THE BUTTER COLLAPSE.

Manawatu Times, Volume XLVI, Issue 2006, 23 December 1921, Page 5

THE BUTTER COLLAPSE.

TO PREVENT FURTHER SLUMP. On Wednesday the secretary of the New Zealand Co-operative Dairy Company (Mr T. L. Hames) stated that Mr William Goodfellow, managing director of the company (who is now in England), had cabled that endeavours were being made by the representatives of the New Zealand and Australian producers, now in London, to formulate a scheme to prevent' any further slump. The matter, said Mr Hames, was also being dealt with at this end, while consideration was being given to it by the Australian and New Zealand Governments with a view to co-operating with producers, so as to prevent the disposal of Imperial Government stocks in such a way as to completely break the market. No doubt the New Zealand Government would give most careful consideration to the matter, while Mr Goodfellow and others were doing their utmost at the other end. It was hoped that some satisfactory arrangement would be made in the near future, and in all probability a conference of butter producers would be held in the Dominion early in the New Year. Mr Hames mentioned that the Imperial Government now held over 20,000 tons of butter, nearly half of which, he understood, was New Zealand make. Were this of good quality and fresh, it would not take the market long to absorb it at reasonable prices. Discussing advance payments for December, Mr Hames said nothing definite could be said at present. The position was critical, and unless there tvas an improved tonf in the market, some temporary reduction in advances for butter-fat might be necessary. But if the present difficulty could be overcome, the butter market would be fairly satisfactory with a return to normal conditions.