Hawke's Bay Herald. TUESDAY, MARCH 8, 1904. THE DAIRY TRADE.

Hawke's Bay Herald, Volume XXXIX, Issue 12700, 8 March 1904, Page 2

Hawke's Bay Herald. TUESDAY, MARCH 8, 1904. THE DAIRY TRADE.

An important meeting of the National Dairy Association was held in Palmerston last week with a view to bring about a more perfect system of cooperation amongst those interested in the trade. Mr Harkness, the secretary of the association, was the chief speaker, and he expounded the grievances which dairymen at present consider they suffer under and the means of obviating them. He said that the association’s executive had come to the conclusion after long consideration that the distribution of New Zealand butter in England was not as satisfactory as it might be, and that the time had arrived when it should take some responsibility upon its shoulders, and see if it could rot improve matters. New Zealand butter was quoted in the London market at 100s and Danish at 116s, and New Zealand had just got out one of the best Danish experts, who had said he could not teach them much in the way of producing a better article; therefore it seemed strange that there should be tliis wide divergence—nearly 2d per lb—in the prices. Mr Harkness recognised, of course, the different conditions under which the two countries worked, one being a great deal nearer to the market than the other, but making all allowances, there should not be as much as 2d per lb in favour of Denmark.

The remedy which the executive pro posed is a system of pooling, by which means it was hoped that a higher price may be obtained for the general output. This is carrying out the principle introduced into the meat trade. It is also proposed to engage agents to watch the interests of the trade in Great Britain. It is not the intentioa, however, to imitate Mr Seddon’s scheme for meat distribution, “The Premier,” said Mr Harkness, “made the mistake- of bringing New Zealand into competition with rings and prominent firms. They should not do this, but put their trade in the hands of men in whom they had confidence, and who would be able to stand against any pressure brought to bear upon the market. They should also have a reliable agent by whom they could be kept in constant touch with the market by cable.” The meeting finally carried a number of resolutions. They were as follows :—(1) That in the matter of the dairy industry, it is advisable that steps be taken without delay to formulate a scheme for the better distribution of dairy produce in the English market, and for the maintenance of prices; (2) that the National Dairy Association be the medium of exchange between the buyer and seller; (3) that the factories joining the combine be free to consign or sell at a fixed price; (4) that in the case of consignment the commission charged should not exceed 3£ per cent.; (6) that in

the case of A site thfougb the association at a. fixed price, the association he entitled to a rebate of { per cent, but in the event of the association not being able to sell and a sale being made by the factories diV'tbt the rebate of the association shall be i per cent; (6) that the association should have the right to inspect all books and accounts in connection with consignments if they, consider it necessary to do so; (7) that the N.D.A. invite offers from Great BritaiA U) do business on the linek of the foregoing resolutions \ (S) that the association sII&UW obtain reliable information as to the_ probable value of dairy produce so as to advise factories as to value.

These resolutions undoubtedly mark an important development in the butter industry, and one which will be watched with interest by the other pastoral industries. If (.he buttermon suiceueds in getting a higher prices for his product by pooling and careful grading; it will be a valuable object leSfedil in the value of intelligent cb-bpe’ration. Mr J. G. Wilson, who presided at the meeting of the association, said that the Farmers’ Union had endeavoured to get a combination in the meat freezing industry, but the conditions of proprietary were different. In the present instance it was a case of companies combining, which would be very much easier of accomplishment. He contrasted the present dairy market at Home with the wool market. Every single hale, in the latter case, was exposed, and all buyers could see its quality. There was hardly a single person in New Zealand who knew how the butter was sold, and what the price was. This is, perhaps, nnsatisfactoiy from the producers’ point of view, and no doubt the new scheme, it successful, would obviate this objection,