PRODUCE CONTROL.

Taranaki Daily News, 13 June 1923, Page 7

PRODUCE CONTROL.

... THE SHIPPING QUESTION. POLICY OF CONCENTRATION. HOW TARANAKI WILL BE AFFECTED. “Intei'Bsted” writes:— I note with interest your leading article on the Dairy Pool of May 28, and there is one point in your article in connection with which I should like to give you an explanation, which I am rather surprised has not been giycii by the present butter committee; that Is, with regard to the shipping; I might state that 1 had the opportunity of speaking personally to the representative of the shipping firm who gave definite promises with regard to the future shipping of our produce to the committee in Wellington, and to my mind the rough details of the possible arrangements should have been given to the public. The idea, of course, is to get a regular shipping service. Special fast going steamers should cater for the butter and cheese trade alone, and to improve deliveries there will of necessity be a great out in ports to be called at. This point is of the greatest difficulty, but J have it in that gentleman’s own words that they would only be able to call at three ports, namely, Auckland, Wellington and Lyttelton. Consequently all butter and cheese must arrive in these main ports for loading on the ocean going steamers. This is the great difficulty of the question, as it may have very far-reaching effects on the local ports and aloo freezing companies, seeing that largefc- accommodation would undoubtedly '.have to be provided to take in the butter as it arrives from the minor ports, and this may have the tendency to centralise all shipping in these three ports. The small local steamers would have to unload as they arrive in the main ports, as there are very few who have refrigerator holding space, and the quantity is so large that naturally it would be impossible to time them to arrive so as to load direct on the Home boats. The cost of the coastal freight, although payable by the shipping company would, of course, be indirectly counted in the price that they would agree to charge, and would consequently be paid by the producer. Taranaki has for years endeavored to bring the port of New Plymouth up to export lines and would naturally lose that advantage, and when you consider that the whole of Taranaki’s output would have to go down to Wellington ' or to Auckland to be shipped, it. seems 1 hardly feasible that the Taranaki factories would be satisfied in this respect, i This matter should be well worth ■ ! ventilating immediately so that the fac--5 i tories may understand the position, and ’ i so that there can ibe no mistake. Strange 5 j to say, it seems that the present comI ! mittee do not always take the dairy > ' companies into their confidence and give ■ i them sufficient details as to their inten--51 tions. Personally, I am strongly in favor 1 I of better regulated shipments, and, if at ’ ; all possible, more regulated supply of ’ I our butter and cheese on the London market; also to spread deliveries over i ; twelve months if this should be deemed - advisable. If the necessary financial ar- ■ rangement.s should be considered satise factory by all the producers, I have yet to find anyone who is able to outline J a definite scheme or to even hold a definite opinion with regard to these two y points alone. 1 To my mind we should endeavor to 1 get the shipping question improved first ’ of all, and details submitted as to how the improvement is to come about. As * a second step, I should like to hear a a definite opinion voiced on liow to .- regulate the distribution of our butter - and cheese on the London market, be- - fore we touch the question of a pool lt at all.

THE MAIN POINTS DISCUSSED.

WHAT IS THE REAL OBJECT ? Mr. E. Maxwell (Opunake) writes:— The explanation of the rush methods and the extreme reluctance of the pool promoters to give details and to hear the other side is without doubt due to the fact that the scheme is one of the clique’s, and does not come Jr 0 ® 1 producers, and, further, the fact that it is so crude and rests on such false premises that it will not bear investigation or any attempt to reduce the generalities to precise details. The ‘‘clique wants compulsory control under Act ot Parliament on the ground that the industry is supposed to be suffering serious disadvantages in connection witn the commercial side of it, and, they contend, that there are no other means than compulsory control by which the faults can be remedied. The scheme embraces ‘‘marketing, “advertising,” “information bureau,”‘insurance” and .“shipping.” Taking each in order, let us see how they stand from the various points of view, (a) Are there serious faults? (b) are such faults as there are open to remedy by ordinary methods? and (c) are they warrant for giving extraordinary powers under compulsory control to a few men? MARKETING. Last year’s campaign was almost solely under this heading, and was earned out on extravagant and general aac " sa ’ tions that the industry was sufferin great loss, and producers were being nibbed by Tooley Street merchants These accusations were made again and again by most of tile leaders of the pool scheme, and were unfortunately acce P t ‘ ed in good faith by great numbers and were the major cause of suppoit to the Bl The position to-day is that Sir Thomas Clement has the assurance ot the 800 l Council that they have no intention to and will not interfere with the merchants and the present ehannel Of distribution. Therefore this as a reason for the Bill and a warrant; fOl compulsion, by their own act, or,.shall we say, by their joining hands with the Lppoled ‘‘robbers” goes by the board. Though it is significant that the 81l still contains provision for roiitrol of 'marketing as it did before. WhyADVERTISING. Surely no one could for a moment contend that compulsory control is necessary so that advertising of our produce I may be undertaken. As m other mat|“?s no indication has been given as to 'advantages that may be gained. I Advertising has been carried on b 'the merchants at Home al tbe no expense. Our produce is " * 1! ™ '' amongst all the wholesalers and < tailers c.f any importance in the pr dues and grocery trades. Proof of thi

