BUTTER SHIPMENTS

Taranaki Daily News, 18 December 1933, Page 7

BUTTER SHIPMENTS

REGULATING SUPPLIES.

“RESTRICTION NOT A QUOTA.”

Hamilton, Dec. 13.

“There is no doubt that the price of New Zealand and Australian butter is forced down much lower than there is any occasion for, taking into consideration the present stocks held in store in London in comparison with those held there in the same period last year,” said Mr. W. Dynes Fulton, deputy-chairman of the Dairy Produce Board an<K chairman of directors of the New* Zealand Cooperative Dairy Company, Limited, today, when discussing the restriction of 20 per cent of New Zealand butter now being sent forward. Mr. Fulton said Australia had been sending every ton available without any considerataion, and had been responsible to a very great extent for the sudden drop. Australia had a real difficulty in regulating shipments, as there was such a great variation in the country’s seasonal production. It could be seen that at this period of the year, Queensland was only approaching the peak, the Victoria was well past the flush of her output, that the regulation of shipments was not as easily controlled in Australia as it was in New Zealand. “For a number of years New Zealand has regulated her shipments so that excessive quantities would not reach the British market at the same time,” added Mr. Fulton. “This policy has worked very satisfactorily and has maintained a continuity of supply of New Zealand butter on the British market throughout the year, but it is obvious that unless Australia works on the same basis of regulating shipments our efforts will be nullified. The Australian Dairy Board has, however, realised the position and has agreed to withhold from shipment at least 20 per cent of the weekly grading for the time being, on the condition that New Zealand does the same. We have agreed to this as it was the policy previously adopted by the board. “This shipment restriction must not be regarded as a quota,” Mr. Fulton said. “It is a regulation of shipments to prevent excessive quantities arriving on fully-supplied markets, but the whole quantity to be shipped will in due course be spread over the season. The large increase in Australia’s export butter trade shows how essential it is for the New Zealand Dairy Produce Board to work in harmony with Australia for our mutual benefit”