EXPORT BUTTER PRICE.

Northern Advocate, 20 October 1920, Page 4

EXPORT BUTTER PRICE.

AUCKLAND PROVINCIAL.; ATTI-

TUDE,

IMPERIAL OFFER EXPLAINED

, Mention was 'made in yesterday's I "Advocate"-of the iit:titudo : b'f cdn- ; ditional exception to the Imperial Go- | veiin-ment's butter purchase 'offer as [-adopted by a conference of ; dairy companies' representatives in the Auckland province, and the South Auckland Dairy Association's decision to break "off negotiations as from next Friday.

The first offer made by the Imperial Government covered the period August 1, 1920, to March 31, 1921, and the

price was 240s per cwt. fio.h. for butter graded 90 points, with Is per cwt; additional for each point up to 95, and Is per cwt. less f point below 90.

The next offer was for the period up to January 31, 1921, the price being £14 per cwt. (or 2s tsd per lb.) f.o.b. for butter .graded 88 points,; with Is Gd por cwit. less for each point below 88. Subsequently the period mentioned in this offer'" was'''extended' to March 31, Imperial Government "agreed to raise no .objection to the completion of contracts made prior to August 21 with* "United States and Canadian, buyers. "Subject to unforeseen contingencies/ it was added, "a free market is contemplated in respect to. the exportable surplus after; March 31.'' This offer was agreed to by the Auckland dairy companies subject to '' ;i free and unrestricted market in the United Kingdota being granted after March 31." .

Presumably the indefinite'nature of the Imperial offer in respect to the free market "contemplated" after March 31, is the rock upon which the negotiations have now struck. Whether or not the Imperial Grovernmeiit will give the guarantee now demanded is only a matter of conjecture in the absence of an official pronouncement.

As the Auckland Province-"produces the greatest portion of the butter output of New Zealand, the decision arrived at is of the .greatest importance not only to dairy farmers but also to the general public, seeing that the price fixed for butter sold locally is based upon the Imperial offer for the exportable surplus. A final rejection of the Imperial offer would mean that the New Zealand producers would have to find shipping space for the butter. Already they have sold considerable quantities of this season 'c butter)to America at i's 6d per lb, and presumably the insulated shipping space for these consignments, have been arranged.