LICENCE REFUSED

New Zealand Herald, Volume LXXV, Issue 22955, 5 February 1938, Page 19

LICENCE REFUSED

PASTEURISING PLANT MILK COUNCIL DISCUSSION L ;; - THE ECONOMIC ASPECT y • * BUILDING UP MONOPOLIES" rf On the grounds that there were already sufficient holders of licences for pasteurising milk plants to meet adequately the needs of the milk district, unci that it would be unnecessary, uufind inequitable to grant such a licence, the Auckland Metropolitan Jlilk Council yesterday declined an application from Mr 0. V. Garland for „ pasteurising plant licence for his premises at 40 Cook Street, City. The jiiotion declining the 'licence was drafted fov'the chairman, Mr. I. J. Goldstine, After 'opinions had been expressed' bv t] lP members. In support of his application Mr. Garland said be was in America recently nrul fully investigated the ice cream . business there. He brought back with ]iim some equipment which was "right „p to the minute" and thoroughly efficient in every way. "You will readily admit the difficulty 0 [ getting milk delivered from local treating houses to my milk bars in a sufficiently cool condition," added the letter. "To overcome this I have installed the pasteurising equipment and purchased a special van so that the milk can tie treated, brought down to a low temperature, held there and delivered at short notice to the bars as may be required." "Considerable Investments" The applicant added- that his investments' in his new equipment were considerable and the 'council would agree that his business was conducted on up-to-date lines. Ho hoped they would apA prove of his action and grant the licence ijffl -phich would make possible further im,'r provemeht in quality and range, all of which was in keeping with one of tho fundamental bases of the council, an increase in the consumption of milk in Auckland. Being the holder of milk-bar and milk-shop licences. Mr. Garland purchased pasteurised milk delivered to him at ]> -3d a gallon, stated the report on the application submitted by the council's technical adviser, Mr. W. C. Neil. If be were given a pasteurising plant licence and were placed on the same basis as the other pasteurising plant licencees he would be able to purchase milk to-be pasteurised at "the iarm gate price" of ]OJd a gallon, which, with the inclusion of other costs, would mean a saving of old a gallon. "The council's attitude to the granting of further pasteurising plant licences has. in the past, been clearly defined," added , the report. '"lt has been considered that the present plants Are uneconomic units, and that a .reduction rather than an increase in pasteurising plant licences would be desirable. 1 ; Olher Applications Declined

"Three others have been refused licences on this ground, and, further-, mere,;if,this'licence is granted there is nothing {o prevent other milk-bar proprietors and even vendors from applyi i'g for .Minilar licences.'' Mr. A'ei] added that Mr. Garland's plant was up-to-date. The issue was cjoqfled by the fact that he wished to sell specialties. It would perhaps be a retrograde step not to encourage this trade. It be possible to overcome ths difficulties by the issue of a special * licence, and the question was being t considered by the council's solicitor. "This is a matter requiring deep consideration,"- said Mr. Goldstine. Tl.o council's solicitor agreed they should C, very seriously consider this application ¥>;, before reaching a decision, he added Eull effect should be given to economic considerations. If a licence were granted in this case it would be inequitable to refuse them in other cases. "J'he question was, would it he economic to multiply the plants when the present plants were sufficient to do the pasteurising bow necessary ? V" Members' Views "I think w.e would be very foolish at present to duplicate plants." said Mr. E. F. Andrews.. If the licence were granted, lie said, other people wouid be forced to apply for similar licences: In reply to'Jlr. X. V. Douglas, the chairman ' said the position would be different if Mr. Garland were unable to arrange for the pasteurising of milk. If that were so, it would be the duty of the council to see that; he could. Mr. Douglas: The orilv unfortunate aspect is that we are building lip monopolies for one or two. I do not like that at all. ' ."Mr. Douglas is right in one respect." said Mr. H. F. W. Meikle, "But this seems to he the lesser of the j two evils." After the .matter had been fully dis- j cussed,, the application was declined. I _