DAIRY INDUSTRY COSTS

Press, Volume XCI, Issue 27675, 3 June 1955, Page 12

DAIRY INDUSTRY COSTS

GOVERNMENT TALKS WITH PRODUCERS RESULT OF PRELIMINARY CONFERENCE (New Zealand Press Association) WELLINGTON, June 2. Representatives of the New Zealand dairy industry would have talks soon on farm costs with the Government, said the Prime Minister (Mr Holland) tonight. Ministers and members of the Dairy Board had exchanged views on a number of questions, and were in substantial agreement on important matters. Board members had surveyed market conditions and prospects, and had emphasised the effects of overemployment on the dairy industry, Mr Holland said. It vzas stated there was a serious shortage of skilled workers in dairy factories, and that this was having an effect on quality and packaging of dairy products. "The deputation and Ministers discussed my statement on my return from London in March, that the Dominion would have to be meticulous about the quality of its exports, and that it would have to watch its cost structure closely,” said the Prime Minister.

"The board’s chairman (Mr W. E. Hale) and those who accompanied him, were most realistic in facing the problems of the dairy industry. The Ministers and I were impressed by the board’s determination to co-operate to the full in meeting the situation that has developed over the last year. . “I agreed to bring their representations before tomorrow’s meeting of the Cabinet, and the Government expects to have more discussions with dairy industry representatives on the detailed methods that : "ht be used to help in the present s ition as soon as possible,” said Mr E. Hand.