BUTTER IN LONDON.

Dominion, Volume 1, Issue 139, 6 March 1908, Page 2

BUTTER IN LONDON.

WHY THE PIUOE WENT UP. . ' Bush ikes in Australia ;• were,., it' -seems, largely responsible, for. the recently excited. 'condition- of the London butter'market.' The' following • ••reference, in Messrs. , W., Wcddcll and Co. s market report, dated January' 24, will be read with interest " The demand for Australian and,. New Zealand butter continues firm, and those, Liverpool sellers who last week wore pressing sales on the London market; by a .reduction in prices are now holding out for. full values. 'The cables conveying roports of bush' fives' in Australia and New Zealand, with extreme: high temperatures, have caused the trade: to recognise the fact. that supplies from both sources will not only be less in htilk, but that shipments will cease sooner than: was ex-, pected. Bush fires are' the result of very dry and hot'weather, which always seriously diminishes'the flow of milk, and consequently the supply of butter and cheese is reduced. /Tho shipments this week from Australia consist of 30)000 boxes in. the Victoria aiid' GoOO in the Naming. . -.The next vessel leaving •New Zealand sails in' about •seven days. The imports of; colonial butter last .week' were' 54,628cwt., against 56,552cwt. from all other - sources, arid' for (Tie last,three'weeks they have averaged more tlian thb Danish. Theso figures show how largely tlio Home marketis dependent on supplies from Australasia." •'.;. ANOTHER REASON In an, earlier' report, dated January '17, Messrs. Woddell and Co. said.:—. . "The great .shortage of. butter below the '•choicest'., quality is/producing a peculiar and most unusual position, I .viz.;'butter' 10s. or more per ewt. in value below 'choicest' in normal times is 'bringing within; 2s- to 3s. per ewt. of the price of ' choicest' today,, In. consequence of this strange situation, Australian butter Of '. second , grade quality , has approached the price of first grade within Is. or 2s. per ewt.,' which i*> closer than ever previously experienced, and ' choicest' first grade 'Australian l is selling' at virtually the same figures as New Zealand. Siberian is fetching 112s. to 114s. In fact, all secondary 7 butters ' are bringing the 'prices'.'of- primary quality. Tho'..m'arkei is ■ consequently very strong, with prices c* ''choicest' at last week's figures, but lower qualities have all 'drawn lip closer to 'choicost.' Shipments this week from Aus-' . tralia amount to only 16,600 boxes, which are in the Orubn. Cables from Australia advise that.tlio previous estimated, sliortago of 7500 tons for the season must now be ■ raised by an additional 2500 tons; so that the current .estimate is for a dofioioncy of 10,000 tons, which is equal to 400,000 boxos less than last year. Arrivals from Australia this week t0ta1.68,900 boxes.. Next week the arrivals, will be about 41,500 boxes, and for the following week only 26,250 boxes. It is now possible to estimate very approximately the total arrivals of Australian and New Zealand butters during February, which i will be as follow:—Australia, 137,500 boxes ] against 203,500 last year; and from New t Zealand, 02,000 boxes, against 122,000 last i year,' making a total shortage of 06,000 u >«ses J which is ea,ual to 3310 boses a day," -