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raw material thus reaching the factory in better condition. In addition, the trend toward daily delivery of cream in a number of districts where alternate day delivery was formerly the practice has been an important factor. The principal problems confronting buttermakers may be linked up with climate and pastures. During the recent hot, dry summer manufacturing conditions were at times most unfavourable, and butter coming forward for grading during that period bore evidence of the general quality of the raw cream. With the advent of spring growth feed-taint in several Waikato brands caused concern on account of the loss in grade, and in some instances dairy companies coirid not reconcile this characteristic in the butter with the dry weather experienced. The fact remains, however, that an abnormal growth of clover was prevalent in the Waikato, proof of which was supplied by the Waikato apiarists, who reported a phenomenal season for honey-production. Reports from the Home market indicate that a percentage of our salted butter contains ample salt for the taste of British consumers, and it has been suggested that our regulations could with advantage be amended to provide for less salt in the finished product. Most of the unsalted butter manufactured during the past season was certainly very attractive in flavour. At the same time it is questionable whether some dairy companies have not attempted to make too much unsalted. Experience has proved that severe culling of cream is necessary to ensure good-keeping quality in unsalted butter. For the year ending 31st March, 1938, 4-91 per cent, of the total butter graded was unsalted, as compared with 4'77 per cent, for the previous financial year. pH Testing or Butter. What is known as the pH test of butter is a test for alkalinity and serves the purpose of indicating the excessive use of neutralizer. During the past year 3,491 samples of butter were tested for pH content at the Auckland grade stores, 289 at New Plymouth, 185 at Castlecliff, and 3,582 at Wellington, a total of 7,547, in comparison with 5,202 for the previous year. The institution of this work has been well worth while, and has been proved to have beneficial results. The records obtained have enabled Dairy Instructors to keep in touch with creameries requiring attention, and for some time past there have been fewer complaints from overseas with reference to soda flavour in New Zealand butters. The bacteriological examination of butter was undertaken at Auckland early in the present season, whereas during the previous season some samples were forwarded to Wallaceville for examination. Bacteriological tests carried out at Auckland numbered 816. The Dairy Instructors of the district were furnished with returns giving particulars of the various counts, and the information supplied has enabled these officers to convince managers that in some instances more attention to creamery plant is desirable. There have been several instances where a definite reduction in the counts has been noted after the Instructor's visit to the creamery, and this should ensure sounder keeping-quality of the butter manufactured. Testing Butter for Moisture and Salt Content. Moisture tests carried out at grading ports during the year covered 165,096 churnings, of which 0-30 per cent, indicated butter with a moisture content in excess of the legal limit. The maximum moisture content of exported butter permitted under the Dairy Industry Act is 16 per cent., while this is also the legal requirement in respect of butter imported into Britain. Butter found to contravene the law is returned for reconditioning to the dairy company concerned. Salt content of butter is provided for in the Dairy-produce Regulations, which permit maximum and minimum percentage limits. Salt tests carried out during the year totalled 151,595, of which 0-18 per cent, were outside the legal limits, and, at the direction of the Dairy-produce Grader, were withdrawn from shipment. By permission, however, a number of shipments of butter with a salt content outside the legal range, were made to special markets. Butter-boxes. The question of continuing the use of the Saranac box has been under consideration, and it is recognized that there have been many reports from the London end with regard to dust gaining access to the butter and causing contamination. In a number of instances it was necessary to remove the block of butter from the box for scraping, thereby causing monetary loss and inconvenience to traders, goodwill suffering to some extent. The consensus of opinion of officers of the Dairy Division and the Marketing Department in London is to the effect that we should standardize on one type of container, and experience has indicated that what has been known as the sub-standard box is probably the most suitable for the purpose. The matter has been discussed with many of those prominent in the industry, including the New Zealand Dairy Board, and it appears probable that the regulations will be so amended at a later date as to give effect to the suggestion that the sub-standard will be the only export butter-box permitted, and will in future be known as the standard box. Whey Butter. There was a substantial increase in whey-butter production, gradings for the year ended 31st March, 1938, totalling 1,820 tons, as compared with 1,484 tons for the previous year, an increase of 336 tons. Quality was about the same as in previous years, more care in manufacture being necessary before the finished product can be expected to reach the desired standard. Similar to second-graded creamery butter, whey butter is sold through channels which do not bring it into competition with the higher-grade article, and is used exclusively for processing and cooking.

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