BUTTER MARKET

Evening Post, Issue 86, 8 October 1936, Page 12

BUTTER MARKET

LOW PRICES PREDICTED

The future of the export butter market appears to be viewed with misgivings by Mr. J. W. Foley, of Foley Bros., Ltd.. Sydney, with branches in New Zealand. Mr. Foley, in addressing the Manning River Co-operative Dairy Society, New South Wales, is reported to have forecast that for the next few seasons the price o$ butter would vary from lOd to lljd. That forecast might not sound pleasant to his hearers, but as time went on, he said, they would find that it was correct. The efforts of every European country tended to increase butter and other farm production in their own areas. High prices tended to decrease consumption and the net result of high prices was that there would be plenty of butter in England. The consumption demand in any country was governed by the power of that country to buy.

Australia, Mr. Foley declared, was in the unfortunate position that it could not guarantee the standard of quality or the continuity of supply. In the months of January, February, and March they were selling 25,000 tons of butter a week, but in August that had dropped to 4000 tons. Half of the butter sent from Australia was not good table butter. The papers urged them to change their marketing methods and all would be right. The root of their trouble was in the quality and supply, and not in marketing. It was on the farm where the remedy had to be applied. They wanted better pasture improvement, better herds, and more herd testing. Denmark gave the British market the standard of butter, and New Zealand .had almost approached them. Almost every Empire country had set out to achieve that, except Australia. Producers should pay as much attention to farm management as they did to marketing, and if they did that prosperity would be ahead of them.