ROYAL COMMISSION

Manawatu Standard, Volume LIV, Issue 120, 20 April 1934, Page 7

ROYAL COMMISSION

PERSONNEL OF THREE? TO INVESTIGATE DAIRY INDUSTRY. DRASTIC CHANGES FORESHADOWED. jfßj Telegraph—Special to Standard.) WELLINGTON, April 20. The Royal Commission on the dairying industry is- expected to comprise three persons, including a business man as chairman, With two others connected with dairying. The Government’s action in setting it up is believed to be the prelude to very drastic changes in the organisation of the whole industry and its method of control in taking full responsibility for future action. The members of Cabinet, it is reported, adopted this policy owing to the complete inability of the Dairy Board to demonstrate that its recommendation would have the full support of the producers. It is no secret that some of the most important points in the board’s recent statement to the Government were adopted by the Board only, by a majority of one ■vote. , The Commission has to consider the board’s powers and constitution, and it is expected that associated with this aspect will be the services rendered to the industry by the inspecting and grading staffs of the Department ol Agriculture, because there is a possibility of the whole organisation being repiodelled. The Dairy Board s powers are admittedly insufficient to cover any internal stabilisation scheme. Therefore, Parliament is expected to have the board’s constitution and its functions, as well as its electoral methods, under review next session.

THE DELEGATION PROPOSAL. No reference has been made in the Government statement to the delegation proposal. The reason is that it is not a matter for immediate action, though ultimtaely it may become necessary. Tlie Home Government has made it, clear that no separate agreements are possible with, individual Dominions. Therefore, if New Zealand wishes to raise questions relating to the trade conditions' which should prevail after the termination of the Ottawa agreement it must he in conjunction with other self-governing Dominions. The coming visit of Mr S. M. Bruce, the Commonwealth High Commissioner, has an important bearing on this phase. Mr Bruce leaves Australia for New Zealand next Thursday, and is expected to discuss with the Ministers the probability of joint, action by New Zealand, Canada, and Australia in respect to dairy imports into Britain wdien the Ottawa agreement ends. Cabinet obviously views with concern the change in sentiment created in Britain. The Prime Minister, in an address to the Wellington Chamber of Commerce, commenting on the president’s appeal that private enterprise be unfettered by governmental interference, made pointed reference to the changed conditions in the world trade of every country. He said that it was closing up trade avenues, seeing to every bit of goods which came in, and it was impossible for New Zealand to ignore this. The low prices of New Zealand’s dairy produce on the British market were due to over-supply. “The British farmers,” he continued, “are complaining bitterly that we are sending in such huge quantities. They are telling their Government definitely and very strongly that the Government is letting them down and allowing their market to be destroyed by over-impor- |. tation of produce from the Dominions. I That is a very difficult position indeed. We want to preserve the goodwill that j!;': lias always existed between New Zea- |; land and Britain, and do not want ij to put ourselves offside in the minds |jj of the British people.” | The Prime Minister’s statement relai live to the setting up of the Royal I, Commission appears on page 2. GOVERNMENT’S DECISION. I MR POLSON’s"”COMMENDATION. “BOLD AND COURAGEOUS.” Per Press Association. STRATFORD, April 20. I ‘Addressing a large meeting of_ far- |; mers at Whangamomona, Mr W. J. fv Poison, M.P. (president of the New I Zealand Farmers’ Union) endorsed the | Government’s decision to appoint a | : “ Royal Commission to examine the 1 whole economics of the dairy industry ‘ internally and externally, which the I Farmers’ Union, including all sections of the organisation, unanimously askj ed for, i They agreed with the Government ; that the problem to-day raised issues i beyond the jurisdiction of the Dairy |l Board. j; The quota involved a wide question §j> of Imperial policy, and it seemed to jS him that just as it was necessary some- | times to sacrifice a limb to save a tree, ; some unpleasant regulation of our major industry may be forced upon ! us, not merely in the interests of j\ the farmer in Britain but the interests | of the nation. It was unpleasant to f think of it, but the fact must be faced that Great Britain was no longer ini' vulnerable. The command of the seas : then, if retained, was not to-day sufncient to maintain a policy of isolation. | Alliances were necessary, j Speaking without specific knowledge, ; Mr Poison said that the major policy of the British Empire may neeessit tate international agreements winch would involve a serious alteration in tho Dominion’s plans of production. The proposed order of reference of the Royal Commission covered tho whole field. He thought the Governments policy to be bold and courageous. Asked to explain the attitude of the Auckland Farmers’ Union, as telegraphed yesterday, Mr Poison said that he could not understand it, as the Auckland delegates to the Dominion executive endorsed the demand for a Royal Commission and, including tho Auckland president, had taken part in a deputation to the Governjnent asking for a Royal Commission. THE DANES’ ADVANTAGE. EFFICIENT MARKETING. Per Press Association. HAMILTON, April 20. Commenting to-day on the new but-ter-making process as recently outlined by Air L. Hansen (Christchurch), Mr C J. Parlane (general manager of the New Zealand Co-operative Dairy Coy.) said lie regarded it as a very doubtful compliment to the New Zealand article when it was claimed that the new process will produce butter of equal quality to the. Danish. He did not agree that it is the quality or New Zealand butter that is responsible I- for the difference in the price between : it and the Danish. While admitting I there was room for improvement in tlie

quality of our butter, Air Parlane was definitely of the opinion that our finest quality was superior to the Danish and that tho Danish . buttermakers have nothing “up their sleeves iu regard to manufacture not known by tho makers in this country.. It was incorrect to say that the Danish butter was more uniform than ours. To get uniformity it was essential that the flutter be manufactured in large .quantities under one control, which is the case with the large factories in New Zealand but which is the opposite case in Denmark, factories there being numerous and the outputs small. The advantage the Danes had in price was that, because they could supply the market with fresh butter, they had the advantage of goodwill built up over a number of years. Thirdly, and the main reason, they had adopted an efficient marketing method.