GROWTH OF DAIRYING.

New Zealand Herald, Volume LXVII, Issue 20656, 30 August 1930, Page 13

GROWTH OF DAIRYING.

BOARD'S ANNUAL REVIEW.

HIGH QUALITY OF BUTTER

ADVERSE MARKET CONDITIONS

" Whilo no doubt the number of cows milked is gradually increasing, it is safe to say that tho steadily rising production of butter-fat is largely due to improved herd averages, owing to culling as a result of herd-testing, together with the betterment-of pastures by reason of the use of manures and improved farming practice," states tho sixth annual report of tho Dairy Produce Board. For the year ended July 31, the report states, tho quantity of butter graded was 95.344 tons, an increase of 16.76 per cent., and the cheese, 87,253 tons, an inercaso of 0.74 per cent. On a butter-fat basis the increase was 10.4 per cent, compared with tho previous 12 months, which was tho record year for production. Tho increase that year was 10.8 per cent., compared with 1928. Over a period of 64 years 2,267,426 tons of butter and cheese have been exported, of an approximate value of £247,7.17,726. The value of tho produce sent abroad in Iho last ton years, £167,408.298, was more than tho whole of that of the previous 54 years. Difficult Year Experienced.

The dairy producers of the Dominion had faced the worst market conditions during the year since tho end of the war. Never had prices been consistently low for such a long period. Iho reason had to be looked for in the lack of consumptive demand owing to a world-wide financial depression. Sales to Canada, which had been steadily increasing, totalled for the past season over 800,000 boxes, a quantity greater than tho Dominion's total export to all markets in 1920. Canada had proved a valuable market.

After referring to the* negotiations that were pending in regard to the duty on butter, the report adds that tho board had viewed the, position with anxiety during the last two years and had missed no opportunity of bringing the matter to tho attention of the Government. Duties on dairy produce going into tho United States had also been increased and while that did not in the meantime affect the New Zealand industry, it might indirectly affect it by reducing tho large quantity of Canadian cream and milk going into the United States. If that should eventuate it would mean increased manufacture of butter and cheese in Canada, which would immediately influence tho market .or New Zealand produceVariations m Prices. The variation between the highest and the lowest price in Great Britain for the season was 64s per cwt., the highest sinc.o 1925-26, when tho difference was 75s a cwt. The lecord year in that connection was 1921-22, when the difference was 112s. From that time there had been gradual improvement until the present year, when conditions had slipped back four years. Of tho total butter exported to the United Kingdom 16 per cent, was sold f.o.b. and 84 per cent, shipped on consignment, as against 34.7 per cent, and 65.3 per cent, respectively in tho previous voar. I'or cheese tho percentages were, last year's figures in parentheses:— Sold,' 22.5* (19.3); shipping on consignment, 77.5 (80.7). Tho grading percentages showed, tho report continues, that a very large quantity of New Zealand butter was of a high standard and lett littlo room for complaint, Finest grade butter brought a premium over first grade, and in nearly all f.o.b. sale contracts finest grado was asked for. Quality of Exports. Mr. W. M. Singleton, Director of the Dairy Division, had reported on his return from Great Britain that New Zealand butter was still looked upon as the finest Keeping butter being imported. He called attention to one or two minor delects, such as lack of uniformity in salting and careless packing, and his suggestions for the bringing in of regulations dealing with salting, the covering of vats, etc., had tho hearty suport, of the board. That all was not right with the quality of New Zealand cheese had been recognised for some time. Ihe industry was face to face with a very difficult position, but there was evidence of a general desire for improvement. Regarding a suggestion that if the Department of Agriculturo was aware that cheese quality was falling off this should have been more clearly reflected in tho grading points, the report stated that grading had always been carried out in a careful and judicious manner. Every move to stiffen the grado had been made when a majority of representative dairymen were giving it their voluntary support. Standardised Cheese Manufacture. Standardised cheese had formed 50 per cent, of the Dominion's exports during the year, compared with 36 per cent, in 1928-29. Not all the standardised cheese had been made on tho best lines, but a few factories making quality their goal had proved that it was possible to make standardised cheese of finest grade. Probably tho best results could not he attained without tho establishment of milk grading at cheese factories and differential payment for quality. Owing to the tirno being considered inopportune to apply for an amendment of the Dairy Export Control Act, the board had not been able to give effect to suggestions for the payment of a premium on finest cheese. The increased butter-fat production per cow in the Dominion was a testimony to the value of herd testing. Since group testing was inaugurated in 1922 the average production per cow had risen from 1751b. of fat to over 22011). There was a growing feeling that the Government subsidy, which had largely been expended mi a pro rata rebate per cow f>o as to reduce the cost to the farmer, could he more advantageously used to improve organisation and especially in the promotion of new groups.