DAIRY CONTROL.

Waikato Times, Volume 101, Issue 16946, 8 November 1926, Page 8

DAIRY CONTROL.

THE BOARD’S POLICY. VIEWS OF SIR JAMES ALLEN (By Telegraph.—Press Association.) NAPIER, Sunday. In discussing the appointment of i, committee representing the importers to act with the London agency of the New Zealand Dairy Produce Board in naming the prices of New Zealand dairy produce, in accordance with market changes, Sir .Tames Allen said this w T as a very much more satisfactory position than appeared to be possible when he left - England, and even when he arrived in this country. The board although consulting the importers, had proposed to fix prices' itself; now, instead of fixing a price, it would name a price. In consequence of the previous arrangement, said Sir James, there had been a hostility between the board and the importers, which was fatal to successful marketing. Under the new scheme the board had got into touch with a committee of the importers, and presumably was working amicably with them. If the board could obtain freedom to work for mutually satisfactory prices it would have achieved its purpose. The question was one of supply and demand. Sometimes there was an extra demand on the Continent and then a shortage followed. "I am satisfied that it is a bad principle to store the New Zealand butler for any length of time,” Sir .lames added. “They say it can her stored without much deterioration, but they do not say without deterioration. You cannot afford to lose a single item as far as that is concerned. Competition is so keen as to quality, and New Zealand-has always been on top except as regards Danish butter. If we are going to retain our pre-eminence we must sell it as near to fresh made as possible.” VIEWS OF SIR H. BEAUCHAMP, The price-fixing policy of the Dairy Produce Board was strongly criticised by Sir Harold Beauchamp, a director of the Bank of New Zealand, on his return from a lour of Europe and America. lie characterised it as a dangerous move, calculated to bring different results from those expected. ■ ‘‘l am positively against Government control of trade in any shape or form,” said Sir Harold, “and I ■ think it is particularly dangerous to - tamper with a Lade which has assumed such gigantic proportions ‘as buLter and cheese, amounting in value to about £20,000,000 a year. The trade has been built up entirely by private enterprise, and no doubt it has been exceedingly profitable to ail concerned, but now, bowing to the clamant wishes of the dairy producers of this country, who think that. by means of this board they are in a position to regulate prices, an attempt has been made to take control of the trade out of the hands of those who have been responsible for ■ its success. “People in New Zealand seem to imagine they have control both of butter and cheese, ignoring the fact, that we still have some keen competitors, and that at no distant date we will have others, such as Siberia, f to say nothing of the Argentine. If the Control Board is going to put the backs up of the big distributors of Great Britain it naturally follows that these people will not interest themselves in our products, but will do * all in their power to expand the trade of other countries such as the ones I have mentioned. If the Control Board confines its operations to regulating shipments and keeping : down the rates for freight and in- - surance it could accomplish good work, but when it becomes a question of regulating prices, entirely oblivious of the question of supply and demand, then I think the board will go entirely beyond its depth. “I see it suggested that the present slump in the prices of dairy products is due to operators in London, hut I attribute this chiefly to the adverse industrial conditions now obtaining in Great Britain. It must- be remembered ihat in this country our prosperity is largely dependent on that of the Mother Country, and that until industrial conditions materially improve in Great Britain wo must expect to realise fairly low' prices for all descriptions T>f primary produce.”