The Butter Market

Manawatu Times, Volume LV, Issue 7412, 20 December 1930, Page 2

The Butter Market

NEW ZEALAND PRODUCT AT HOME MR. 0. G. C. DERMER’S VIEWS Discussing both the improvement in butter prices and the disposal of the product on the London market, Mr C. G. C. Dernier, chairman of the Cheltenham Co-operative Dairy Company, has the following to say in his circular to suppliers, issued yesterday: — "In the company’s report last mouth, it was suggested that the ‘ darkest hour comes before the dawn.’ The improvement in the market for butter last week decidedly suggests that ‘dawn’ is breaking towards better' trade. Increased consumption appears to be now definitely established' and apparently the low retail prices are making themselves felt. This increased consumption should take care of the larger volume of butter which will be going into England during the next two or three months, and it is quite possible that a gradual improvement in prices may take place.

"I am, however, convinced that unless and until New Zealand butter can be bought by the public under its own name ar. i reputation and without misrepresentation, it will become more and more difficult, if not impossible, to market the rapidly increasing quantities at a true economic price. Under the general conditions and methods of sale, the bulk of New Zealand butter loses its identity before it reaches the consumer, thereby the producer is denied the goodwill and price -which his butter merits. My observations convince mo that what is required in England is that a ‘marking order’ should be applied to all imported butters and that a mark as to country of origin should be applied at the time of sale or at the time of exposure for sale. In the great majority of cases to-day when butter is sold retail the public do not know the origin of the butter they are buying but they are actually misled—■innocently or intentionally matters not—as to whether or not the butter they aro purchasing is Empire made or not. At the present time foreign butters may be blended with English or Colonial butter, then packeted under a trade name often associated with some English country district, and the implication causes the public to believe they are buying an Empire product, whereas the article may include butter from foreign countries, Thus the benefit of the goodwill which is growing towards Empire trade and demand for Empire produce is at present in a large mcasuro lost. ‘‘The method of selling the company’s butter in pound pats wrapped in ‘Pakeha’ labels is overcoming the above position as far as our own butter is concerned. I have pleasure in reporting that the sale of ‘Pakeha’ patted butter in England is developing rapidly with the result that there will be a very large increaso on last year’s figures; probably 400 per cent increase."