Evening star., 1933-11-17
DAIRY
CODE IS DRAF TED
Includes "0ne-Price" Plan.
Final Approval Seen
at Meeting Today.
The Independent MIX Distributors

The Independent Milk Distributors
Association announced today it has
drafted milk-marketing agreement for
this area embOdying the "one-price"
plan and guaranteeing that e31z per
cent of milk produced by the farmers
will be bought by the dairies
Final approval of the milk code was
to be voted at meeting of the indie
pendents today, Robert l. Dickson, as
Sociation president announced.
The code called for the appointment
by the Secretary of Agriculture of a
dairy administrator for the Washington
milk shed The administrator would
supervise the operation of the milk
marketing agreement, but his decisions,
If protested by either producer or dis
tributor, could be appealed to board
of appeals to be comprised of three
members-a producer, distributor and
a consumer.
No Price Set in Code.
No price was set in the code at which
distributors would buy milk from the
farmers. Dickson said the code would
provide for the establishment of price
by the Secretary of Agriculture after a
survey. He said that under the agri-
cultural adjustment act the Secretary is
empowered to fix farm prices and that
the independent distributors wanted a
price which would be fair to the
farmers.
A detailed plan to handle the So
called surplus otmilk on the market is
embodied in the code. 1t provides that
the distributors agree to take 85 per
cent of milk produced by their shippers
with tolerance" Of but 10 per cent
above and below normal production.
Thus, Dickson said, the producer
could ship 93l2 per cent Of his produc-
tion by taking advantage Of the 10 per
cent tolerance above the 85 per cent
OF production which the distributor has
contracted to take
For the first month under the plan
the code provides that the distributors
IN Washington agree to take milk from
all OF the shippers now on the market.
If a surplus is shown to exist the
farmer during the following month will
be required to hold back milk that can
not be used This will be paid for at
the regular agreed price, less a deduc-
t1on for skim milk and less transporta-
ton costs, In no event will the pro-
ducers be permitted to glut the market.
| 1t was pointed out
Responsibility Up to Farmer.
| Dickson said the proc otion control
( plan in the code was drawn to make
( the farmer take the responsibility for
/ any overproduction 1t is the opinion
; OF the indepedentS he said. that the
! farmer will be better off if he is paid
a basis price for at least 93I, per cent
] OF his milk and is forced to keep down
! production to only the amount con-
/ sumed, rather than continue under
/ present conditions, with a large amount
/ OF his milk being clasSed as surplus and
| PAID for at ridiculously low prices.
/ Expenses OF the dairy administrator
| would be borne equally by the pro-
ducers and distributors Each would
! pay one-tenth of l per cent pei. gallon
i, with the fund being handled by the
| distributors.
Code prices would not apply to milk
| sold TO schools, hospitals and other
| charitable organizations. The present
| system, through which the distributors
bid for orders from these institutions
would be continued.
Producer distributors would be per-
mitted under the code and would be
/ allowed to sell their own milk at ]
cent per bottle less than the dairies
All producer distributors on the mar
ket at the time the code becomes ef-
fective would be permitted under the
plan, but no new ones would be al.
| lowed on the market unless approved
by the daiFy administrator