Cheese Factories Want Assistance

Northern Advocate, 16 July 1938, Page 4

Cheese Factories Want Assistance

[Per Press Association. Copy right,] WELLINGTON. This Day. Representatives of the Dairy Board. National Dairy Conference, and the South Island Dairy Association waited on the Minister of Finance, the Hon. W. Nash, the Minister of Labour, the Hon. H. T. Armstrong, and the Minister of Agriculture, the Hon. W. Lee Martin, yesterday, with a request that the Government should take steps to ease the position of smaller cheese factories in regard to manufacturing costs. It was stated that labour laws relating to hours of work and rates o' pay were having a detrimental effect oh quality. A number of smaller factories had closed down, and the national production of cheese was. falling. Mr Armstrong expressed willingness to meet representatives of employers and workers and discuss the position luily i Mr Nash dealt with the economic aspect of the subject. Drop In Production. .Mr Linton, of the Dairy Board, said that during the last two years they ' had been greatly concerned about the drop in the production of cheese. New Zealand was getting below Ihe estimated level of cheese consumption in England. Out of 217 factories the manufacturing allowance was not sufficient to cover the costs of 135 factories and, in over 50 per cent of the 'factories there-was a gradual decline . in production.

It seemed to be a matter for decision whether the cheese industry should die in the interests of dairy farmers, or whether it was in the national interests that it should live, said Mr J. G. Brechin, of the National Dairy Conference. If the second course was preferable, the matter vested entirely with the Government.. - . . No Interference With Court, , ; Mr Armstrong said he did not ;, think’, it reasonable to suggest that he should interfere in any way with the decisions of the Arbitration Court, which took all relevant factors into account in making ‘awards. Was it , sugested seriously that hours of work in factories should be increased be- • vend 52? He was with the industry when it wanted to improve its position and obtain the maximum price for its products, but not when it wanted to reduce costs by lowering the standard of the living of the workers, which was low enough . already. Members of the deputation said they had no objection to a six-da> week. Exaggeration Deprecated. Mr Nash said the actual position should not be exaggerated. The fall in butter production was 7.17 per cent and cheese 3.08 per cent. There was . not much difference between the pres- . ent cheese production figures and those of what could be regarded as ' normal years.

He said the question was an economic unit. If quality was being affected by hours of work, they would have to look carefully into the position. There had to be balance in production, added Mr Nash, so that both butter and cheese would bring maximum prices. -During the next few Jays a committee would be working out costs and everything would be taken into consideration. An uneconomic unit could not be taken as n basis* There had to be a mean to work upon.