Evening star., 1955-07-10

Arlington and Manassas mill
markets.
For 81 years the commission
has set the minimum prices 70
milk at both producer and re
tail levels.
High Court Ruling
Under fire for many years. th'
commission on June 10 suffered
the first serious rebuff Of its ex'
istence when the State Supreme
Court ruled 1t must set bott
minimum and maximum retail
prices on milk.
The court banned the settinl
Of separate minimum prices fol
store-sold and home-delivere<
milk. AS o result. the commits.
sion was forced to schedule hear.
ings to revamp its entire pricing
program.
The decision was q victory fol
Safeway Stores, Inc. plaintiff II
the case, which has sought tt
widen the price spread between
milk sold over the counter anc
over the doorstep. Currently
there's q 2-cent margin in Vir.
ginia.
Safeway has long contended II
would cut prices In its retail out
lets If allowed to do so.
Aside from the court directive,
pressure has built up for reduced
retail prices since April, when
prices we're lowered in Maryland
and District stores.
Virginians Nettled
Northern virginians have beer
liked that they have been forced
to pay more for the same milk
than their neighbors across the
Potomac.
Ironically. the shoe has been
on the other foot for two de-
cadeS.
Maryland and District resi-
dents paid prices for milk which
were largely determined by the
Virginia commission, whose farm
prices were accepted by farmers
serving the entire area.
Likewise, Virginia's retail
prices, set by the commission,
until the recent price break were
generally applied in Washington
and Maryland.
Interest in the Thursday hear
ing has risen to the point that
extra days Of testimony may be
scheduled. Mark w. Turner OF
Herndon. commission chairman
said he expects that the hearing
will continue at least two days.
He said the court actually
didn't order us to lower prices"
but only to set the range be-
tween the minimum possible
price at which milk can be sold
by an economical" distributor
and the price required by a dis
|tributor who offers extra services,
such as delivery, in the sale of
milk.
Permitted BY Law
Between the two prices, free
enterprise and free choice would
have its play, the court indi-
Gated.
Mr.. Turner said the law per-
mits the commission to SUP
render its price-fixing powers
entirely, or to withdraw only
from the retail Held. holding
onto price controls at the farm
level.
He indicated 1t was unlikely
there would be any surrender of
power. but particularly none in
the field Of producer prices.
Farmers Of the State support
the commissions role as the ar
bitter Of producer prices-and
the distributors who clamor for
lower retail prices have no quar-
rel with protection for the
farmers.
"The only pressure for elimi-
mating producer controls Is from
the consumer" says Mr.. Turner.
Even II the Virginia commits
sion were to pull out Of the
price-fixing field in Northern
Virginia. 1t would not necessarily
mean the end Of the price props
for the farmer.
Area producers have applied
to the Secretary Of Agriculture
for inclusion in the Federal
marketing program. A decision
is expected before the end of
the year.
Commission Holds Key
Under this program, the Sec
retary will set farm prices, fol-
lowing hearings and acceptance
of his proposals by two-thirds
of the farmers in the milkshed.
At the moment, however, the
commission holds the key to|
1855 prices in all Of Virginia.
After the hearing in Alex
andria. it win conduct hearings
all summer throughout the State,
revamping Its previous pricing
~