PRICE OF MILK

Timaru Herald, Volume CXLII, Issue 20503, 22 August 1936, Page 21

PRICE OF MILK

RECENT ADVANCE IN TIMARU EXPLANATION WANTED The recent increase 01 Id a quart In the price of milk in Timaru was the subject of a letter from the District Offlcei- of the Department of Industries and Commerce, received by the Timaru Milk Vendors’ Association at a meeting held in Timaru yesterday. The Department asked the Association for the reason for the advance, supported by figures. Any increase in commodity prices now carries with it the risk of prosecution in event of the Increase subsequently being held unreasonable. The officer also asked the Association to Indicate the total quantity ot milk sold in the district by each vendor, and a copy of the wage sheet before and after the present legislation affecting wages came into operation. These should be supplied by each member of the Association.

The secretary (Mr F. Holland) in a reply stated:

“The reasons the Association increased the price of milk were: (1) We were doing a job at an uneconomic price; (2) The Timaru Borough Council compelled up to have all our cows tested to obtain a license to operate in town. This test cost dairymen a con-* siderable sum. We applied to the Minister through a member for a replacement value of cows condemned, and have it in writing that our request could not be granted, but suggested that If Timaru required a pure milk supply Timaru should be prepared to pay for it. Furthermore, the Department of Agriculture is demanding drastic improvements to our milking sheds and plant, and in a number of cases complete rebuilding. Some of the large suppliers of milk have already decided to go out of the cow business altogether if any further powers are enforced.” “We have got to slip back on our price,” said Mr Holland, who pointed out that the Association had not turned itself into a bureau for the Government to collect information concerning the wages bill and -quantities supplied by each vendor. He did not think the Association could legally be compelled to divulge this information to the Government. The chairman said he did not feel inclined to supply the information unless the Association was compelled to do so. Mr Holland suggested that the letters should be received. Talk of Disbanding “It is either that or disband the Association,” declared a member. Mr Blamires pointed out that if there was no Association in existence the Department of Industries and Commerce would have to deal with each vendor.

Mr Holland: The Department cannot do that, because the Association is not registered.

Mr Redway expressed the opinion that it was the wrong attitude to adopt to talk of disbanding the Association, because it was showing the white feather.

The opinion that the Department’s request for information was reasonable was expressed by Mr C. H. Lennon, who pointed out that 13 dairymen had gone out of business this year. The conditions in South Canterbury were different from other districts, especially in drought conditions. He thought the Association should advise the Department that producers had to start hand feeding early in dry seasons.

Mr Blamires: That is ridiculous. Who has to do that? Mr Lennon: There is nothing ridiculous about it. I’ve seen handfeeding. He pointed out that the Department would have to prove the price was excessive at 6d a quart delivered. The letters were received.

The threat of a renewal of pricecutting through supplies coming from the Temuka district in the next month or two was mentioned by several members during consideration of the question of future prices of milk. After further discussion, Mr D. Griffin moved and Mr F. G. Holland seconded a motion suggesting that the Association should take no part in fixing prices of milk. An amendment proposed by Mr G. Redway and seconded by Mr F. Blamires, that the price be reduced to 5d a quart delivered and 4d a quart at dairies from October 1, was carried, Messrs Griffen and Holland dissenting. Messrs Griffen and Holland dissenting, as they contended that the reduction should take place from September 1.