BUTTER PRICES RISE.

New Zealand Herald, Volume LXVIII, Issue 20762, 3 January 1931, Page 5

BUTTER PRICES RISE.

ADVANCE OF 6s IN WEEK. RATE UP TO 120s PER CWT. STATISTICAL POSITION GOOD. An advance for the week of 6s a cwt. to 120s for finest grade New Zealand butter on the London market is recorded in cablegrams received over tho past 24 hours. Butter arriving in London over the past few weeks is reported to have been taken up very promptly by buyers operating for immediate requirements, and tho statistical position in London at the moment is particularly sound. Yesterday's top price of 120s is equivalent to approximately 124s a cwt. when the present high rate of exchange is taken into consideration. More interest is now being taken in the forward position, steady offers being made for New Zealand butler for shipment spread over January, February and March, but most factories prefer to hold to a policy of consigning. The London butter market touched the lowest levels for many years early in December, tho price being as low as 935. Tho lower prices stimulated the demand and, apart from slight fluctuations, prices have shown a rising tendency over the past five weeks. Amalgamated Dairies, Limited, has received the following cablegram from its London house dated January lEstablished finest butter at 120s, but very little demand to-day; all northern markets closed down and numerous buyers stocktaking. Cheese, white, 61s; coloured, 60s. A Press Association cablegram from London, dated January 1, states:—ln the butter market there is a good demand. Choicest salted New Zealand is quoted at 116s to 118s; Australian, 114s to 115s. Unsalted is quoted tho same. Danish is 140s. The cheese market is steady. New Zealand white is quoted at 61s to 625; coloured, 59s to 60s; Australian, white, 59s to 60s; coloured, 58s.

AUCKLAND DAIRYING.

INCREASE IN PRODUCTION. MARGIN OF 15 PER CENT. Production of hutter-fnt in the Auckland Province continues on high levels, returns for the season to November 30 working out at approximately ]5 per cent, above those for the corresponding period of the previous year. In July, the opening month, there was a small margin in favour of this season. Hie yield in August was again greater than that of August, 1929. In September a most marked advance took place, the month's output being 11,029.0001b. of butter-fat, compared, with 8,696,0001b. in September, 1929. In October the margin of increase in favour of the current season was approximately 1,000,0001b., while the figures for November at 19,076,0001b. cf butter-fat, compare with 18,229,0001b. in November, 1929. The following table shows the details of production of butter and clieeae in the Auckland Province in terms of butter-fat for the first five months of the current dairying year, compared with those of the corresponding periods' of the preceding season:— 3930-31. 1920-30. lb. lb. July . . 1,360.000 1,303.000 August . . 4,760,000 4,13'2,000 September 11,029,000 8,696,000 October . . 16,473,000 15,310,000 November . 19,076,000 18,229,000 Total . . 52,701,000 47,675,000 Production has been well maintained over the past five weeks, and there is every indication that the season will close with figures showing a substantial advance on previous record figures. CHEMICAL INDUSTRIES. NEW CHAIRMAN OF COMPANY. British Wireless. RUGBY, Jnn. 1. Sir Harry McGowan, who was yesterday elected chairman and managing director of Imperial Chemical Industries, Linjited, in succession to the late Lord Melchett, began life as an office boy in one of the Nobel explosives factories, and earned 5s a week. Now ho is Controller of the world's greatest chemical combine, with an authorised capital of £95,000,000. The merger which resulted in the formation of the combine was negotiated by Sir Harry McGowan, as chairman of the Nobel Company, and Lord Melchett, who was then head of Brunner, Mond and Company. Sir Harry, who was born in Glasgow 56 years ago, is interested directly in 14 other companies, including the Midland Bank, of which ho is director-general, the Motor Corporation of New York, the British Overseas Bank, and the Finance Company of Great Britain and America, Limited. He is almost as well known in American financial quarters as in London.

WHITE STAR LINE.

FINANCIAL DIFFICULTY. LONDON, Jan. 1. The White Star Line announces (lint, it is nnnble to pay the preference dividend duo to-day. It has requested the Royal Mail Company to pay it within 30 days. BANKS REFUSE DEPOSITS. POSITION IN AUSTRALIA.

Some of the trading banks of Australia with headquarters or branches in Now Zealand have declined to accept deposits in the Dominion on behalf of Australian investors, states tho Wellington Post. There must br strong reason for the banks' refusal of money in this way, and it is to bo found in the exchange position. Many devices have been rosorted to with tho object of transmitting money abroad, one of tho most popular being to purchase in Australia securities of another country and to sell them in the country to which they belong. For some time a brisk trade was done in Australia in tho purchase of Now Zealand securities, and prices firmed approximately to tho added amount of the exchange. But these higher prices have not acted altogether as a deterrent, and tho banks have practically decided that only in very special cases will facilities be afforded for sending money out of Australia in this or any gther way. Where it is clear that the transaction is of an unpatriotic nature, tho "flight of capital" will not bo assisted by tho banks. Thus a peyon who may purchase, New Zealand securities in Melbourne and sell them in New Zealand may find it difficult to bank the money in the Dominion.