DAIRY INDUSTRY.

New Zealand Herald, Volume LXV, Issue 20115, 28 November 1928, Page 5

DAIRY INDUSTRY.

DOMINION'S COMPETITORS

WORLD SUPPLIES OF PRODUCE.

WEDDEL'S ANNUAL REVIEW. The steadily maintained consumption of dairy products in Britain during tho 1927-28 season is attributed in the 34th annual review of W. Weddel and Company, to tho fact that trado conditions were entirely undisturbed by political or economic influences, At no time during that period was there any marked accumulation of stocks at Home and conditions generally were favourable to the absorption of increased importations of butter at fairly satisfactory average prices.

The review, which covers tho period ended June 30 last, takes an early opportunity of applauding tho abandonment of the " control experiment" on tho part of tho New Zealand Board, and points to subsequent high prices to justify its condemnation of the Board's action. "As soon as tho accumulation of butter and clieeso held on account of tho New Zealand Control Board had been disposed of," it says, " the market quickly responded to the resumption of free trading, and prices were established throughout tho autumn months on a higher basis than had been possible at any time during tho preceding year. The yearly averages were several shillings per cwt., higher than those of the 1926-27 season. " The chief interest in the review lies in tho fact that it provides New Zealand with an authoritative indication of its position on tho Homo market in relation to tho other sources of supply, while it also is a valuable guide in respoct of tho manufacturing and marketing conditions, which must bo fulfilled to ensure successful exploitation of the vast market offering From these points of view, tho review, though dealing with past history, is decidedly interesting and its value to dairying interests so far removed from the principal centre of disposal as is New Zealand, can hardly bo over-estimated. New Zealand Oheese. Tho report takes intimate stock of every phase and every movement of tho dairying industry in every country in which it is carried on. Thus tho latest trend in New Zealand clieeso production —the effort to improve Oic keeping quality Ly waxing—receives brief but sufficient recognition in the following terms: I'or some time to come this movement can have only limited scope, as tho general trade still prefers New Zealand cheese un waxed."

«■ Of 274,307 tons of butter imported Ijy Britain during the 1927-28 season New Zealand supplied 67,343 tons, an increase of 10,809 tons (19.1 per cent.), on the quantity * supplied the previous season. In addition to this it can bo noted that the Dominion sent increased amounts of butter to both North America and Australia during the same period. Hie cheese exported amounted to 84,760 tons, or over half the total quantity 151,037 tons imported from all sources by Britain. This is tho highest New Zealand exportation on record. Other parts of tho Empire, however, have not managed to maintain their positions in this respect. The Canadian total, for instance, was the smallest sent since 1890. An increased Home demand was chiefly accountable for this, but Wcddel's review nevertheless laments tho fact that Empiro supplies of clieeso have been falling off in recent years while foreign supplies have been steadily increasing. Foreign Sources of Supply.

Many of the comments on the foreign sources of supply are worthy of special attention as indicating ever-increasing efforts on the part of competitive countries to establish reputations on the English market. Siberia, in particular, stands out in this respect. Not only did she increase her butter exports by 34 per cent, during the year, but she also brought about a vast improvement in quality. The review says the Soviets have instituted a special organisation for the inspection and grading of all the butter exported. As a result of these measures, there has been a considerable improvement in the quality of Russian butter. Its flavour, texture and colour are now comparable with thoso of competitive countries, and in consequence the butter is becoming more and more attractive to buyers at a higher level of price than previously. Tho number of dairies operating is a smaller number than that recorded last year, but this moans that many of tho larger dairies are amalgamating and becoming equipped with up-to-dato mechanical methods of production, while dairies which were technically obsolete arc being closed down. During the year 86 newly-built steam creameries were constructed. Ukrania is the latest country of tho Soviet Union to enter the butter export trade. With its fertile soil and favourable climate Ukrania is capable of producing important quantities of butter of a quality suitable for the direct counter trade. Although tlie export of buttei started only last season, 900 tons of butter had been imported into Great Britain up to June 30, and there is a serious movement afoot for the general encouragement of tho butter industry during tho next few years. Ukranian butter is pasteuriscd. Weddels condemn the Polish butter imported on account of high acidity; tho texturo is weak, and some of it was oversalted. It is suggested that if Polish butter is to hold its own on tho Homo market efforts will liavo to bo made to improvo tho quality and condition of tho commodity as well as the appearances of tho packages. Butter from Argentina.

Tho imports of Argentine butter into tlie United Kingdom for tho year 1927-28 amounted to only 17,921 tons as compared with 26,498 tons in 1926-27, a ducrease of 8577 tous, or 32 per cent.. Notwithstanding the great improvement which has taken place m tho quality of Argentine butter recently, a considerable percentage of the output is still coming on tho London market, showing unmistakable signs of having been made from mixed cream. Tho result is that tho old Argentine butter flavour is still discernable in some cases,,in spite .of pasteurisation, this being duo to small quantities of inferior cream being included in tho churning of better quality cream. Although there may not bo any great difference in market value between tins defective butter and butter which is clean and superfine in quality, nevertheless the production of a proportion of butter which is inferior to the best prevents tho reputation of Argentine butter from attaining that high standard in the minds of the consuming public which it will havo to reach beforo it can command prices in accordance with the true value of tho article on tho British I market.