DAIRYING INDUSTRY

Dominion, Volume 21, Issue 119, 17 February 1928, Page 10

DAIRYING INDUSTRY

PROSPECTS FOR THE SEASON DRY WEATHER REDUCES PRODUCTION LONDON MARKET AND STATISTICAL REVIEW Until a few weeks ago it was anticipated that the present dairying season would be a record one from the production point of view. The long spell of dry weather, however, has adversely affected production, and unless copious rains fall soon the position will rapidly become worse, and the effect will be cumulative as the season advances. The weather situation in the Dominion, coupled with the fact that stocks in the United Kingdom were light, have firmed the London market.

Discussing the position with a Dominion representative yesterday. Mr. W. M. Singleton, Director of the Dairy Division of the Department of Agriculture, said the dry weather had undoubtedly brought about a serious decline in production, not in any one district alone, but practically throughout the Dominion. Nevertheless, based ou the experience of past seasons, there was still ground for hope that the position would be retrieved if the autumn weather was normal and good rains fell shortly. For example, during the season of 1923-24 the butler-fat equivalent of the gradings from August to the end of March was 3.6 per cent, below the average percentage for eight seasons. Nearly 88 per cent, of the butter season and S2I- per cent, of the cheese season was passed in the end of March. Owing, however, to the splendid autumn conditions of the 1923-24 season, the deficit had been practically wiped out by the end of June. Last season the 8.4 per cent, increase over the 1925-26' season from August to the end of March had risen to 10.47 per conf bv the end of July. A good deal therefore depended upon llm weather conditions during the next few months. Butter Market Reviewed. Au interesting report on the London market conditions is supplied by Messrs. A. H. Turnbull and Co., who state that the following are the fop London quotations for the las tsix weeks.

“From the above figures.” the firm continues, “it will bo seen that the butter market has fluctuated considerably during the month. The fact that heavy shipments were afloat, and the report of increased gradings in New Zealand and Australia, had the effect of depressing the market very considerably, and altl ough finest butter was sold as low as 1525., speculators did not show any interest. The change was brought about by the news of continue! dry weather in New Zealand, and the fact that stocks in the United Kingdom were very light, with anticipated serious decrease in February manufacture. These factors have caused an active demand, and the market has. firmed rapidly, present quotations being from IG2s. to 1665. for salted butter. The position is now strong, and a good market throughout February is anticipated. “There has been a good demand for forward shipments during February and March, and buyers are prepared to pay as high as Is. lid. per lb. f.o.b. “ The Cheese Market. “Cheese prices fluctuated two or three shillings during the month, . and .there has been a steady demand, in spite of the fact of the very heavy shipments of cheese arriving and afloat Messrs. W. Weddel and Co., Ltd., cable that they anticipate a good market for cheese during February, and this, is borne out by forward buyers operating freely at 8!d. f.0.b., equal to 935. on the market. "Tlie Dominion grading figures show that, although there is a slight increase in both butter and cheese for January gradings, this by no means, compares with the increase in production during November and December. Unless, copious rain falls very soon in the dairying districts, it is apparent that our February gradings will be very much lower, and our production from now on will probably fall far below last season’s figures. “Most interesting, however, are the figures showing the stocks of buffer and Cheese in New Zealand, as at January 31, ns compared with last season:—

Big Increase in Shipments. Tn its latest circular io dairy compantho Dairy Produce Board states I

that the total shipments of I utter from New Zealand from August 1, 1927, to January 31, 1928. were 1,811,196 boxes, compared with 1,299,627 boxes for the corresponding period of last season, an increase of 511,869 boxes. The shipments of butter from the Dominion by vessels sailing finally during January were

Of the butter shipment in January to the United Kingdom the position at time of shipment twas that 93.19 per cent, was consigned, and 6.81 per cent, was sold f.o.b. Cheese Exports Increase. The total shipments of cheese from New Zealand from August 1, 1927, to January 31, 1928, were 475,776 crates, compared with 425,073 crates for the corresponding period of last season, an increase of 50,703 crates. The shipments of cheese during January were as follow:—

