NEW ZEALAND BUTTER.

New Zealand Herald, Volume LXIII, Issue 19469, 27 October 1926, Page 16

NEW ZEALAND BUTTER.

CONTROL BOARD'S POLICY. REPLY TO CRITICISM. MISREPRESENTATION ALLEGED. [by telegraph.—own correspondent, j WELLINGTON. Tuesday. A statement contradicting the wported representations of trade interests in England to the Prime Minister of New Zealand, Mr. Coates, that the New Zealand Dairy Produce Board, by storing and price-fixing, was responsible for the present butter slump, was made yesterday by Mr. J. R. Thacker, acting-chair-man of the board. A press message from London published on Monday stated that Mr. Coates received a deputation representing all sections of the butter trade of Britain, who strongly represented that the Dairy Board's policy of holding from the market large stocks in cold storage had had a most disastrous effect in causing a drop irt values, and emphasised that the board's proposed further step of price-fixing would be most detrimental, both to the New Zealand producer and to the trade in Britain. Mr. Thacker said he had noted that a determined effort was being made in certain quarters to create prejudice against the Dairy Board by similar mis-state-ments of fact. On behalf of the board he wished to place on record a denial of the statements reported and the implications arising from thum. At the time the trade deputation was made not one box of butter was held in store in Britain by the board, said Mr. Thacker. The steamer Rotorua, which arrived on October 17, carried 36,131 boxes of butter free of control and 3994 crates of cheese, of which only 2779 crates were under the board's administration. The first parcel of the board's butter was only 100 boxes, ex the Norfolk, due today. This would be followed by the Corinthic on November 1, with a total of 67,273 boxes of butter and 3675 crates of cheese. "It is absolutely incorrect and untrue to charge the board with storage and responsibility for the present market position," continued Mr. Thacker. "The board's policy in relation to price is, and always has been, that there shall be a fluid adjustment to the -economic price level from day to day on a basis which will encourage maximum consumption without sacrifice of the producers' interests, as they have been sacrificed during the annua) slumps for the past five years. Fixed storage is not approved by the board, whose policy will be to maintain consumption in the order of manufacture, and so avoid any possibility of unnecessary accumulations. "The members of the board deplore •'ftempts to create prejudice against New £tiii!iiud produce by misrepresentation or inadequate statements. The New Zealand producer desires the goodwill of the British consumer and will do nothing to forfeit it. The course of the market in the past is admitted by the Imperial Economic Committee to have been at times prejudicial to both the British consumer and the New Zealand producer. The more orderly marketing of New Zealand's production aimed at by the board seeks to avoid those excessive price fluctuations which, while not adequately benefiting the British consumer, havo seriously limited the producer's returns and affected his ability to buy British goods. "The existing and past disparities between foreign and Empire butter are not regarded as economically fair or justifiable. [f the mind of the British consumer is not poisoned pending the plans of the Dairy Board being given adequate trial there will be no cause for complaint,"

STOOKS HELD IN LQNDOST. A CONSIDERABLE REDUCTION. [BY TELEGRAPH.—OWN CORRESPONDENT. ] WELLINGTON. Tuesday. The New Zealand Dairy Produce Board has received a cablegram stating that the quantity of New Zealand butter in store in London has been considerably reduced during the past fortnight. The market, after showing activity, has become quiet. The first consignment of new season's butter reached London on the Rotorna, but no quotations regarding it are available.