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J. R. SCOTT.]

23. It seems fair that it should fall on the people most interested? —I quite agree with you. If suppliers are put to great expense to carry out the absolutely necessary regulations, the public should pay more for their milk. The life of the dairyman is a very hard one, and the consumer should remember this. 24. Do you represent an export association? —Yes, instituted mainly for educational purposes, also for the concentration of shipments. 25. The export season has nothing to do with the local trade?— No. 26. Do you not think the regulations for those supplying factories and those in the backblocks should be different ? Though they may be very advisable and necessary to one party, they may be very irksome to the other. Do you not think there should be sets of regulations to meet each branch of the industry ?—ln the Dunedin and Oamaru districts there is a good deal of milk which goes to the factories in the flush of the summer, but in the winter is supplied for local re quirements. The T. and T. Milk-supply Company, of Dunedin, has a large butter-factory, and supplies the city with milk. 27. What I am referring to is the difference between the struggling settler and the man with an established business in the city. Is it desirable to enforce the same regulations in regard to both? —It would be better to leave it to the administration. Mr. Clifton, I am sure, would not ask any man to do the impossible. The Department quite recognise that what is necessary in one case is not necessary in another. , 28. Under these circumstances it would not be necessary to have regulations at all, but it could be left to the Inspector ?—He must have some regulations laid down for him to go by. 29. Some limit?— Yes. 30. These, I take it, are the limits of his powers. You think, if enforced straight off they would be very oppressive?— Yes, decidedly. 31. You say we ought to work up to the standard of Denmark. Have you any knowledge of how dairies are worked in Denmark? Have they regulations?— Yes. 32. How do they compare with these?—l cannot say, but some of their regulations are very strict. 33. Hon. Mr. McNab.] You say the cost should be paid by the consumer?— What I mean to convey is that if the producer has to bear the expense of complying with these regulations, and thus produce an absolutely pure, clean, and safe milk, the consumer ought to be prepared to pay a better price for it. 34. I am asking the question Mr. Lang asked as to who should pay for the administration of the Act?— The dairy-farmer. 35. Mr. Lang.'] I wanted to put it this way: The regulations were more for the benefit of the consumer, and I asked would it not be fairer for all to bear the expense?— T misunderstood. What I meant was that eventually the dairyman would pass on any extra cost to the consumer. 36. Hon. Mr. McNab.] Suppose the 30 per cent, who produce bad milk raised the standard of their supply as a result of the regulations, would the quality of the whole supply be improved in value?— Assuredly. 37. So that the profit from the effective working of these regulations goes to the settlers? — Yes. 38. Mr. Ohey.] You said, suppose there was expense in improving the milk-standard, the consumer should be prepared to pay more for his milk?— That is in connection with the general supply. 39. Mr. Hogg.] Can managers of dam, factories reject milk?— Nominally they can, but in practice they cannot. 40. Have you known any instances where they have done so?— Yes, I know where they have done so, and have lost their billets. Mr. Hogg: Just what I expected. Hon. Mr. McNab: It probably happened to be the chairman's milk. 41. Mr. Hogg.] On what ground do you know the milk to be rejected?— Dirty and almost thick; generally sour. 42. At the present time, if a manager knows positively that a supplier is bringing milk from extremely dirty premises or from diseased cows, can he safely reject it?—l know places where he could safely reject it. I know a few factories which are supporting their manager through thick and thin, and I know those who will not; and that is why the factory directors and the managers want an outside man to do it. 43. Would the milk from one dirty supplier injure the whole lot?— Yes, the whole of the vat into which that milk went would practically be of the same value as the bad milk that went into it. William Nicholson, Hampden, Otago, Director of the T. and P. Supply Company, Dunedin, examined. (No. 8.) Witness said he had been director of the Taieri and Peninsula Milk-supply Company for fourteen or fifteen years, and was one of the largest dairy farmers in the South Island. He then made the following statement: I have gone through these regulations, and I quite agree with them. The great majority of dairy-farmers are working up to them now, but there are a number who will not, and those who have improved their milking sheds- and yards in order to supply a firstclass article are simply carrying them on their shoulders. In connection with our company, nine or ten years ago we appointed an inspector for ourselves. His main duty was to go round the different suppliers and find out where the dirty milk was coming from. In several cases he got into trouble himself, and he also got directors and managers into trouble. Pretty well each dig-

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