DAIRY COMPENSATION

Nelson Evening Mail, Volume 77, 10 August 1942, Page 1

DAIRY COMPENSATION

! GAINS AND LOSSES FROM LAST SEASON Wellington, This Day Though Ihe drive for cheese pro duefion is over and the reverse policy is being pursued, adjustments from the special fund established to coin ponsate suppliers to butter factoriei cannot he made till company balancesheets and final figures are submitted t<» the Minister of Marketing, according to instructions issued by lb# director of the export division of the Marketing Department. Mr. (J. A. Dun can. Companies which have gained a financial advantage through the transfer to them of milk suppliers from neighbouring companies are required to pay some of the additional earnings to the fund out of which butter factories at a financial disadvantage will be comitensated. A departmental circular states that “the amount of such advantage or as much of tlie amount us the Minister of Marketing for the season 1941-1942 on the recommendation of the Executive Commission of Agriculture shall decide wlil be required to be paid by the eompany to the department us a credit to the special account.” Chee*e companies should not make final payments to their suppliers without providing for payments due to the department, said Mr. Duncan. Companies were recommended to submit their account* promptly to the department. It is understood that some companies which have submitted their balancesheets have not been called on to make a refund, but dairy companies which have been faced with increased manufacturing costs caused bj of supply are already being recompensed. —P.A.