MARKETING PROBLEMS

Stratford Evening Post, Volume I, Issue 257, 8 October 1931, Page 2

MARKETING PROBLEMS

SOME SUGGESTED CHANGES THE GROUP SYSTEM "A necessity exists in the dairy industry for closer co-operation in marketing," said Mr. John Fisher at the annual meeting of the Farmers' Dairy Federation on Friday, in the course of his annual address in which he urged the adoption of a group marketing system for the disposal of dairy produce on similar lines to the systems in operation in Canada, Poland and South Africa, says the Southland Times. He urged that New Zealand was the only country which had no organised marketing system.

"Inter-Empire and foreign competition in dairy produce enforces our supplying the highest quality goods and exercising the most economical and efficient methods of marketing," he said. "Our present method does not embrace these qualifications. Individual factory competitive selling is irrational and destructive of the national welfare; it lends itself to speculative, and erratic returns, and is subversive of the producers' interests. Every producing country in competition with us has abandoned it, and if we do not wake up and put our house in order of our own volition dire necessity will ultimately force us to it. The Control Board having, for the present at any rate, abandoned marketing as one of its objectives, the industry is thrown back on its own resources, and group marketing is at present under review. Fieid for Groups "Southland presents a favourable field for the promotion of one or more groups. Such a field would protect and exploit Uhe Southland brand, create a goodwill, assist to stabilise values and co-ordinate factory payouts. Here, the federation offers a common ground for unity of action. The directors of the factories holding shares in this company might well confer and determine a policy of cooperative marketing under the control and supervision of a committee appointed from the directorates of their own companies, and need not necessarily have a representative of the federation of such committee. "During the year just closed we have adhered to the. line of action first outlined by associating this company with Amalgamated Dairies, Ltd., in the disposal of overseas shipments. Amalgamated Dairies has endeavoured •to exercise some control in the disposal of produce overseas by calling for uniformity of action on the part of its selling agents. Owing to the multiplicity of agents handling New Zealand products any company • attempting to support the market Avhen supplies are ample has been subjected to direct action by 'quick quitters,' and until more concentration of agents is arranged the full benefit of organised selling cannot be realised. "With the formation of groups in New Zealand the position will be strengthened. We have every reason to be well satisfied with our association with Amalgamated Dairies, which is the only Dominion organisjation operating along controlled lines. Many of the most influential London agents are now whole-heartedly favourable to the group marketing system and are advocating it. The Southland representatives of these houses will no doubt support their principals. Difficult Market Conditions

"Market conditions are at present extremely difficult to fathom, and it is practically impossible to forecast how I prices will rule," continued Mr. , Fisher. "The departure of Britain I from the gold standard is giving us temporarily an advantage, but whether that will continue it is impossible j to say. Until some basis of stabilis-1 ing currency is evolved violent fluctu- - ations may be looked for. "The growing sentiment in favour of some form of Empire preference looks as if it will be given effect to in the near future, and this should afford Dominion statesmen a great opportunity, of improving conditions for importers and exporters in this country. Following Empire trade preference the stabilising of inter-Empire currency might well receive the consideration of statesmen and financiers. The Empire is a vast domain mid Ihore should be some method whereby the units of the Empire could enjoy stabilised exchange between themselves. The subject is a fascinating one and worthy of being explored."

Lambing Records The season for fishing and fishing stories is in, also the annual period for reporting lambing percentages, which are frequently a good second to fishing stories. To say that 120 lambs have been marked from 160 ewes makes the percentage 120 correct, but if there are 15 dry ewes over the 100 which had lambs, then the actual percentage is under 105. Some argue that the number of ewes put to the ram should be counted, but that is going to the other extreme, as you cannot expect to mark lambs from ewes which died through the winter. High percentages are being recorded so far, but the time to calculate numbers is at weaning time, when the lambs are ready tor sale. The shepherd, by constant attention, may get a big percentage at marking time, but it is the manager who is mainly responsible for cash results.