DUTY ON BUTTER.

Wairarapa Daily Times, 24 December 1927, Page 6

DUTY ON BUTTER.

AUSTRALIAN PROPOSALS. STALEMATE KBACKED. SYDNEY, Friday. According to the “Daily Telegraph,” a stalemate has been reached in the Federal Government’s negotiations with New Zealand in connection with the increased Customs duty on butter. Some weeks ago the Federal authorities asked the New Zealand Government to conefir in increased duties. New Zealand objected, and demanded the full six months’ notice according to the tariff agreement. The Federal Government, having granted a similar concession to New Zealand in regard to wheat and Hour,, were optimistic that the six months’ notice would be waived in regard to dairy produce, enabling the new duties to operate from January 1. A proposal that two Federal Ministers should proceed to New Zealand to place the position before the Prime Minister with a view to securing a compromise, is being considered. It was in anticipation of the full duty coming into operation at the beginning of the year that the Stabilisation Committee raised the export bounty under the Paterson scheme from 3d to 4d per lb as from December 12. While New Zealand butter is admitted here on 3d per lb duty, the Australian price for local consumption c-annot be stabilised at a rate that would yield producers an adequate return, to secure Avhich the organisations of the dairy industry hai c been working. For the time being the position as it affects the Australian dairyman, and the price he receives for his product, is uncertain.