DAIRY FACTORIES

New Zealand Herald, Volume LXIX, Issue 21345, 21 November 1932, Page 10

DAIRY FACTORIES

GRANTING OF LICENCES

THE NEW FIEGULATIONS

"PRECAUTIONARY MEASURE"

COMPETITION AND PURITY

[by telegraph—special reporter] WELLINGTON, Saturday

"The regulations are purely a precautionary measure," said Mr. W. M. Singleton, director of the Dairy Division of the Department of Agriculture, when asked to-day for an explanation of the amending regulations under the Dairy Industry Act gazetted this week. "If a new dairy company is proposed where it is considered its establishment might only result in the splitting of supplies, and that such supplies' are sufficient only for one factory, the regulations will enable the Minister of Agriculture to investigate the position. The application for a licence under such circumstances will be investigated by a committee of three appointed by the Minister. Where there is no doubt that such factory should bo established no committee will be needed. It is Hot a case of interfering with present arrangements, but merely of safeguarding the future." Asked what gave rise to the necessity for the regulations, Mr. Singleton said that one or two isolated cases had occurred where factories had been established which were not justified on economic grounds. It is understood that an occurrence in the Wairarapa district brought to a head the decision that in future no factory should be established without a licence.

Although the point was not mentioned by Mr. Singleton it is understood' that some concern has been expressed regarding the purity of supplies, and it is stated that in the stress of competition there are cases where factories have accepted dirty milk. The regulations, it is hoped, will eliminate that possibility for in cases where a committee is appointed it will take into consideration the probable effect of the competition from the manufacturing dairy sought to be licensed on the quality of dairy produce which might be manufactured by it or by competing dairies.