Of the cheese shipped in January to the United Kingdom the position at time of shipments was that 54.55 per cent, was consigned, and 45 45 pci cent, was sold f.o.b. Australian and Argentine Shipments. The total shipments from Australia during January, 1925, were 201,440 boxes of butter, and 599 tons of cheese, compared with 144,600 boxes of butter, and 79 tons of cheese during January, 1927, an increase of 5G.540 boxes of butter, and 520 tons of cheese. The total shipments from Australia from August 1, 1927, to January 31, 1928, were 699,640 boxes of butter, and 1501 tons of cheese, compared with 670,880 boxes of butter, and 456 tons of cheese for the corresponding period of 1926-27, an increase of 28,760 boxes of butter, and 1045 tons of cheese. From the Argentine 130.000 boxes of butter were exported during January, 1928. The shipments of butter for the period. August 1, 1927. to January 31, 1928, totalled 430,000 boxes, compared with 587,090 boxes for the corresponding period of 1926-27, a decrease of 157,000 boxes.

Britain’s Suppliers. The imports of butter into Great Britain from all sources for the month of January afford the following comparison with'previous years:—

Danish butler Jan. 5 Jan. 13 Jan. 20 184s. 176s. 174s. N.Z. unsaited 168s. 162s. 160s. . N.Z. salted 164s. 158s. 154s. N.Z. cheese, white 94s. 91s. 91s. N.Z. cheese, col. 94s. 91s. 91s. Jan. 28 Feb. 4 Feb. 11 Danish butter 172s. 180s. 184s. N.Z. unsaited 160s. 168s. 170s. N.Z. salted 166s. 164s. 166s. N.Z. cheese, white 90s. 93s. 93s. N.Z. cheese, col. 90s. 93s. 93s.

1926. tons. 1927. 1928. tons. tons. Butter graded January 8,600 10,058 10,368 Cheese graded 6 months ending January .31 41,350 45,673 51,356 Butter in store. Jan. 31 9.050 12,500 5,388 Cheese graded Jan. 10,400 10.973 11,473 Che sc graded 6 months ending Jan. 31 43.850 44,812 46,582 Cheese in store, Jan. 31 9,400 12,000 7,997

London Jan., 1928. boxen . 3'8.247 Jan., 1927. boxes 205.175 West Coast U.K . 33,215 45,397 Vancouver 26/&J 14.800 Halifax : Now York, option London. . 30.200 25,116 13,279 15.999 Panama — Honolulu . 1.901 1.475 Australia 3.506 & 9.887 2,680 pkgs. Other countries 471 116 Total 477.299 517,965

London Jan., 1928. crates 130,438 Jan., 1927. crates 114,693 West Coast U.K 25,428 17,007 Australia 280 381 Ollier countries Total 156,146 132,081

From 1928 t927 1926 (cwt.) (cwt.) (cwt.) Russia 2,061 —- —— Finland 14,109 12,948 14,077 Sweden 15,028 13.782 11,341 Denmark 172,610 151,769 148,023 Netherlands 3,585 3,108 3,804 France 1.644 — 455 United States 986 — —• Argentine 59.891 77.377 75.586 Irish Free State ... 7,382 11,706 6,467 Australia 71.584 63,796 137,900 New Zealand 174,912 139,428 267,315 Canada — 3 271 Other countries 3,162 1,824 6.912 •- • 526,954 475,738 672,651 The imports of cheese into Great Britnin from all sources for January were as follows: — From 1928 1927 1926 (cwt.) (cwt.) (cwt.) Netherlands 17.936 19,050 15,358 Italy United States 9,917 134 12,650 57 9,898 753 Australia 1,834 3.558 9,965 New Zealand 187.565 208,646 259,275 Canada Other countries 3,279 3,512 31,023 3,376 48,379 4,133 — — ' — ■ ■ 224.177 278,369 347.761 London Prices. Tho Dairy Board su pplies the following comparison of London prices :— BUTTER. ,Jan., 1928 Jan., 1927 First week , 160464s. 1" 2-174s. Second week . 154-158S. 17Z-174S. Third week .. 151454s. 172474s. Fourth week . 152456s. 172-1748. CHEESE. 93-94s. First week 93-9-ls. Second week 90-919. 94-95s. Third week 90-91S. 94-95s. Fourth week 88-90S. 94-95s.