BUTTER TRADE FIRMER

Taranaki Daily News, 30 November 1932, Page 12

BUTTER TRADE FIRMER

BETTER TONE REPORTED.

INCREASE IN CONSUMPTION.

Encouraging reports of the tone of the London butter market were received by merchants during the week-end. The market is stated to be firmer, with a better demand, although prices are substantially unaltered at up to 86s for finest- The cheese market is firm at unchanged rates, one report stating that stocks are cleared. Although it is stated that too much importance should not be attached to the improvement, the news is welcome. For over two months prices have been falling and the total decline during that time has been 30s a cwt, During the past six weeks the butter market has been slow, with little demand. . Advice of the reason for thj improvement is being awaited by merchants. It is believed that prices have reached the lowest level and that, for this reason, buying in larger quantities has been stimulated. The stock position is sound, but it is thought unlikely that there will be any great advance in values owing to the heavy arrivals expected. “Colonial butter is now selling at Is a lb. retail on the Home market, and at such a price it is a cheap commodity and good value in comparison with Danish,” said a merchant. “The consumption has increased considerably, which is a healthy sign. We should have reached somewhere about rock-bottom in prices by now.” Business on an f.o.b. basis has been quiet lately, owing to the uncertainty of the market and the exchange controversy. However, it is reported that some offers at slightly above 9d a lb. for December-January shipment have been made, variation in exchange to be credited to sellers* account.