DAIRY PRODUCE

Evening Post, Volume CII, Issue 35, 10 August 1921, Page 5

DAIRY PRODUCE

FUTURE AND PRICES

AUSTRALIAN BUTTER OUTPUT.

Two. important meetings directly ooih nected with the dairying industry are' being held in Wellington to-day; one relates to the price for butter for cqnsump: tion in New Zealand after.3lst August; the other is primarily corcerned ilia \ freight rates and shipping services for the overseas carriage of butter > and cheese. The future of the export mar--1 ket, however,' < cannot he. left' out 06 account in the consideration of both questions. 1, With respect to butter, it is, novr practically on a free market, the. Imperial Government's purchase having ended. Cheese is likewise free to bo disposed of by producers how, when, or whereHhey will, and to the best advantage. : In-April last the prospects were foe very much lower prices for New Zealand butter than 2s 6d per pound f.o.b. Neve Zealand ports, the Imperial Gov,ernhi»rifc price; and-'l^d per pound, for cheese, the average ,price realised last' season. Since then the.great northern drought"- 1 has made a scarcity of all milk in Europe and Canada. The market quotations by the High Comriiissioner on 20th May last were as follow:— New* Zealand butter. Is Bid to Is 9idper lb for ; .finest quality; New Zealand cheese, coloured, Is 3d to Is 3id perlb.-To-day (6th.'August) the High Commissioner quotes: New Zealand Bret and second-grade, 2s 3j|d- to 3s. <W per lb-; cheese. Is 3d to Is 3d por lb. Th.» detailed quotations as at 6th April arenas follow:— , ; v . o ;;.. - BjUter.—Market remains quiet; ''pipy mand cheeked by high'prices, which, however,, expected to 'be maintained for a long' time to come. English: Vwy, little available at from 250s to. 326s per cwt (28 2?d to 2s. 3Jd per lb), Danish: 1 Easier; 6th August, 258s to 2<J2s per cwt. (2s 3£d to 2s 4d per lb). Nor Zealand: First and second grade, 6th Au«-. ust, 269s to 2625-per cwt,(2s 33d.to.Js. 4d per lb). Australian:- Demand quieteiv- ; (I) 1 First grade salted, (2) salted firrt. and second grade together,; (3),nnsfltt.od first and second grade together; 6th Aufcuet(l) 2425' to 244e per cwt (2e lid "to: 2s'.' 2Jd perlb); (3) 339s to Mh wr «w;k (2s lid to 2s Ui pep lb) • • (3) ~2A4» ■. to • 24& per cwt (2s 2d tOi 2s 2ja pw lb).' Argentine: 6th August, 214s to 228» per', cwt (Is Ud ,to^ 2s Oid per- lb), Ftm. < Argentine: 6.th Auguet, 214 a to 884s p«r •owt (Is lid to 2» per lb). Govern-, ment, ex-store price i 6th tb'U'tk August: -New Zealand, 257» per owt (2s.3£d: per lb); Australian, 2403 per cwt ■(2slid per lb)'j Argentine, 2855. pw cwt.'(2s ". Per lb). ■'_■ .... ....... ;;•..., ".'..T... Cheese.—Market quiet but firm:-Eng- ' lish .in short supply. Finest farmer*;- - 145s to 150 a per cwt (Is 3JCtO& 4d S" lb). Canadian: White, 132g, 138s p«owt (Is 2d, Is 2|d per lb) • coloured, M2s>---136s per cwt (Is 2d,.1s 2id peilb).'New.".'. Zealand:, 6th August, .white, 1325, 140s; per owt (Is 2d, Is 3d per lh); coloured, • 130s, 136b par cwt (Is 2d, Is 2£d per lb). Australian: 6th; August, white, -128s, 1325. per owt (Is ljcl, Is 2d per lb); coloured, 119s ,6d, 126s per cwt (Is Oid.t Js lad Per W>- ''.-.■* "S-.. THE MARKET OUTLOOK. Producers are^-inclihed to be very of- > timistic on the" value of "the market, especially for butter. Early shipments should command high pric'eVf but there is a significant remark in the..High C0m...-, miseioner's cable:—"Demand s' checked ' by high prices, which, however, expected to be' maintained for,a long time to "'•■ come." There is alwayg.the check to consumptiofr exerted by high prices to be taken into account; hut "for a long time to come" is capable of many inter- . pretalipns.' Bully 2s ,per pound is, said;. 1' to be the *i?alue of new season's New ■ Zealand butter for shipment" to'this end..." of October; and cheese is available at'Js per pound for. the whole season, Although tlial is the. producer's idea..of■ft*.." value.. ! . •":■■'• New Zealand's chief competitor, in/y/ cheese, is Canada, and that 'Dominion is _ ( reported -to have experienced exceptionally dry,weather, with consequent diminished output of milk. AustraUVis a formidable competitor with New Zealand in respect, to butter. Its quality,: is not so ,high as. tha,i from this owntrys but that'jfact has 1 been'a'source of weakness.-,/ to New Zealand when it comes to!mar-, keting ,the produce in abnormal industrial trade . conditions such as are'prevailing. . THE NORTHERN DROUGHT. The unfortunate drought conditions 'in the Northern Hemisphere have undoubtedly enabled the Imperial Government < to substantially reduce its losses made on purchases of New Zealand and Australian butter,>-ahd have also, swept out of the way accumulations in stores that would have menaced the future of the' New Zealand and Australian new make* of butter had tho Northern production been as heavy as. usual , • ' Australian production, howmier, is likely to be very heavy this year. Fears of an export value equivalent to 1« 6jd per lb f.o.b. for butter for August-Sop--tember shipment were experienced a few weeks- back in Victoria, and, in point of fact, sellers in Adelaide a fewxdays ago offered butter of the current, seoson'B make at Is 6d per lb f.o.b. Adelaide, * This action caused perturbation in th» famous butler-produring districts of Victoria at the time, and as late as 36th . July Melbourne woe importing butter at Is 7d to Is 8d for domestic consumption^ Latest repqtfs by mail from Queensland show that the winter production has esiseeded all records, nnd that 950Q boses a.- week arc already available for export 'c after meeting all local requirements." ' NeAv South Wales has experienced seve-ve losses in the North Coast dairying dis- 1 tricts from floods, and Pr&scott, the well-' known authority, reports that "it is ex-.-pected that the quantity of .butter m?Jitifncfcurfjd in the near future will bp at a, ;;.; minimum." Victorian supplies were in- , creasing, and by thi,s time should be *elf- ■■ supporting and will have an ea.rly sur- " plus: Queensland is already exporting. ; to London, the Westmo-re'land- taking- • 750 D boxes. , , .... -. -.'.'. The New Zealand butter producer for" export will require to keep _a close watch;- ■ on the Australian production and ex- - port, especially in view of experience... during the "requisition"'years, 'when.:'. butter was sold at prices much below - what New Zealand producers considered it was worth at the time. Canada, as a cheese competitor,";,iß': still a' far from certain quantity. The unexpected may hiippeu there. In England and on the Continent-, if the early sum-■■■••■, nier has been exceptionally dry, it ,uis-' possible that production may be extend- ■ ed beyond the usual period. The combin-1 cdmako of cl.iceso -in. England, Wales, ■ ■and Scotland is exceptionally he^vy lit normal times, and although ■■ exact' sty tistics of outplil live not available, thY cheese passing. from, the farm '.directly-, into the market place, or to distributor^ it is a factor that the New- Zealand PtO» ducer caniiot afford to ignore. "'.' '.'":.