CHEESE PAYMENTS

Dominion, Volume 30, Issue 148, 19 March 1937, Page 13

CHEESE PAYMENTS

Increase Suggested in Price Differential

VIEWS OF CONFERENCE The advisability of an increase in the present price differential of Lid. per lb. butterfat in favour of cheese was discussed at the Dominion Dairy Conference yesterday. It was contended by several speakers that unless something were done to widen the present margin large numbers of cheese suppliers would change over to butter. Tlie Dominion’s cheese trade with the Homeland was a valuable one and should be conserved. Remits were received from the Tut Dairy Company, Hanraki Plains Dairy Company and Manawatn and .West Coast Dairy Companies’ Association urging an increase from lid. to 2d. per lib. butterfat in tlie premium paid to cheese suppliers. The Tui Dairy Company’s remit was taken as a basis of discussion. It was as follows: — “That the conference recommend to the Government that in future tlie premium paid on the price of butterfat for cheesemaking be 2d. instead of lid. as paid during the present season. The remit was moved by Mr. J. Devine (Kairanga), and seconded by Mr. S. A. Broadbelt (lhakara. Levin). Mr. 0. J. Parlane (New Zealand Cooperative Dairy Company) said his company was opposed to tlie remit. The previous speakers had given no reason why the differential should be increased to 2d. The purchase price of cheese should be increased to a point where tlie average factory could pay 14d. more a pound butterfat. Agreement with Mr. Parlane’s view was expressed bv Mr. C. P. Agar (TaiTapn). He suggested that, the remit should be amended accordingly. Mr. W. Marshall (New Zealand Cooperative Dairy Company) submitted the following motion as an alternative to the remit: "That the conference recommend to Hie Government that in future the price paid on the price of butterfat for clieesmakiug should be raised to enable a premium of at least Ijd. to be paid on butterfat by tne average efficient factory as based on this year’s returns." Mr. H. E. Taylor (Ngaire) said it was felt in Taranaki that unless the margin were increased there would lie a breakaway from cheese that would have a serious effect on the Dominion's cheese export trade. Mr. Devine said lie was prepared to withdraw the remit and accept the motion put forward by Mr. Marshall. A Taranaki delegate said that unless there was a margin of 2d. there would be a wholesale change-over from cheese to home separation to the detriment of the dairy industry in general.

Mr. P. Davis (Hainua)* said he camo from a district whore there were small cheese factories, and unless there was an improvement there would be very few of these factories operating next season. Even now there was a definite trend to butter. The remit was withdrawn and the substituted motion submitted by Mr. Marshall carried on the voices.

When general business came up for discussion Mr. L. .T. Rundle (Bell Block) moved that the Government bo impressed with the advisability of making an early pronouncement, before the end of May If possible, as to the differential price in favour of cheese for next season.

Mr. A. ,T. Sinclair (Te Awamutu). who seconded tlie motion, said that question had been discussed by the guaranteed price committee at a meeting the previous day. The committee was meeting again next month, and the necessity for an early announcement was one of the matters on which ifthen intended to make representations to the Government. The motion was carried.