BIG BUTTER DEAL WITH BRITAIN

Nelson Evening Mail, Volume L, Issue 175, 25 October 1917, Page 3

BIG BUTTER DEAL WITH BRITAIN

30,000 TONS OF AUSTRALIAN. It -vvas announced by the Federal Prime 'Minister (Mr Hughes) on October 8 that he had completed arrangements for the sale to Great Britain of 30,000 tons of Australian butter foT about £4,530,000. In giving details of th e contract, Mr Hughes said that in July he asked the Secretary of State for the Colonies whethejj the British Government would; purchase any portion of the Australian butter and cheese output during the next 12 months. Later Mr Hughes submitted a definite offer of the exportable surplus of butter, estimated at 30,000 tons, at 149s 4d per cwt. for first-grade butter* and ods shilling less for each point down, with a discount of ;1£ per cent., payments to be made on "the basis of "in store" at the usual port of-' shipment within 14 days of butter being\ placed in cool store." Advice has now Deen received that this offer has , been accepted with slight modifications. A cable message from Great 'Britain states that the iFood Controller vvas prepared to buy during the period between September, 1917, and June, 1918, up to 30,000 tpfog of butter at 151s per cwt. 'i.o.b. for first-grade butter, and Is less for each grade downwards. 'Payment would be made against bills of lading, -with interest at 6 per cent, after 14 days in store, and interest would cease on amount so paid. All storage charges for sellers' account and all risks -until "deliverv i.o.b'. were to be borne by the seller. Mr Hughes further explained that the Government had' agreed to make advances for butter in store of Is T>er lb., and of 7d per lb. for cheese, with interest added. The machinery to (rive effect to this- wa s now in operation, and the chief prices commissioner would supervise the matter.