DAIRY PRODUCE MARKETING

Press, Volume LXXXI, Issue 24603, 27 June 1945, Page 6

DAIRY PRODUCE MARKETING

BULK PURCHASES! DISCUSSED

VALUE IN NORMAL TIMES QUESTIONED

(PJU WELLINGTON, June 2ft. * Had the Government bulk purchase arrangements, such as that under which the United Kingdom would take all New Zealand’s dairy' exports to the end of July, 1946, crane to stay? asked the Minister of Agriculture (the Hon. B. Roberts), addressing the national dairy Conference to-day. “From what 1 can learn, these long term contracts are very satisfactory to the industry, and to the individual fanner,*’ he said. “Do we want to go back to competitive trade, or catch as catch can, oh the London market? Do we want to compete with millionaire margarine interests, chain stores, and multiple shops? “These are issues which the leaders of the industry should weigh very seriously, and make an intelligent decision upon certainty or uncertainty, security or insecurity? We hear a lot about tile lilting of controls. On the surface that would be a good thing, but as " farmers we want to be sure we don’t strain at a gnat and swallow a camel. It is very irksome for the individual fanner to be zoned from one factory to another by reason of the petrol shortage, and to have to take |d or Id per lb less for butterfat; but certain controls were lifted in Great Britain recently, and shipping freights have been raised 60 per cent, being a total c it 100 per cent, on the pre-war rates, so the Dominion will have to pay £1,500,000 extra on our export freights. New Zealand and Australia cabled a protest against this. “Do farmers want controls lifted indiscriminately? I don’t think we can, as an industry, afford to do that” Orderly, Planned Trade It would seem that most governments, and most parties the British Commonwealth of Nations, were now committed to a common policy that was of profound importance to the producers of food. The first point in that policy was full employment The second was national" nutrition, and the third was a realisation of the international character, of the post-war World, “The only basis for world trade is co-operative Empire trade, the only basis for co-operative Empire trade Is orderly, planned Dominion trade, and the only basis for Dominion trade and Stability is to guarantee the producer freedom from speculation and depressions,” said the Minister. Doubt whether the bulk purchase by Governments of every-day perishable commodities would prove a success under normal conditions Was expressed by the London manager of the National Dtiry Association of New Zealand, Ltd., Mr T. Maxwell, addressing the conference. While commodities Were short and supplies did not cover normal requirements it was in the public interest to continue bulk purchase and consumer rationing, but under normal conditions he believed those experienced in the trade were best equipped to give the economical artd personal service which successful marketing required. It was easy, to handle commodities in short supply. The testing time came When supply equalled or periodically exceeded demand, and he was very doubtful if bulk purchasing between governments could successfully COpe with these conditions. It also appeared unwise to assume that the consumers of the world would be content to continue to accept just what their governments offered them. “Freedom to purchase with your money exactly what you like will probably become a demand in the nedlr future when adequate supplies are available,” he said. “When that day comes I hope New Zealand butter and cheese are being distributed by firms with goodwill «i the trade, for goodwill constitutes a very important factor in successful marketing." . „ National organisations,, such as a butter and cheese association, could be highly efficient, but they were impersonal. They Were a machine, like a government department, and as such had their limitations, and those limitations would, he thought, become very apparent to producers of a commodity such as New Zealand butter, which in the future would have to be marketed in competition with other butter as well as margarine.