LOCAL BUTTER PRICES

New Zealand Herald, Volume LXXIII, Issue 22493, 10 August 1936, Page 12

LOCAL BUTTER PRICES

Sir, —I am surprised to sen thai the price of tho butter consumed in New Zealand has been fixed in parity with the experimental price the Government has fixed for butter exported, in;, tend of being fixed from time to tini; on parity with the London price. If the result of the sales of butter during the coming season should he to shov? a material profit on all exported bitter the Government should be able to show exactly the same profit per ton on the amount consumed in New Zealand, but it will not be able to do this unlesj local prices arc on parity with London, as the amount of profit which should have been on hand through local sales —equally with export sales—will hare been made a present of to the New Zealand consumers —entirely out of the pockets of the farmers —and can never be recovered. The farmers' fund will only he credited with Is 2d j)er lb., which is the price at parity with the experimental pnee and no profit stboro that can possibly accrue on the locally consumed butter. If there should be a profit, of say, £lO or £35 a ton on the quantity exported, that >;xact amount per toil on ail butter consumed in New Zealand will represent the amount taken out of the pockets of the farmer, and presented free to the New Zealand consumers. J. Thobnes, 231 Parnell Road.