IS ALL WELL?

Evening Post, Volume CXIII, Issue 32, 8 February 1927, Page 11

IS ALL WELL?

THE BUTTER MARKET. "Evening Post," Bth February. .troni private cablegrams received from this week grave concern is- said to be felt there at the piling up of-stocks ot butter. The quantities held' in store 2snnnnPK rtea Ht 13? 250,000 and 280,000 boxes. Under the Control Board ™ere are said to be between 219,000 and 220,000 boxes, and in addition 60,000 boxes not under control. Another estimate is 250,000 boxes held. The Dairy Board's comment on the holding back "at supplies is as follows:—..' . ' '..'.-. Holding butter prices January enabled quick clearance all cold stored at reasonable prices. Clearance now comp'let■i ?• most desirable many reasons, including board's advertising programme. Process clearing-stored has aifected sales '■ Fernleaf brand. ■ "Fernleaf" brand is the'property of the board. The New Zealand- butter now in sight, which is accounted for as - far as can be ascertained, is as follows:— „ . ' , .-.'.. Boxes, ileld Ijondon, approx. '„...... 220,000 Due London to-day, s.s. Otaki .. 64,40 a Afloat 350,403 Loading in New Zealand .' 57,611 Stocks in store in New Zealand, 31st January ■ - ; 499,120 Boxes 1,191,530 In the .qiove figures for butter afloat are included 25,116 boxes sold in Halifax, Nova Scotia, also 16,000 shipped New York ontion London, which, may or may not have been' carried on to London. Then included in the loading .in ,New. Zealand figures will be 20,000 boxes that were taken from the total in the grading stores in the Dominion, and will therefore reduce the stocks held in those stores by that amount. In any case there is roughly 1,400,000 boxes of New Zealand butter to be dis.posed of, and this quantity is considered by some in the trade to be overwhelmingly ■largo to be in the best interests of.the industry in particular, and the Dominion as a whole. ..'.".. The Director of the Dairy Division oi the Department of Agriculture reports today the following figures relative .to produce graded for export:— Quantities in grading stores in the Dominion on 31sfc anuary, as furnished by the Department of-Agriculture were as follow: — ...-.■ • ■ January, January, , - .•'-■: „'. .M 927."..-' 1926. . Tons; Tons. Butter ...; 12,478 '. 9070 - Cheese .......... 11,989 ' .9389. l Private cablegi-ams received in Welling-' ton yesterday • and to-day were to the effect that there, was a rise in the week in Danish butter, but that New Zealand was unaffected. Although the demand for the lower grades was steady the higher grades were neglected. It was also added: "Owing to buyers' antagonism to Control Board's policy sales New Zealand very slow." Further, "no. speculative interest wha/jyer in New Zealand butter." Mail and cable, advices have also been received showing that Australian production was heavy and would be so from now oh to end of the season. It has been pointed out to "The Post" that the institution of the "finest" grade has directed greater attention being paid by buyers to "first" grade butter, as the former is sold at 2s per cwt premium. "Everyone is rushing first grade," was added, to the. statement, and "finest" ; is being left on the importers' hands. ' An instance-of holding butter was furnished with documentary evidence. A cablegram had been received to-day showing a realisation for butter arriving London _ last February, but held for a rise, making 168s per cwt to-day as against 140s the value of it a year ago. The cost of holding for twelve" months would be met with possibly a few pence per cwt over, y price realised to-day than would have been obtainable a year ago. But the practice .was not recommended .because, although- the quality of.the .butter .might not-have deteriorated, it was no recommendation to'sell'- New" Zealand butter in London twelve months', after its' arrival there. ■ ■