DAIRY GUARANTEE

Dominion, Volume 30, Issue 260, 30 July 1937, Page 13

DAIRY GUARANTEE

———> - Continuation of Present Prices FIXATION OF NEW RATES LATER An announcement that the present guaranteed prices for butter and cheese would be paid until such time as the prices for next season had been decided upon was made yesterday by the Acting-Minister of Marketing, Hon. M. Lee Martin. "In view of the fact that the final report of the Guaranteed Brices Goinniittee Kill not be in the hands of the Government for some time, and in order to enable the Government to have sufficient time to give full consideration to the recommendations in respect of the prices to be paid for the new season’s butter and cheese, arrangements are now made by Order-in-Council for the continuance of the present guaranteed prices for butter and cheese until further provision is made.” said the Minister. “The continuation of the payment of these prices is without prejudice to the operation of the prices to be fixed at a later date. “The Order-in-Oouncil also provides that from August 1, 1937, variations in price which have applied in respect of butter packed in Saranac boxes shall cease. In future, the equalisation of butter-box costs will be effected by the Dairy Board through the medium of its butter-box pool. The Government will, however, continue to pay a premium of l-32d. per lb. in respect of unsalted butter that, at the request of the department, is in special cases wrapped in aluminium parchment foil and packed in boxes other than of the Saranac quarter-inch type.” PAY-OUT FOR CHEESE Minister’s Reply to Dairy Company By Telegraph—Press Association. Dannevirke, July 29. “In regard to the suggestion of a further payment on past season’s cheese,” states the Hon. W. Lee Martin in a letter to the secretary of the local dairy company which made representations to the Minister, "I can only say that very full representatMons have been made to the Government to the effect , that a further payment be made to bring the average butterfat payment made by the cheese manufacturing companies up to such a figure as will represent a premium of ltd. per pound butterfat above the average butterfat price paid out by the butter manufacturing companies, and that full and careful consideration will be given to this matter by Cabinet. “It is, of course, too soon yet to say what margin above the butter pay-out the average cheese company will show. The Government appreciates the difficulty of cheese manufacturing companies, particularly small companies, and it lias already agreed that the price differential for next season shall be 2d. per pound butterfat. It is considered that an increase of id. per pound butterfat. in the margin will assist the position materially.”