BUTTER MAY REACH 120/-

Horowhenua Chronicle, 12 September 1935, Page 5

BUTTER MAY REACH 120/-

GENUINE SHORTAGE AT HOME; CHEESE RISING IN SYMPATHY. The New Zealand Producers' Cooperative Marketing Association yesterday received the following cablegram from its London office, dated September 10: Butter market is firm. New Zealand, 112 s per cwt; Danish, 1255. New Zealand cheese market is also firm; white and coloured quoted 54s per cwt.

Joseph Nathan and Co., Wellington, in view of the startling increase in the price of butter, cabled their principals, Trengrouse and Nathan, Ltd., London for their views as to the pre-' sent and future prospects. The reply was as follows: To-day's prices, 112 s (butter) and 54s (cheese), due to genuine shortage. Butter may reach 120 s, and cheese advances equal in sympathy. Expect high prices butter will affect consumption, but not for a few weeks, during which time expect maintenance present high prices, say, until middle of October, after which gradual fall. There is every indication better average butter and cheese prices this season than last. From the above cable, state Joseph Nathan and Co., it would appear that the primary producers can look for ward to the best season for many years. Consumption, of course, will be checked a little at the increased prices, but at the present time the retail price of New Zealand butter in London 'is still Is per lb. Stocks of New Zealand butter in London on September (! were 4368 tons, compared with 11,148 tons a year ago. Cheese Market Advances After being practically stationary for many months, the London cheese market too is showing signs of sharing in the general rise. This should be gratifying to cheese producers, who have been experiencing very lean times indeed; and many factories, through loss of suppliers changing over to butter, are having a hard time to keep going.

The market yesterday was 54s per cwt, with a firm tone, and in view of the sound stock position further advances are anticipated. Stocks of cheese ir London on September 6 were approximately 7100 ton 3, against 10,000 tons a year ago, and are the lowest since January, 1935. Free-on-Board Business

Butter buyers are reported to be extremely active for early shipments from New Zealand, and anything that will arrive in London during October is being eagerly sought af'pr. Purchases have been made recently at up to lljd per lb, but it is believed this price has now been exceeded; in f;.ft 12Jd was reported yesterday.