Evening star., 1947-10-18
Milk Price Rise
Ruling Seen in
About2Weeks
Consumers to Face
1H-Cent Increase
If Producers Win

Chairman T. N. SnaveIy of the
Virginia Milk Commission doubted
today whether the three-man board
Will be able to 60 over the mass of
testimony and figures in time to
act on a proposal for a milk price
increase to 81 cents a quart in the
Washington area by November l,
Bruce B. Derrick, secretary-treas-
urer Of the Maryland and Virginia
Milk Producers, requested the COM
mission, after four hours of con-
f1lctlng testimony in Alexandria
yesterday, to act on his request for
a 461a-cent per 100 pounds increase
in wholesale milk prices by that
date.
DR.. Snavely said afterward that
a week or 10 days will be required
Tor completion OF the transcript
alone. Another week may elapse
after that before a final decision is
reached.
Would Pass On Cost.
In any event, should the commits
sion rule in favor of producers
Washington area consumers face an
immediate increase of IL cents a
quart in milk prices-an all-time
high for the area. The price now
for home-delivered milk is 1917
cents quart.
The Maryland and Virginia pro-
ducers have high record of getting
the price increases for which they
have asked.
Ofhcials Of five Washington, Ar
hngton and Alexandra dairies made
1T clear in testimony yesterday they
would have no alternative but to
pass on to consumers the wholesale
Increase (Which would be l cent
a quartz as we'll as another half
cent to compensate for increased
dairy labor and material costs in
the past 13 months.
Consumer witnesses, who turned
out IN unusually large numbers, were
just as emphatic that any further
price increase would force a drop in
sales at the expense of both the pro-
ducer and those who require milk in
their daily diet.
Some COncede Drop.
Several dairy operators conceded
that higher price would bring a
drop in sales.
Maurice Dawson, vice president
OF Chestnut Farms-Chevy Chase
Dairy, predicted the higher price
will undoubtedly cause reduction"
OF fluid milk sales and force shift
to ice cream mix and similar prod
ucts.
Michael H. Burchell of Alexandria
Dairy Products Co. foresaw a tenn
porary decline in sales. He told the
commission, even if the producer re-
quest is turned down, his concern
will require a half-cent increase to
meet new production costs.
The commission also was re-
quested by Hugh F. Hall, repre-
senting the Lucerne Milk Co., a
subsidiary of Safeway Stores, to
"equalize" the price of it's milk be-
tween Washington and nearby Vir-
ginia. He noted the chain is selling
milk in the Washington stores at
II cents a quart but is prevented
by commission ruling from selling
1t in Virginia for less than 36 cents
for two quarts.
Consumer Questions Witnesses.
Mrs. Sarah Newman, chairman of
the Washington Committee for
Consumer Protection, led the oppo-
sltlon to any increase and frequent
ly questioned witnesses. She and
MIR. Derrick tangled on several oc-
casions, as she quoted Agriculture
Department and other statistics on
prices charged consumers in other
areas and producer prices in other
markets.
A political note was interjected
briefly into the hearing when Mrs.
@. Ethel Clair of Arlington, Repub-
lican candidate for the House OF
Delegates, asked the commission
why no delegate was present at the
hearing.
Mr.. Derrick cited high feed and
labor costs for farmers in the area
and warned that, as result, milk
production is falling off. If the
downward trend in production con-
tinues, he said, the Washington
area market will be short 10000
gallons Of milk day.
Holds Request Is Conservative.
IF this continues, our producers
will look for more profitable crops"
Mr.. Derrick declared. He said the
increase sought by producers is
very conservative" and that, if
milk prices kept pace with other
food costs, milk today would be
selling for 81 cents quart.
Mrs. Newman declared: ut took
years and high-wage war period
to sharpen the public taste for milk.
1t takes only an unreasonably high
price of milk to effectively and
quickly blunt that taste even while
people are working"
She noted that last April the pro-
ducer associations board had
adopted resolution it would with
hold all milk from the market until
an adequate price increase is forth
coming"
Taking our cue from the tactics
OF the association" she said, per
haps consumers, in similar fashion,
should resolve to withhold all MR.