COMMERCIAL.

Timaru Herald, Volume CXXIII, 15 December 1925, Page 9

COMMERCIAL.

BUTTER FOR U.S.A. By Cable—-Press Association—Copyright. Australian and N.Z. Cable Association. NEW YORK, December 12. The Australian Press Association learns that a consignment of New Zealand butter, which arrived at San Francisco a week ago, has been selling so slowly in the American market that the principal wholesale butter dealers are inclined to warn makers in Austfalia and New Zealand against sending any further shipments during the coming winter.

Tho alow demand in New Zealand butter is ascribed by the United States Department of Commerce in considerable part to the shape of the package. Dealers have emphasised the fact that there is discrimination against butter in boxes, because the American grocery stores are built to receive only the standard 601 b tub in the refrigerators, but the statistical position of the blitter market is above all responsible for the poor prospects for foreign butters in the United States.

Til® butter in cold storage November 11 totalled 94.953,0001 b compared with 135,000,0001 b at the same date, in 1924, but the 1925 figures exceed the average storage over the last five years by more than 2,000,0001 b. It is, moreover, expected that the domestic winter production will be greater than last year, owing to Government assistance, and the plentiful and cheap feed. Butter prices remain high, however, being between 50 and 53 cents wholesale for 92 point grade, while the retail price is 57 being 10 cents higher than last year, when the market was depressed as a result of overproduction. Very little foreign, butter is now arriving here —about 11,0001 b of Danish fortnightly. A recent shipment- of 40.0001 b of Siberian butter, 89 point grade, sold at 48 cents, being readily houeht- by bakers This was due to the high butterfat and low moisture content. Wholesale dealers readily admit that tho Australian and New Zealand butter is well known for its high quality and can usually he expected to find an output for it in the United States, but the present sensitive and weak market makes it wholly problematical how much can be absorbed at the present time. The Tariff Commission is still examining tho data of the American butter producers who asked for an increase in tho duty. The Commissioners point out that thev will merely correlate the data and submit it- to Mr Ccolidge, since it is not their province to recommend changes in the tariff.