BUTTER PRICES AT HOME

Otago Daily Times, Issue 18157, 31 January 1921, Page 5

BUTTER PRICES AT HOME

FURTHER DECLINE EXPECTED,

LOW VALUES PROBABLE NEXT SEASON.

Frees Association —By Telegraph—Copyright. l : LONDON, January 28. A further decline oi butter prices a anticipated after the decontrol. The Food Ministry’s stocks ate mounting rapidly, and it is generally estimated that the stock at the end of March will be about 30,000 tons, to which must be added part of the February and all the March ship raents. It appears likely that the Ministry will have to carry 40,000 tons over u> the summer. In the meantime the supplies greatly exceed the demand, owing to the almost entire cessation of buying by Germany, Scandinavia, and other Euro pean countries. Practically the whole of the Danish output is available for Great Britain, to which country the Danish imports have been quadrupled, reaching 1000 tons weekly instead of 500 fortnightly. It is anticipated that the Danish supplies will be greatly increased after March, when the English and Irish makes will also be in full swing. The Ministry will then have little chance of reducing the stocks. The decline in copra arid oil seeds has caused a lowering of the prices of margarine, which is now retailing at lid to Is a pound. Many people predict that butter will be sold at 2s before many months, so it ap pears likely that New Zealand and Australian producers will be faced with a comparatively low basis of values when next season begins.—A. and N.Z. Cable.

CHEESE STOCKS.

(P«* Uwnw Psww Association.)

, WELLINGTON, January 29. A cablegram from the High Commissioner says:— The total stocks of cheese in importers’ and wholesale warehouses in Great Britain on January 1 was 18,088 tons, of which 11,400 tons are Government and 6688 tons privately owned. The balance to arrive from Australia under last season’s contract was 562 tons on January 1. With the delay in arrival of New Zealand and the reduction in Canadian supplies, the market is temporarily firmer, and Govemmerit prices have not been reduced. Government stocks are being taken up slowly The arrivals from New Zealand in February and March are not likely to be excessive, and this should help the market for the first quarter. With larger arrivals, however, it is doubtful whether prices will be maintained.

Government prices for butter have not yet been lowered, though a reduction of 5d per lb retail will be made on February 7. Supplies generally are good, and the tendency is towards lower prices.'