WHOLESALE PRICES

Evening Post, Volume CXXIV, Issue 57, 4 September 1937, Page 10

WHOLESALE PRICES

FIXED BY GOVERNMENT

POSITION LOCALLY

Wholesale prices for butter on the New Zealand market are fixed by Orders in Council issued last night. These orders stipulate that first grade creamery butter will be sold at Is 2£d a lb net wholesale to the retail trade, second grade creamery butter at Is ljd a lb, and whey butter at ls'ljd a lb. These prices come into force at once. •

The second grade and whey differentiations are exactly the same as those operating in the case of butter exported under the guaranteed" price.

Since May 1 control has been exercised over the marketing of butter intended for. consumption in the Wellington district, comprising roughly the lower half of the North Island. The prices ruling in this district have been adjusted to bring them into line with those now fixed for the rest of New Zealand, and this will involve an advance of Id a pound in the case of first grade, second grade and whey butters. However, some of the outside areas will be obliged to reduce prices to bring them into line with the stabilised rates.

Commenting on the new prices, the Director of Internal Marketing (Mr. F. R. Picot) stated last evening that most of the centres outside the Wellington province had advanced their butter prices in anticipation of the higher guaranteed figure for butter for export that was anticipated to be gazetted as from August 1. Prices in the Wellington controlled area had been adjusted to bring them into line with those fixed for.:the rest of New Zealand. This was a step towards total equalisation of the price charged throughout the Dominion. REGULATED MARKETING. The Minister of Marketing (the Hon. W. Nash) stated last night that plans were being prepared by the Government for the regulated marketing of butter and cheese in all parts of the Dominion. The Government's plans ■ would represent an extension of the marketing scheme' which has been in operation in the Wellington district for some months.

The Minister was unable to give any detailed information as to the scope of the Government's proposals, but stated that Mr. Picot was already engaged in working out matters of detail which would be required to give effect to the broad general policy of a regulated and stabilised market. "The scheme will involve the fixing of a price to be paid to the dairy farmer who produces butter and cheese for the local market," Mr. Nash added. "This price will be so fixed that the return to the farmer will be the same as if his production-was intended for export." -.' The Government's proposals as -a whole were designed to regulate, the entire local market so that butter and cheese would be sold throughout NewZealand in the most, economic and efficient manner and at prices which would be, fair to both the. producers and the consuming public'