THE PRICE OF BUTTER.

New Zealand Herald, Volume LVIII, Issue 17782, 16 May 1921, Page 6

THE PRICE OF BUTTER.

FIXEJ? TILL AUGUST 31. CONTRACT $ITH PRODUCERS. ENSURING- WINTER SUPPLIES. [by telegraph.— own correspondent.} i CHRISTCHURCH. Saturday. Three local M.P.'s, Messrs. J. McCombs, G. Witty, and D. G. Sullivan, waited upon Hon. W. Nosworthy to-day and pointed out that the high price of butter serious factor in workingclass homes. Mr. McCombs said the deputation . represented consumers, and they were concerned -because the Government had nojLtaken action to protect their interests now that the world's nutrket price of butter had fallen. i

In the eoursU of his reply Mr. Nosworthy stated definitely that" there would be no change in the price of butter until the end of August. Although he personally was against tho subsidy .business which commenced in the war period, during the term of the National Government, tlje deputation must recognise tßat/once the Government, got "imprisoned" with the subsidy principle, it was not very easy to get out, and the principle underlying the whole thing was to make the best deal the Government could for the winter outrhit from factories, to assure the people of a supply up to AugusV-31, and then to terminate once and for, all the subsidy arrangement. \ • "I quite recognise," continued Mr. Nosworthy, "that" the facts you have brought before me are from the, point of view of your own constituencies, but it must be remembered if it had not been for the export, of butter and cheese from this Dominion for the nine or ten months just! ended, we would be very much worse off. Butter virtual!v saved* this Dominion." [Mr. Witty: We are not grumbling. -Mr. Nosworthy*: Instead of partial unemployment there might easily have been toUl unemployment. It is not one section pf the community,, but all sections that are" affected by the slump that has taken place, gl for qno ani quite prepared to take the responsibility for what was done, because it was done/ after mature and deliberate consideration and prolonged negotiations. 'The Government has taken •steps to assure "winter Applies up to the . end of August, and then will come the free market that I believe in. ,Wo have entered into a , contract between the Government and the dairy producers, and it is not thS'slightest use-in appealingto: me or to the Government iot any brellch Of that', contract. \ Mr. McCombS : When' did you enter into' it?' - , .■:;..• -■■-'■, .'-■■- Mr. Nosworthy: At the end of Maxch/ when'there was- not the\slightest whisper of any collapse Tin the outside market. The. Government arranged for the price to be as low as possible,; and did, its utmost to, give the people reasonable winter supplies.) After .August .31 therei will be no ipterifcrence by the" Government ,in the trend of prices,' and as far as I know, thexprice will be governed by the world's markets. Mr. McCombs asked whether the Imperial Government had not offered to resell a portion of its purchase to New Zealand at 175s per cwt., which would mean a retail-price of about Is 6d. ; i Mr, Nosworthy said, the Imperial Government had stated that it did not wish to sell any surplus butter for consumption in &ew Zealand.' !