Dairy Industry Guarantee

Manawatu Times, Volume 65, Issue 258, 31 October 1940, Page 8

Dairy Industry Guarantee

XNOEEASE WANTED DDE TO HIGHER COSTS

Per Press Association. WELLINGTON, Oct. 30. A resolution affirming loyalty to the King and Empire and empnatically condemning the actions of those persons who in any way attempted to sabotage the Dominion's war effort, was carried unanimously and by acclimation by the Dominion Dairy Conference, the ninth of which opened to-day under the chairmanship of Mr. E. Hale, chairman of the New Zealand Dairy Board. Occupying a prominent place on the order paper was the guaranteed price in relation to increases in costs. The industry is seeking an increase to cover costs. Other remits deal with increased production and extended working hours, the principle of meeting the cost of diversion of supply from butter to cheese, and general topics. After the opening address of the chairman, addresses were given by Mr. W. Marshall, chairman of the directors of the New Zealand Co-op. Dairy Co. Ltd., and a member of the Dairy Industry Council, and Mr. W. W. Mulholland, president of the New Zealand Farmers’ Union, both members of the committee of the Economic Stabilisation Conference. The programme provides for a discussion this afternoon with the Minister of Marketing. Mr. Nash, &nd the Minister cf Agriculture, Mr. W. Lee Martin.

After reviewing the board's activities during the year and expressing gratification of the greater effort being accorded the herd-improvement plan, Mr. Hale referred to the increased-pro-duction campaign and the difficulties associated with the change-over from butter to cheese. In their view, however, he said, the industry’s duty was quite clear. With Britain fighting with her back to the wall, it was up to them in New Zealand to give an immediate response to every request, and they felt that if serious losses arose in any instances these could be ironed out tater. He was sure they all realised that losses incurred through the changeover must be looked upon as a national responsibility and faced up to in that spirit. In regard to the guaranteed price, Mr. Hale said that from the very outset of the war the industry’s attitude had been that all questions that were in dispute with the Minister of Marketing, such for instance as the alteration of standards set up by the 1938 committee, should be held in abeyance and that, apart from extra-production costs, no increase in price should be asked. “We have made several suggestions to the Minister s:nce the outbreak of the war.” he said, “but I must say with regret that we are extremely disappointed with the result. Our whole desire was to prevent the industry being forced to ask for an increase in the guaranteed price, but recent events which hav e further added to our costs leave us no option.” Mr. Hale said that the Minister had not yet replied to the respectful but definite request that increased costs should be covered by an equivalent increase in the guaranteed price as provided under the Act In reference to the Economic Stabilisation Conference, he said that the industry’s representatives had made it clear at the outset that whatever conclusions were reached they would not affect the industry’s. request for an increased guaranteed price to meet increased costs. The conference unanimously passed the following resolution: “That this conference expresses profound disappointment that the Marketing Minister failed to respond to the offer made on behalf of the dairy industry last June for the stabilisation of costs and prices, and in view of the fact that further increases have taken place since that date, this conference strongly supports '.the request made by thfc Dairy Industry Council for an increase in the guaranteed price for 1940-41 to cover increases in costs/and expressed strong dissatisfaction with the manner in which the Minister has evaded hifl responsibilities to the industry ns expressed in section 20 of the Primary Products Marketing Act.” It was decided to send a copy to the Minister before he meets the conference.