EXPORTED BUTTER

Dominion, Volume 11, Issue 259, 20 July 1918, Page 10

EXPORTED BUTTER

PRODUCERS AND THE MINISTER

THE MEETING ON TUESDAY

.The objost of the conference next Tuesday; between the Hon. D. H. Giithric, as Minister': in:' Charge of Imperial Suplilies, and.the Dominion Butter Committee, ■ representing tho butter producers of the country, is to make some arrangement, if possible, for the variation.of the xule now existing for the distribution of profits made by the re-sulo of New Zealand butter in London. This butter is requisitioned in New Zenlniid by the Imperial authorities, and a great deal of it is sold by the Imperial authorities in England for civilian consumption. The rule now is that the profits made by this. re-salo of butter are distributed by the Imperial authorities retaining 50 por cent., and giving 50 por cent, to the sellers of the butter in this country, "pro rata," according to tho amount of butter that- they have sold for export. By this rule the New Zcalniid Government, is bound, and the rule cannot be varieu excopkby negotiations with the Imperial Government, after agreement with the butter producers here.

It is presumed that all that the Imperial authorities 'will be concerned about will be the equal division of the profits between themselves and. the people in Kew Zealand. The point in which the butler men aro interested 'for -the time being is the distribution of the New ZeaJnnd share of the profits. Under the existing rule the profits go to the sellers only of butter for export, and the suppliers of the local market get nothing from the distribution. These suppliers

....u uieiriuucion. These suppii >f tlie local market are compelled to a* epf. Is. 5<L per lb. wholesale, which i. nuch less than the equivalent of the jondon price, and it is contended by the mtter producers that the factories supplying the loecl mnrket should not be penalised for doing it. The cheese sellers are said to be well iatisficd with the prices they have obtain.-, ■d, or are to obtain, for their product text season, but the butter-makers are sol so well pleased. They will discuss his matter with Iho Minister at the neeting. It has often been said that if ho.price of cheese should at any time Jtcoine higher than that for bulter, havng regard to the cost of manufacture, all :lio butter factories would at once begin lo make cheese, but , in practice this is not the case. If cheese is to be the product all the milk lias to be delivered at (he factory, which means that' there must be\a considerable'supply of milk within a limited area, and that there must be good roads or other communication with the factoryi In districts v;here these conditions do not exist there nre depots, called creameries, at which milk is separated, aud the cream, <i product of much ljiss bulk, is sent into the central factor}-. These producers are going to ask that they be not penalised, nnd that thcy.be given a prolt equal to that realised by the.'cheese people. No doubt the scheme will, bo extended, if it eliould be adopted, to cover such other milk products as dried milk and conCensed milk.. ; • ■ : .

The meeting will also discuss the question of the price to be paid for butter, should the Ne-.v ■-Zealand Government again the output on behalf of the Imperial Government. They are reported to be dissatisfied with the price paid last year, 1575. f.0.b., and it is generally Understood, that they will ask for more.