MARGARINE VERSUS BUTTER.

Waipa Post, Volume III, Issue 122, 25 June 1912, Page 4

MARGARINE VERSUS BUTTER.

POSITION ON THE LONDON MARKET. According to the latest advices from London, margarine has for a long time past been a factor in the provision business, but, it is added, only of late has it been a thorn in the flesh to Australasian butter merchants. The improvement in quality as well as increase in production, during recent years, coupled with the cheap price, are a powerful force in combating Australasian butter in., the cities of England. One thing to note is the great cleverness which has marked the margarine campaign. The public do not like the word “ margarine,” so they are taught .to ask for it under fancy names —the tendency of this is that gradually they will forget that they are buying margarine, notwithstanding the wrappers. Again, manufacturers have arranged with grocers to sell margarine at Bd, whilst nominally keeping the price at Is; this is done by juggling the “overweight” idea. Tne consumption of butter of late in shops has been fully 30 per cent less than normal. The average price' at which butter is sold at the big shops is a shade over is id per lb. On this butter the shopkeeper is making about 12 per cent profit, a rate only enough to cover the costs of his business. On finest margarine sales the gross profit is 22% per cent. In these figures lie the key to the butter position of the future. The strong statistical position at the moment renders butter importers independent of the margaiine trade, but when there are large quantities of Australian on the market the margarine competition will be felt. With the retail shops making money on margarine, and not on butter, there must be rocks ahead for expo, tors. The big shopkeepers who have committed to the margarine—or “overweight” —trade at (nominally) Is a lb are not over anxious to go back to the Is per lb price for butter. So, probably, there will be considerable influence brought to bear to keep ‘ colonial ’ from benefiting by the popular shilling per lb demand. I am assured by good judges, says the above writer, that the nut margarine now being sold by the multiple shop companies is equal to any butter at a shilling per lb. Here is a remarkable case, adds the w r riter: —An acquaintance of mine, a butter merchant, now lakes 61bs of butter and 2lbs of margarine per week for his household, and he tells me that he does not know one from the other. How he became a convert to margarine is as follows: His wife one day said to him: “I thought you were a butter merchant, and knew butter when you tasted it. For days past you have been eating margarine.” The good lady had experimented upon her husband. If the keen palate of a butter taster can thus be deceived no wonder the public is easily taken in.