BUTTER PRICES

Wanganui Chronicle, Volume 80, Issue 280, 25 November 1937, Page 10

BUTTER PRICES

BRITISH MARKET TREND REDUCTION IN SUPPLIES. LONDON, Nov. 3. A comprehensive review of the butter market in the United Kingdom during October is given by the Imperial Economic Committee in its latest Weekly Dairy Produce Notes. The upward movement in butter prices became more marked during October and the margin over last year's corresponding averages was increased. A r the end of the month box butter prices reached the highest point since mid-February, 1930, and Danish and highest since February, 1932. Arrivals of butter from Australia ana New Zealand during October totalled 593,700 boxes, compared with 453,100 boxes in the previous month and 530,500 in October, 1936. Prospective arrivals for November total about 561,000 boxes, agains 657,100 boxes in the same month last year. December supplies from these sources will be rather heavier than a year earher and January also may show a slight increase. Production conditions in both countries have improved in recent weeks. Lower Argentine Supply. There were no arrivals of Argentine butter in October, against 3250 boxes a j ear ago, but shipments have begun and are likely to increase with production, which has responded to recent rains. The past month’s arrivals of butter from African ports were confined to 4000 boxes from East Africa. South Africa, which normally commences to export at this time, was importing butter in early October as a result of drought, and no exports have yet been made. Some 29,000 boxes of Canadian butter have arrived in October and further shipments are advised. No butter arrived from this source in October and November last year Canadian production is about the same as a year ago and stocks slightly Jess. Shipments of butter from European countries to the United Kingdom since the beginning of October have been appreciably smaller, in the aggregate, than a year ago. Most Baltic countries have been shipping heavier quantities in recent weeks, but supplies from Russia and the Irish Free State have been greatly reduced, while Denmark shows a decrease of about 5 per cent. The Netherlands and smaller sources have also . sent less. Increased German Demand. Germany in September imported 42 per cent, more butter than a year earlier and some increase may continue. Slightly larger purchases of Danish butter are likely as a result of a recent agreement. Butter prices in France are about twice as high as a year ago and stocks materially less Stocks in the United States are approaching last year’s figure. Ample supplies of fodder are available this winter, but demand for butter is expected to be good. On the whole, imports of European butter into the United Kingdom until the end of the year may be slightly smaller, in total, than a year ago. LIMITING OF EXPORTS. REGULATION IN AUSTRALIA. Exports of butter from Australia to Great Britain are being restricted to 2500 tons a week as from yesterday. Each year the Australian Dairy Board regulates shipments in order to maintaii a steady flow of Australian butter on to the London market. For some time there has been no restriction on exports to Britain, but production has recently been increasing extensively andthe board now considers it neces-i sary to restrict shipments. At this time last year the Australian export quota was 1500 tons a week. A similar policy is usually followed by the New Zealand Dairy Board. In a normal season a certain quantity of butter is withheld, from December over the peak period, so that in the latter months of the season the. volume of supply to the market is maintained, although production is declining.