INCREASE IN BUTTERFAT PRICES TO OPERATE FROM JUNE 1

Gisborne Herald, Volume LXXVI, Issue 22931, 27 April 1949, Page 8

INCREASE IN BUTTERFAT PRICES TO OPERATE FROM JUNE 1

(P.A.) WELLINGTON, April 26 An increase in the guaranteed nrice for butterfat from June 1 next was announced in a statement by the chairman of the New Zealand Dairv Products Marketing Commission. Mr. W. Marshall, on Saturday, as follows:

The New Zealand Dairy Products Marketing Commission, having had regard to the provisions of section 16 of the Dairy Products Marketing Commission Act'and the recent pronouncement bv the Arbitration Court of new standard rates of wages, have fixed the prices to be paid in respect of butter and cheese acouired bv it and manufactured in New Zealand from June 1, 1949, to July .21, 1949. as follows: Purchase Prices.—

It is estimated that these prices will enable efficient dairy factory companies to pay to suppliers 28.14 Gd per lb. for butterfat for butter manufacture and 30.146 d per lb. butterfat for cheese manufacture. The structure of the guaranteed, price on June 1, 1949. will become:

The above price represents an increase for labour reward in terms of butterfat of 1.395 d on the amount paid for the period August 1, 1948. to May 31. 1949. The increase in labour reward will provide for an additional 11/8 per wek per adult male unit of farm labour. The total labour reward equivalent in a farm worker’s wages, including the allowance for board and lodging, then becomes £6 11s 8d per week, plus 15 per cent, which amounts to 19s 9d. allowed in consideration of the fact that work is done at the week-end and on holidays as part of the normal week. The altered labour reward will involve an increase in the farm worker’s vDages and this matter is being referred to the Minister of Labour for his consideration and submission to the parties concerned

The new guaranteed price for June and July will mean that the commission will for that period, be buying butter at a cost which will exceed the price being paid by the United Kingdom Ministry of Food for New Zealand butter by approximately 4s Gd per cwt.

Creamery Butter Finest grade, 94 points and over .. .. 25.8G8T d per lb. Finest grade. 93 to 931points 25.7437ci per lb. (basic price). First grade, 92 to 921 points 25.C812d per lb. First grade, 90 to 91J points 25.4937d per lb. Second grade, 24.9937d per lb. Whey Butter First grade. .. .. 24.7437d per lb. Second grade, .. .. 24.2437d per lb. Cheese Finest grade, 94 points and over 14.20485d per lb. Finest grade, 93 to 931 points. 14.173Gd per lb. First grade, 92 to 92 \ points 14.0480d per lb. (basic price.) First grade, 91 to 91* points 13.9861 d per lb. Second grade, .. .. 13.798Gd per lb.

Interest on capital Farm working and 3.240d per lb. butterfat maintenance costs, 10.179d per lb. Labour reward .. .. 16.267d per lb. Total Less standard allowance 29.686d per lb. for pigs .. .. 1.54d per lb. Net total. .. .. 28.146d per lb.