THE DAIRY INDUSTRY

Dominion, Volume 11, Issue 218, 3 June 1918, Page 8

THE DAIRY INDUSTRY

NEXT SEASON'S BUTTER. In a communication to shareholders in the New Zealand Dairy Association, Mr. H. E. Paeey (managing director) says:— "It is yet too soon to attempt a forecast of the payments upon this season's but-ter-fat.' The deal which followed the Wellington .meeting, and which covers the season's exportable butter, provides for a payment of 1755. per cwt„ plus 50 •per cent; -of the profit realised by the sale of the butter. There is a difference of opinion as to the point where the division of profits should he made, and the amount to be paid to dairy companies will, to a considerable extent, be determined by the decision on this point. Personally, I believe the payment beyond 1755. should be substantial, and with others, have done the best possible to secure recognition of the point involved. The decision will materially influence butter companies' payments for butterfat this season. Because of the uncertainty herein, a final forecast is at present 'impossible. I'can, however, say that even though an.adverse decision is given on the point referred to, 'our suppliers are assured of a substantial 'bonus' payment, but such 'bonus' will be considerably larger if the decision is favourable. The large stock of. butter which we had on hand at the beginning of the present, season has been very successfully marketed, while this season's prospects .are further improved '"by the fact that in our last annual accounts provision was made for all charges which had accrued, in respect of interest, storage, etc. "The question of the disposal of next season's butter has engaged attention for: some time past. A Dominion committee of five lias been set up to carry on the negotiations, Mr. Goodfellow and I being the Auckland members of such committee. Mr. Ellison, the London representative of.the National Dairy Association, will be. associated with the committee in connection with these' negotiations." *