DAIRYING SEASON

Pahiatua Herald, Volume XXXVI, Issue 10767, 20 February 1928, Page 5

DAIRYING SEASON

BUTTER PRICES MORE OPTIMISM INDICATED. Suppliers to dairy factories have certainly had to race discouragements this season, for not only has the market been depressed but the season also has had its effects upon supplies of cream, the recent dry spell making, it impossible to keep supplies up. to the mark. Indications are, however, that the period of depressed prices ‘is past and, although it is extremely unlikely that rancy prices will be obtained for butter, there appears to be a more encouraging outlook for that commodity. Up to the end of January nearly two million boxes of butter were exported from the Dominion as against one and a quarter million for the corresponding period last year. In January alone the shipments from New Zealand reached nearly 500,000 boxes as against 300,000 last January, a very considerable increase. The prevailing dry weather, which is general, will curtail supplies and this should have a steadying effect upon prices generally. Little speculating is being attenuated m butter, as may be gauged from the fact that of the January shipments only 7 per cent of the butter was sold forward, leaving 93 per cent in the hands of tile factory directors, this shipped on open consignment. KOHINUI FACTORY. The North Tiraumea Co-operative Dairy Company, Ltd., reports a fall in supply between the months of December aud January equal to. 3-a tons of cheese, the excessively dry weather conditions being entirely responsible for this shrinkage. As compared with January of last year, however, the cheese manufactured is slightly more and, up to date, the output of the factory is well ahead of last season. With a butterfat test equal to last year, the yield of cheese to butterfat is considerably greater, tliis, iai view of the fact that most factory managers have reported a smaller yield, being a 'matter for congratulation. For the month of January the advance made to suppliers equalled that of the previous months of the season, viz., Is 6d per lb., and suppliers are to be congratulated at i eeeiving so excellent an advance up to this date. It is understood that the directors of the company have declined certain offers for the balance of the season's manufacture of cheese and that negotiations for sale are proceeding at a figure approaching tlie price at which the directors sold, at the beginning of the season, the output of the factory up to the end of the year, viz., 9d' per lb f.o.b. SALES OF CHEESE. It is reported that cheese factory directors are selling quantities of cheese at the prices being offered, and indications of the lively interest which speculators are taking in the cheese market are to be found in the fact that of the cheese shipped during January n i less than 46 per cent was sold" forward, sales taking place at prices stated to be from 8d per lb to Bjd per lb f.o.b. A very large quantity of South Island clieese has been sold forward, factory directors in the south being great sellers. It is understood that none of the factories operating in tliis district have sold any portion of their January May outputs, one difficulty being their inability to state quantities which may be available.