THE FLOUR MILLERS' ASSOCIATION.

Otago Witness, Issue 2677, 5 July 1905, Page 24

THE FLOUR MILLERS' ASSOCIATION.

TROUBLE liST THE CAMP. (By Our Commercial Repoktee.)

CHRISTCHURCH, July 3

There is fresh trouble among the flour millers. For some time past the New Zealand Flour Millers' Association has found a difficulty in disposing of the outputs of a number of the smaller mills. South Island bakers are for the most part wedded to favourite brands of flour, and the policy pursued by the association has been to ship the less popular brands to the North Island. Here they have encountered the increasing competition of Auckland flour, quoted at five shillings per ton below the association prices, and consequently stocks accumulated and sales became difficult to effect. Special negotiations with tho Auckland flour millers failed to bring about a, Working arrajigement, and the position has been accentuated by the recent decision in the case Harraway versus the Flour Millers' Association, under which the smaller millers gain considerable advantage. Some cf tho leading milling firms with large capital invested in their businesses have long been fretting under an arrangement by which the association makes a market for the output of the small mills, at the same time seriously reducing the output of the large nulls, and there is growing dissatisfaction, is milling circle*. It is re-

ported that the last meeting of the association held some weeks back was of a somewhat stormy character. The latest rumoured developments are that two leading Timaru millers are seeking to sever their connection with the association. Those miller* are not shareholders, but have come in under a special agreement. It is stated that they purpose taking eminent legal opinion as to whether these agreements now hold good. A meeting has been called in Timaru to consider the situation, and the outcome is eagerly awaited.