COLD-STORING FOR RESERVE PRICES.

Evening Post, Volume CXII, Issue 91, 14 October 1926, Page 13

COLD-STORING FOR RESERVE PRICES.

The following remarks by a writer in the Glasgow "Herald" are worth considering, though they may seom to imply a lack of thought on the revolutionary winter dairying proposal:— "We aro not surprised that the Imperial Economic Committee should devote an important part of its report to the advent and tho policy of the control boards now operating both in Australia and in New Zealand under Acts of Parliament. While the Committee recognise that these control boards may serve a useful purpose, alike to tho producers and the consumers of Ernpiro produce, Us members do not shut their eyes to potential dangers. Regarding these dangers tho report is commendably frank. It must bo recogulsed that tho policy of tho boards up till now has tended to engender fears among traders. TheNew Zealand control board has attempted to achieve continuity in butter marketing, not by revolutionising the system, of milk porductiou so as to provido a wlntor as well as a summer flow, but by cold-storing parts of Its shipments on arrival in thi3 country. "To follow a policy of holding up supplies of their butter for a 'reserve price,' as has. boon attempted at certain times by New Zealand interests, is described by the Committee as 'venturing upon a very dangerous experiment in mass speculation.' We doubt, however, if any reproof of this character will appeal so. much to tho New Zealand producers' leaders as tho presentation of the plain consequences of their action. When butter is cold-stored for any length of time in order to make a market appearance of continuity of supply, all that is likely to bo achieved is continuity of stalenoss. Tho New Zealand supply, in other words, is in danger of earning a bad .mime for itself when, if it were offered in the condition in which it arrived, it would appeal to tho palate of the most fastidious consumer. There is only one way of achieving continuity of fresli supplies. That is tho Danish way of producing milk all tho year round, and adopting a factory form of dairy farming. Until New Zealand is prepared to emulate this policy she ought to do nothing which tends to projudico the quality reputation of her produce whicli is deservedly high." In tho matter of holding butter for reservo prices, the London cablegrams apeak for themselves.