PRICE-FIXING OPPOSED

Taranaki Daily News, 8 April 1927, Page 9

PRICE-FIXING OPPOSED

SOUTH TARANAKI FARMERS AMENDMENT TO ACT DESIKED LIMITATION OF BOARD’S POWERS, (From Our Own Reporter.) Hawera, April 7. “That this meeting of the South Taranaki Provincial Executive of New Zealand Farmers’ Union considers that the operations of the Control Board should be limited to the arrauging of shipping contracts, insurance, advertising and general care of the produce pending sale, without fixation of price, and, further, it is the opinion of this meeting that the word ‘control’ should be eliminated from the title of the board,” was the text of a resolution moved by Mr. W. E. Carter, seconded by Mr. J. P. Marx, and carried unanimously at the meeting of the South Taranaki executive of the New Zealand Farmers’ Union yesterday, following a lengthy discussion. Mr. W. E. Carter, speaking in support of the motion, stated that it was pure folly for them to imagine that any measure of price-fixation could succeed in the circumstances in which the produce was marketed. “I have personally had the of calling upon all the Tooley Street merchants and have discussed matters with them,” he said. “The capital behind them alone absolutely precludes any arbitrary or price-fixing tactics by New Zealand producers, in addition to this it cannot bo disputed that in Tooley Street are to be found the best commercial brains in the world. “My impressions are that price-fixa-tion is sheer foolishness under the circumstances. I do not dispute the theory of the quetion, but, knowing as I do the conditions operating in Tooley Street, I am thoroughly convinced price-fixation is certainly not possible without most grave results.” Mr. J. P. Marx said he was in .favour of neither extreme; he was a moderate, and believed that up to a certain point the existence of the board was desirable. He did not favour the abolition of the board. What ho most strongly urged was that the board be deprived of any price-fixation powers and that any semblance of control be removed. Mr. E. K. Cameron mentioned that the letter heads and other documents of the board did not use the word “control,” but merely named “th© New Zealand Dairy Produce Board.” Mr. H. E. Johnson reminded Mr. Marx that the board had already passed a resolution deciding against pricc-fixa-tion. In reply to Mr. Johnson, Mr. Marx said: “That is all very well, but as at present constituted it is open to the board to pass another resolution again adopting a price-fixing policy. I am in favour of having this power properly taken from the board.” Other speakers declared that the use of the very word “control” had done an immense amount of harm to the New Zealand industry. “The board was trying to run before it could walk,” said another speaker. “It took a plunge headlong and has half drowned the farmers in doing so, and, what is more, by fixing prices they have broken their faith.” It was decided to forward the resolution to the Control Board, to' the Dominion executive of the Union, and the Minister of Agriculture.