DAIRY PRODUCE.

Wairarapa Age, 22 February 1924, Page 5

DAIRY PRODUCE.

THE FALL IN PRICES. INTERVIEW WITH MR. lORNS. A representative of “The Age” yesterday interviewed Mr W. A. lorns, who represents the southern portion of the North Island on the Dairy Produce Control Board, regarding the fall in the prices of dairy produce. Mr lorns said it was true there had been a drop in the last few days in both butter and cheese amounting to something like Bs, and a drop like this at this time of year was a good example of what the dairy factories were up against, and what the Dairy Control Board was designed to counteract. He had just had given to him some figures which threw a light on the position. During the month of January the arrivals of New Zealand produce in London amounted to 204,100 boxes of butttr and 41,300 crates of cheese. For the current month, February, the arrivals were estimated at 408,000 boxes of butter and 264,800 crates of cheese. That is to say, in one month practically one-fourth of the whole year’s output would be landed on the English market. In view of such a state of things it must be evident that the companies could only expect a drop in prices. At the height Of the season dairy farmers expected fair prices, but when one-fourth of the whole output of the year arrived in one month -and the factories had difficulty in financing it was inevitable that there should be a drop in prices. The shipping question was of the most vital importance to the dairying industry, and the Board could be relied on to handle it as soon and as effectively as they could, but of course it must take time to produce results. The trouble was that the ships which carried dairy produce often spent many weeks bn the coast—even after they had taken in their butter and cheese—picking up cargoes of wool and other exports. This made it difficult to arrange regular arrivals in London, with the result that a number of ships all arrived together, causing a glut of butter and cheese on the market. Only four vessels with New Zealand produce arrived in London in December and two in January. In February there vfere 10 to arrive, in March 9, and in April 12. They could not expect to keep prices from falling if they could not manage to avoid these gluts, to have thet produce delivered regularly cn the London market, and the companies able to .finance in the meantime. LUCK IN A STRIKE. Mr lorns remarked incidentally that the strike which occurred in London at the tail-end of the last season was a windfall for the New Zealand producer. The last of the New Zealand season’s produce, which had cleared the stores here, all arrived in London about the same time. Cheese was then down to 70s, and n was expected that i L would fall to .'Os. Then the strike intervened and permitted very small quantities to filter through to the trade, so that tht market was fairly bare by the time that the last boats unloaded. It was then realised that there was a shortage, and cheese at or.ee jumped back to 130 s. This meant that the New Zealand producers got about one-third more for their cheese than they ww.ll have got if it had Seen realised when it first arrived.