BUTTER STEADIER

New Zealand Herald, Volume LXXVI, Issue 23284, 1 March 1939, Page 7

BUTTER STEADIER

LOWER LEVELS RULING ACCUMULATION OF STOCKS MUCH MORE THAN LAST YEAR Although the price of New Zealand butter in London dropped by about Us 6d* per ewt. during last week, the market was steadier at the close. Salted was quoted at 118s to 119s per ewt., as against 114s per ewt. a year ago. Retail prices for New Zealand butter are unchanged at Is 3d per lb. The Danish retail price of Is 6d per lb. is expected to lie reduced to Is sd. One of the principal factors in the price decline lias undoubtedly been the heavy accumulation of stocks from New Zealand and Australia. Stored fitocks of New Zealand butter now stand tons. Although this is

a reduction of 1(51 tons on the previous week, it is 1255 tons higher than the amount hold Inst year. Australian stocks af. 5283 tons compare with only 1784 tons a year ago. By arrangement with the Primary Products Marketing Department, the following information is supplied by the Now Zealand Dairy Board for the week ended February 21, ligures for the previous week being given in parentheses: — Butter.—New Zealand, salted. 118s to 110s (1225); unsalted, 122s to 124s (,124 s to 1255). Deliveries: New Zealand, 1552 tons (last year, 2042 tons); in store, 5059 tons (last year, 3804 tons)'. Australian: Salted, 115s to 116s (118s to 119s); unsalted, 116s to 117s, extra 118s (120s). Deliveries: Australian, 2337 tons (last 3'ear, 1516 tons); in store, 6283 tons (last year, 1784 tons). Argentine: Unsalted, 112s to 115s (114s to 116s). Danish, 120s f.0.h., Ills to 142s spot (1245. 146s to 1475). Dutch: Unsalted, 120s to 124s (128s). The market was steadier at the end of the week. Lithuanian? Unsalted, 123s tor, 124s (125s to 1265). Polish: Salted and unsalted, 115s (118s to 119s). South Africa, 113s to 114s ( —). The market is quiet. Cheese—New Zealand: White. 64s 6d, extra 65s (665); coloured, 61s 6d to 65s (66s to 665.6 d). Deliveries; New Zealand, 12,456 crates (last year, 16,856 crates); in store. 60,543 crates (last year, 61.661 crates). Australian: White, 58s to 61s (60s to 625); coloured, 62s to 64s (63s to 655). The market is slow. New Zealand retail pn'co is unchanged at 9d per lb. Canadian: White and coloured, 72s to 74s (725;; old season's, white, 80s to 82s (—). Deliveries: Canadian, 4633 boxes (last year, 4663 boxes); in store, 110,007 boxes Oast year, 95,133 boxes). The market is steady. English, finest farmers', 86s to 96s (80s to 965), The market is quiet.

MARKETING METHODS CRITICISM OF DOMINION LONDON MERCHANTS' REPLY A reply to criticism by a Manchester house of the methods of marketing New Zealand butter and cheese in Britain, published in the Herald on January 7, is made in a letter received from Joseph Nathan and Company, Limited, of London, who write that the statements made were not only untrue but unjust to those who were bringing into operation systematic marketing of New Zealand butter and cheese in Great Britain. The writer of tho criticism, it was stated, was obviously one of the speculative o.i.f. operators who served no fundamental purpose in the marketing of New Zealand butter and whose opportunities for making a profit were restricted by the present marketing policy. Continental butter always reached its highest price of the season in December to January, when supplies were at their riiininmm. As those two months coincided with the commencement of the period of maximum supplies from New Zealand and Australia it was natural that Continental descriptions would command their maximum price at that time. The figures ! quoted, like all the statements made j in the article, were entirely misleading. Similar, or greater, premiums existed under the unorganised marketing conditions of which the writer of the article spoke so highly, Indeed, the average margin of Danish .over New Zealand had been steadily reduced in tho past three years. For some months the premium for New Zealand butter over Australian had been substantially greater than that which obtained in the v days of linco-ordinated marketing. Weak Australian selling by individual agents in the latter months of last season cost the Australian shipper many thousands of pounds, and, incidentally, reacted unfavourably on New Zealand price levels. The distribution of New Zealand butter had steadily, increased in the Midlands, North .of England and Scotland —predominantly Danish areas—as was clearly shown by the steady increase in New Zealand's direct shipments to West Coast ports. Australian shipments to those territories, on the other hand, were now smaller than they, were a few years ago.

