MILK PRODUCTS

Nelson Evening Mail, Volume LXXI, 1 May 1937, Page 7

MILK PRODUCTS

PRICE FOR BUTTERFAT SUPPLIED METHOD OF ASSESSMENT EXPLAINED [Special to Press Association] WELLINGTON, 29th April. The prices payable for butterfat contained in milk supplied for the manufacture of certain export milk products containing a substantial percentage of butterfat are to be assessed on the basis of the guaranteed price for dairy produce. The procedure tor ascertaining these prices is defined in regulations issued as an Order-in-Council this evening. The method proposed for the_ payment of such prices is as follows: — As soon as possible after 31st July, 1937, the Minister for Marketing shall ascertain the average rate at which the owner of a reasonably efficient butter factory could have paid for butterfat in milk or cream delivered during the current manufacturing season for manufacture into creamery butter, calculated on the basis of the guaranteed price payable for creamery butter intended for export, and acquired by the Crown, pursuant to the Primary Products Marketing Act. The Minister shall also ascertain the average rate at which the owner of such a butter factory could have paid for butterfat in milk or cream delivered during the same period for manufactured into creamery butter, and such butter had been sold in the United Kingdom at those prices. The average rates so ascertained by the Minister are to be accepted by all parties as final and conclusive.

ADJUSTING PRICE If it appears that the average rates ascertained on the basis of the guaranteed price payable for creamery butter is greater than the average rate based on prices actually received for creamery butter sold in the United Kingdom, then the Minister shall pay out of the dairy industry account to the manufacturers of special milk products the amount of such difference, calculated on the total quantity of butterfat contained in the whole milk purchased by them for the manufacture of special milk products exported from New Zealand. If, on the other hand, the average rate based on the guaranteed price payable for creamery butter is less than the average r - ate based on the price actually received for creamery butter sold in the United Kingdom, then the manufacturers of special milk products shall pay to the Crown the amount of such difference, calculated as aforesaid.

Manufacturers of special milk products are required to furnish to the Minister or other duly authorised person all such statements and other information, and to produce for- inspection of all such books, records, and documents as may be deemed necessary to enable the amount payable to or by each of such manufacturers to be correctly computed.