BUTTER IN THE EAST.

Auckland Star, Volume LXIII, Issue 138, 13 June 1932, Page 4

BUTTER IN THE EAST.

DOMINION'S PENETRATION. AFFECTS NATIVE INDUSTRY. SOME GLARING MISSTATEMENTS. Some extraordinary statements are contained in an article contributed by Jfrank E. Taylor ill the "Daily Gleaner," Kingston, Jamaica. The article, which was published on May 6, states, inter alia:— "The native butter industry is having a pretty bad time just now, owing to the competition of New Zealand butter, which 1 understand comes here with a subsidy of 1/ per lb.

"Not only that, but strong representation* have been made to me that native butter is being boycotted by local retailers, simply because the New Zealand variety gives them a much bigger profit. "As this is a subject which vitally concerns both the big pen-keeper and the small settler, with his one cow, it is wise that we should get a correct viewpoint of the whole situation.

"In the first place, the subsidy on New Zealand butter makes it possible for it to be sold here at something like 1/2 per lb. The retailers, however, apparently clap on some extra profit, with the result that the imported butter is generally sold at anything from 1/8 to 2/ per lb. The extra profit of Gd or 10d, of course, coming out of the pockets of the consumer. "Local dairy farmers and butter factories, with no subsidy to help them, find it impossible to produce butter at lose •than 1/9 per lb—that in, of course, if the small cattle owner is to got a fair price for his milk, the present rate being something like twopence a quart.

"This butter has to sell in competition with the Xcw Zealand variety at 2/ per Ib. Consequently the storekeeper generally turns up his nose at a threepence profit, when he can get Od or 10d by selling imported butter. "This naturally means that the local butter industry, which in capable of supplying the whole island, is being steadily crushed out of business. In fact, things are so .bad that a prominent agriculturist told me the other day that the local dairy business—including the hundreds of small settlers who supply milk to the factories — will be as dead as mutton in twelve months' time, unless something is done to remedy the niaittcr.

"This state of affairs is mainly due to the indifference of the consumer. Apparently he has no objection in passing on inflated profits to the storekeeper for

"dead" butter which can hardly possess the vitamin content of freshly churned local butter.

"I have never analysed the imported butter, but it is almost bound to contain a preservative of some kind—possibly benzonate or soda or boric acid.

"It has been suggested that the Government should give a subsidy of say 3d per 11) on local butter, in order that the storekeeper would have a better profit.

"But personally I think the best way would be for us to have a little more patriotism for the island—a greater regard for the fact that our whole future depends solely on the development of local industries—and to ask stificifically for native butter on every occasion.

"Not only for our own health's sake, but to give the country folk a decent chance to earn a living, to keep money circulating in the island instead of allowing it to go abroad, and to fortify yet another native industry that in better circumstances would give benefit to thousands."

The writer's efforts to give his readers "n correct viewpoint of the whole situation" have been signally unfortunate. The New Zealand producer receives no subsidy on his exports .and New Zealand butter contains no preservative.