DAIRY PRODUCERS

Hokitika Guardian, 9 July 1937, Page 5

DAIRY PRODUCERS

- MaNAWATU compulsion scheme (l’ei Press Association —Copyright). T PALMERSTON NORTH, July 7. •Delegatee from dairy companies manufacturing butter in Mamtwutu et .tim : Executive Commission of Agriculture, at Palmerston North, toto come to .decisions of farreaching importance to'the industry in respect of the desire to reduce the overlapping of cream collection and compulsory shareholding by suppliers. It was agreed that compulsory shareholding should operate as from jAugu’st 1 ( 1937 the basis' to be between a £1 share for every lOOlbs of butter and £1 share for every 300 /lb butterfat or its equivalent. Ex- ( (-option from shareholding is only to ’• be obtained on religions grounds or by those supplying less than l,soolbs* butterfat a year, 'hut these suppliers wifi be required to pay a service charge, the small supplier always because his supply is regarded as a nuisance,but the religious objector only until lie has paid the equivalent ol the call on the share capital. Deductions to he made for share capital are fixed at from to Jd per lb butterfat up to a minimum of 50 -per cent, of the share liability. v The effect of the decision regarding / , supply was a sfollows(1) Farmers v -i will be given the right to supply one <of two factories. (2) Factories within seven miles of each other will be considered as. one unit so that suppliers under certain circumstances will have the' choice of three factories.,,, £3)j Fnch factory will have the right to collect from its present suppliers outside its area. (4) The agreement will operate for a year from to-day. Any company breaking faith is liable to a penalty of £IOOO.