is available by the fact that in every weekly issue of The Grocer, the paper of the trade, appear quotations of the general market prices and of the pro-

vinces of New Zealand butter and cheese as New Zealand. And it is satisfactory to note how high a place they hold in the lists. This is most complete as an advertising medium to the hand, and in the use of everyone directly concerned in purchase from us of our produce. As to the part between the retailer and the actual consumer, we have not, nor can we, have any effective say or control a« to what they buy and sell, and we know in fact that as a result of advertising to attract the consumer retailers have sold a much inferior butter as New Zealand to the marked detriment of the New Zealand article. INFORMATION. Again, as in the last case, no one could seriously contend that this offers any excuse whatever for compulsory control. Complete and reliable information is available weekly or at any time through any of the firms handling our produce. It is open for anyone to prove the correctness of such by comparing it with that appearing in the Grocer, eta., of even date. None of the firms hesitate to give us the fullest information but what is required, and wliat is lacking in certain prominent promoters of the pool scheme is judgment in the use of it. INSURANCE. This can be dealt with by ordinary means. Even if some sort of combination might assist, there is certainly no Warrant to include it even as a minor reason for compulsion. SHIPPING. As a result of the exposures in connection with iheir wild and extravagant, assertions in connection with the marketing, and also on account of their assurance to Sir Thomas Clement of non interference, the pool clique have had to abandon the “robbery of the merchants” as a catch-cry. Shipping regulation is now their stalking horse. The shipping feature I have dealt with fully before. We all desire the best shipping service we can get, but frankly and plainly a great number of us more than doubt the capacity, and distrust many of the promoters. We have ample grounds for our doubts, and in this ease there is no indication that they understand or that they have made any reasonable endeavor to understand the intricacies of the shipping problem. They have produced no proof that we have suffered anything like the disadvantages they have so enlarged upon, but always, as is their plan, in most general terms. On the other hand, it is generally understood, supported by their own admissions, that discussions have taken place which amount to preliminary negotiations for a regular forthigh tly service of boats over a period of forty weeks to handle all our daily produce. One answer of many, but a complete answer in itself, is . that against such a service of fortnightly boats we had this year an infinitely superior one of 66 boats spread over a similar period of 40 weeks, or an average of seven boats a month instead ot two Onlv on one occasion was there ai. interval of 14 days between arrivals at Home. There has been some irregularity of quantities lifted, but the blame by no means lies only 01 _ mal " l y with the shipping companies. The National Dairy Associaticu, weather, Jabi.r and 12,000 miles distance are for which the companies are not responsible, and which none but the pro motors will dare to suggest tlwt contiul will eliminate. It is useless to appea to the promoters, but Parhament wdl be perpetrating a grave injustice, foi which every member who supports the measure will assuredly be held "sponif H grants such extraordinary

powers to put a small body of men over our premier industry for such, inadequate reasons and on such misleading information. There is not a shadow of doubt that notwithstanding their assurance to Sir Thomas Clement and their catch-cry of shipping regulation, the pool clique’s real object is to control marketing. “X.Y.Z.” writes from Rahotu:— The pool question was put to me in a nutshell recently, and I said to the speaker: “Them’s my sentiments.” Briefly, every man from Home has told ,us we must have our butter on the market the whole twelve months. This can only be done by compulsion, for no one would trust a cooky’s word as to future delivery. Therefore a controlling authority follows, but just as in wartime sellers nominated their selling agents, so now every factory should have the right to say A B or C D is to get delivery orders for its stuff, which settles once and for all the control question. The speaker added that one-third of those taking part in the pool discussion did not know what they were taking about. One-third were so obsessed that argument was useless, and the balance did not care how things went —like me. MEETINGS OF. FACTORIES. A full meeting of suppliers of the Newall Road Dairy Factory was held on Monday evenings when a resolution opposing the Dairy Produce Export Control Bill was carried unanimously. The directors .of the White Cliffs Dairy Company have decided to oppose the proposed Dairy Control Bill and have forwarded a talegram to the Premier vigorously protesting against the proposed Dairy Bill on the groiinds that it is an unwarrantable restriction of free trade.