DAIRY CONTROL

Southland Times, Issue 20585, 8 September 1928, Page 8

DAIRY CONTROL

SHIPPING CONTROVERSY ASSOCIATIONS AND THE BOARD AMENDED OFFER DECLINED At the annual meeting of the Wyndham Dairy Factory Company last evening a brief discussion took place on the question of the .contracts for the handling of shipping details for New Zealand dairy produce concerning an alteration in which the Dairy Control Board and the National and South Island Dairy Associations are at variance. The chairman (Mr S. Shaw) explained the position to the meeting and stated that when the associations learned that there was a possibility of the board deciding to take this matter out of their hands, the associations had sent a deputation to wait on the board. These delegates had endeavoured to secure a continuation of the previous arrangement under which they managed the shipping details and each received a remuneration of £1750. In an endeavour to dissuade the board from making the change the associations had offered to continue the work for £lOOO each. The board had been equally divided on the question and the recently elected chairman (Mr lorns) had exercised his casting vote to adopt the new scheme which action, claimed Mr Shaw, was not according to Parliamentary procedure.

The decision of the board was a serious matter and it seemed that an endeavour was being made to crush the associations out of existence. The associations had, in the oast, been the only channel through which dairymen could ventilate their grievances. There was a distinct danger that under the new system the more powerful interests handling dairy produce would be able to earn- out the shipping details to their own satisfaction whereas the associations had operated a policy of strict rotation in shipping. In conclusion, Mr Shaw said that the Southland representative on the board (Mr T. M. Timpany) had voted for the change. Mr R. Arnott said he did not see what other attitude the board could take as it must justify its existence. It seemed there were too many dairying organizations. He had been quite certain that it was a waste of time and money for the delegates to wait on the board and he believed the delegates had held the same opinion. He admitted that the change would probably not be a good one, but the board had been elected and had to justify its existence, for other than controlling the shipping there was now nothing left for it to do. It was probable that the dairy associations could do the work more cheaply than the board, but the board was quite entitled to undertake the work which was one of its chief functions under the present constitution. He did not believe that the alteration would have the effect of wiping the associations out of existence which would be a calamity.

Mr J. D. Hopkins said there appeared to be something radically wrong if the associations could offer to make such a drastic reduction in order to retain control. The chairman said that the estimate of the cost of doing the work as prepared by the secretary of the board was very much greater than the price at which the dairy associations had done the work. The board was at present greatly overstaffed and it had been decided .to undertake the shipping details in order to keep its officials in employment. Mr Shaw referred to editorial comment on the subject in the Southland Times and said that the allegations of profiteering made in an article published yesterday were unwarranted. The‘balance sheets of the associations showed that little profit was being made. Concerning the offer of a reduction made by the associations, this had been done to test the feeling of the board as the score of economy was held to be the object of the proposed change. The subject then dropped.