MARKETING OF FLOUR

Southland Times, Issue 22856, 3 April 1936, Page 7

MARKETING OF FLOUR

New Regulations POWERS VESTED IN COMMITTEE FIXATION OF PRICES (United Press Association.) Wellington, April 2. The Board of Trade Flour Regulations were gazetted to-night in the form of an Order-in-Council. They will form part of the Wheat Regulations, 1935-36, and provide that the Wheat Committee will have power to buy, sell, deal in and act as agents for the sale and purchase of flour within certain defined limits. Provision is made for the committee to establish a fund for the equalization of returns to millers and the purchase of milling plants which in its opinion are not required for the best conduct of the industry in the Dominion. With regard to the provisions for millowners dealing through the committee, the regulations state that except through the agency of the committee no miller shall sell or agree to sell, or purchase, or offer, or agree to purchase any flour or be concerned .in the making, fulfilment or completion of any sale or purchase of flour or of any offering or agreement for the sale or purchase of flour, whether such fulfilment or completion relates to an offer or agreement made before or after the enactment of the regulations. A provisional clause is incorporated, however, giving exemption to flour milled from imported wheat before February 10. Millers must employ the committee as their agents to dispose of all flour in New Zealand and elsewhere; but millers may grist wheat and effect retail sales for cash at the mill door up to a total quantity of five tons a month.

Millers whose total annual output does not exceed 50 tons may, with consent of the committee, grist wheat and sell flour up to an annual output aforesaid, otherwise than through the agency of the committee. Millers desirous of purchasing flour must also employ the committee as agent, and the committee will have power to fix the sale prices of flour of fair average quality, and will endeavour to sell on behalf of every miller at an appropriate current sale price a monthly quota of flour fixed for that miller. Further, the regulations make provision for various liabilities arising from the sale of flour and the quality of flour sold; also for the interruption of supplies, etc. Minister’s Statement. “The Board of Trade (Flour) Regulations published in this week’s Gazette are subsidiary to, and form part of, the Board of Trade (Wheat) Regulations which were issued in December last year,” said the Minister of Industries and Commerce, the Hon. D. G. Sullivan. “These new flour regulations complete the authority granted to the Wheat Committee to rationalize under the direction of the Government the wheat-growing and flour-milling industries. Distributors, Ltd., has ceased to function and the marketing of flour in New Zealand is now vested in the Wheat Committee, which contains in its flour section the administrative staff of the old organization. Whereas under the Wheat Regulations dealings in milling wheat were brought under one administration, now, by virtue of further regulations, it is required in addition that all mills must deal with the committee in all matters relating to the marketing of their flour and its by-products. Among other things provision is made for regulatting the volume of output by quotas and the fixation of the price of flour at different points of delivery throughout the Dominion. “Relating to the recent imposition of the embargo upon the importation of wheat and flour (since when entry has been granted under permit only), there is a provision contained in the regulations for the gristing of imported wheat in New Zealand, and it is anticipated that arrangements for this work to be done here will soon be put into effect. Particular attention will be paid to the quality of flour, and the baker and the public alike may rest assured that there will be no falling off in quality; on the other hand particular attention will be paid to the question of bringing the quality of flour up to as high a standard as possible through improvements in wheat research and more efficient methods of production. Safeguards are provided to ensure the careful and proper examination of all flour found to be below fair average quality. “It gives me great pleasure to report,” added Mr Sullivan, “that the whole organization of the rationalization scheme is showing unmistakable signs of settling down to a basis of efficient working, and the confidence I have previously expressed in the practicability of the plan has been enhanced by the developments which have taken place.”