Finally, the statement that "those who direct the policy seem to delight in rubbing traders up the wrong way,'" was absolutely untrue. The relationship with the distributors was on a very satisfactory basis. The Dairy Sales Division in London had„ in fact, created a fine fund of goodwill and an enviable reputation for strict justice and fairness in handling their difficult complex job. > C. J. GREEN'S MONTHLY REPORT C. J. Green, Limited, stock and sharebrokers, report the following sales for (he month ended February 28: Government serunties: New Zealand Government Inscribed Stock, 4 per cent. 15/0/52-55, £Oll K»s; 3V a per cent, 15/1/53-57, il>2; 3 per cent, 30/41, £OS 15s. Debentures: Auckland Harbour Board, t/ 4 per cent, 0/7/50, £|()I 10s. Miscellaneous: Alloy Steel (N.Z.), 21s Od, 22s (2)j Australian Glass, .Co 118; Bank of New South Wales, 431 2s Od. £3O ,1,55; Bank New Zealand, 38s 3d (J), 38s Od, 38s, 3«ti Od. 38s (id, 38s lOd. 30s. 30s 3d. 30s, 38s lod, 30s 4d (2); British Tobacco,- ord., 48s (id,, 40s 4'/id, 40s, 47s (id, 488 3d, 475. 50s; pref., 33s Od, 335, 33s Od (2); Broken Hill Proprietary, 58s, 57s Od, 58S 3d, 58s, 57s Od, «>7s 3d, 07s Od, 58s 3d, 50s; con., 43s (id, 435, 44s Od, 455; Commercial Bank of Australia, 15s lid; Commercial Bank of Sydnev, £"2 l, .£2l v(is, £lO lOs, £lO lis; Consolidates Brick, 8s Od (2), 8s 10d'/a, Os, 8s lid; Dominion Breweries, ord.. 31s Oil (3),. 31s (id. 30s Od, :51s, 31s l'/ a (l, 30s 0(1, 30s lid; pref., 355; Electrolytic Zinc, ord., 45s J Od, 47s 3d, 40s Od; pref., 40s Od, 60s (2), 525, 51s; Farmers' Co-operative Auctioneering'. £1 paid, tils; Farmers. Tradinir. 17s (3), 18s (4), 17s 3d, 18s (id; Franklin Bakeries, lis 3d; G. J. Coles, 78s (id; Hud-dart-I'nrker, 51s IVid; M.K. Manufacturers, 7s lO'/jfl ('2), 7s Oil, 7s Od, 7s; Morts Dock, Us 7VA (2), lis lod, 14s lid. 15s (2), 15s Id. lis Od, lis lod; Pukemiro Collieries, lOs 3d; National Bank of New Zealasid, lis; Keid Rubber Mills, 22s (id; Sanford. ord.. Is (id; Silk nit (X.Z.), 2s Od, 3s i Od, 4s; Taranaki Oilfields, Os, Os ; Tooth and Company. 55s Od (2), 50s. 555, 50s; United Builflins: (Ghrislcnurch), lOs Od; Whakatnne Paper Mills, ord., 3s 4d, 3s (id, 3s Od, Ms Od, 3s 2d; Wilsons Cement. 15s Od; Woolworths, Limited, 235, 23s 4d (2), 24s Wl. 23s lid, 24s 3d (2), 23s lid, 245, 23s lid, 23s Od (2). 23s 10(1, 23s Od (3), 23s 7d. 23s Od, 23s Id (2), 23s 3d, 23s 2d. 23s Id, 235; Woolworths. first prsf.. 435, 43s' (Id, 425. 40s (id. 425, 12s (id; Woolworths Holdings, lis lid, 15s 2d (2); Woolworths (N.Z.), 17s Od, 17s lOd, 17s 11d (3), 17s Od. 18s, 18s IVid. 18s, 17s Od (2), 17s lOd. Mining: Broken Hill South, 27s Od, 275, 27s 3d, 27s Od; Emperor Mines, Os Od, 10s Od: Mount Lyeil, 27g Od (2), 2Ss Od, 275, '204 Od (2); Mount Morgan, ord., lis lOd, 12s, lis &d; North Bi-oken Hill, 45s 6d.