SURPLUS CHEESE OUTPUT

Southland Times, Issue 17816, 21 August 1916, Page 5

SURPLUS CHEESE OUTPUT

SUGGESTED SALE TO BOARD OF TRADE. KRUITLBSS NEGOTIATIONS. WELLINGTON, August IS. A conference between the Prime Mia** ister and representatives of the cheaM producers to-day regarding the terms on which the producers would be willing to sell the exportable surplus of cheese for Llie coming season to the Imperial Board of Trade ended fruitlessly. The cheese producers had already offred to sell at SJd per lb, to.lx, in New Zealand ports. This offer was communicated by Mr Massey to the Board of Trade, a reply from which was submitted to the producers to-day. The Board offered to buy at a lower price, which the producers would not accept, and tlie negotiations have therefor* fallen through. It is understood that the price offered by the Board of Trade was 8d per lb. Last year about one-third of the season's output was purchased for army supplies at 7id per lb, and the rest, which went Home "free” from control of any sort as to price, realised a much higher figurs on the English market. It is considered that the difference between the rats which the Board of Trade is willing to pay and that which tlie producers are willing to accept is so great that there is no probability of negotiations for the purchase of next season's output being renewed. It is by no means improbable that if tlie cheese goes Home free it will realise tlie price that the producers ask. Their only risk is that through a shortage of shipping space it may not go Home at all, or that its shipmeut may be so delayed as to hinder factory operations. If they had agreed to the requisitioning of the product, they would have been freed from all anxiety on tilts score, as it would have been the business of the Board of Trade, which control* all the insulated tonnage, to see that space was available for the transport of the cheese which it had bought. Hither, to New Zealand has been extremely fortunate in having provided for it all the shipping space reasonably necessary foe the transport of its frozen meat and dairy produce.