REDUCTION MADE.

Auckland Star, Volume LXIV, Issue 290, 8 December 1933, Page 8

REDUCTION MADE.

COLD STORAGE RATES

BUTTER AND CHEESE IN LONDON.

AUSTRALIA'S CO-OPERATION

(By Telegraph.—Press Association.)

WELLINGTON, this day.

As the result of negotiations between Mr. Farrow, manager of Hay's wharf, London, and the Australian and New Zealand boards, the New Zealand Dairy Produce Board lias completed contracts for the reduction in cold storage rates on butter and cheese at London wharves. Although the existing contract for butter had two years to run, the Hay's wharf authority agreed to cancel the remainder of the contract, and allow the reduction secured to operate from December 1, 1933.

The reduction is of sixpence per ton, and, in addition, an arrangement has been made that instead of having seven days' free storage a term of fourteen days will be allowed during the six months' November to April period, during which a larger quantity of New Zealand butter arrives.

It is largely by reason of co-operation with the Australian Board that the reduction in the butter rate has been secured, that board having undertaken to place its butter in cold storage from December 1, in the same way as the New Zealand Board is doing. With this increased quantity it has been possible to obtain the reduction agreed upon.

The cool storage rate on cheese has been a more difficult problem, and it has been impossible to secure a concession in proportion to that of butter. After prolonged negotiations a reduction of fivepence per ton was obtained.

Taking into consideration the saving made by the increased period of free storage, the total reductions represent a saving to the dairy industry of between £12,000 and £13,000 a year. Contracts are for five years -with the right of cancellation, at the end of three years.