the cost of production for the Wellington milk supply, details of which have been completed. The work will probably last untjl the end of February, after which some time 'will be required for analysis of the data supplied by farmers.