GUARANTEED MILK PRICE

Press, Volume XCVII, Issue 28742, 13 November 1958, Page 25

GUARANTEED MILK PRICE

Effect On Town Suppliers "The Press*’ Special Service WELLINGTON, November 12. The president of the Town Milk Producers’ Federation (Mr J. J. Maher, M.P.) has charged the Government with having passed the reduction in the guaranteed price for dairy products on to suppliers of town milk. A reduction of 2.5 d a gallon for milk supplied by members of the federation would represent a saving of about £750.000 to the Government but a loss of about £324 a year to the farmer on the average dairy farm, he said in Wellington. The federation felt that prices should be based on costs in New Zealand. Town milk suppliers would be hit two ways. They would be faced with increasing costs of production and a decrease in income, which they could not afford. Mr Maher said the Government had rejected recommendations of the New Zealand Milk Board which were based largely on costed production as disclosed by a survey jointly conducted by the producers and the board. A special general meeting of representatives of the federation to discuss the position has been called for November 25.