BUTTER PROBLEMS.

Dominion, Volume 1, Issue 227, 18 June 1908, Page 3

BUTTER PROBLEMS.

THE MYSTERIES OF MARKETING. . ' NEW SCHEMES AFLOAT.; There aro two Australians in Wellington to-day whose mission may deeply affect our mothods of-marketing dairy produco in tondon; They are-Mr. H. W. Osborne (manager of tho Western.-District Factories' Co-opera-tive Produce/Company. Ltd.), of Melbourno; and Mr. A. J.-.Wyett (manager of the Gippsland Buttor, Factories' Co-operative Produco Company, Ltd.), of. Melbourne. These gentlemen came ovor by the TJlimaroa yesterday,' and arc invited to address tho dairy farmers, and others interested in tho industry, at the National Dairy Show next week: They will talk at Palmerston about tho ' Australian" co-operativo mode of marketing produce, and doubtless tho discussion will arift along to tho possibility of New Zealanders " federating " -with ' the Australians on this matter, and doing their,.'own marketing. What- tnis .may lead to must be left at present for imaginative dairy farmers to think/out, for Messrs. Osborne and Wyett declined to bo "drawn" just yet on phase,,9^,,tho.question when seen by a' Dominion representative yesterday. Thev stated that anything they had to say on that phase of the question must bo reserved for the meetings - they were invited to address at Palmerston.: -They talked, however, freely about .the system from ■ the \Australian' viewpoint, and seemed enamoured of it. " We have marketed our produce on tho co-operative plan,"'said Mr. Wyett, "for , the last five years, and we have put thousands of pounds of, money every year into the farmers! ppekets.''. 'Areairthe'.factories-in it? " In my districts," said Mr. Osborne, " all the factories but-four are in. We market •£200,000 worth of; butter in London per annum.' Mr. Wyett, for his districts, markets a similar quantity. And each of us sold about the same amount of butter locally We supply,, from 400 to 500 Australian grocers with their butter. Our total turnover for tho'yoar was £820,000. There "is a third co-operative company in Victoria, .whom we are also representing here.' The totalturnover of the three companies in butter and cheese 'is. '51,125,000.". .What a'rej*y6ur methods?- . "'The London agehts of 'the co-oporative companies have -full control of the, whole - outputs, arid pl;l'co out tho consignments to the best advantage. They are oh tho spot, and can take 'full' advantage of the' condition'of the market all the time." What do'you charge the factories? : " Four per cent, within the Commonwealth, ancP'throe per cent, in London. Last season we" Wade a profit in the three companies ;of "About £10,000, and were able to roturn one-per cent.'in bonuses to-the sup-' pliers. So "the actual charges were reduccd to 3 and 2 per cent, respectively.' No other method of'rmarketinE can do that.";' What did your suppliers get per pound of butter fatithis season?

Ihe average for the whole season was between ll}d.-. and',l2d.. per pound clear." . Our suppliers got— < ; Wo ifcrald rather not make comparisons just nowj'-tf you don't mind," interrupted Mr. Osborne, " but I: may say that under other systems of marketing the supplier does not get the full' benefit of the hisrh fetched in London. Too much of the profit goes into the-pockets of the merohants.'V " We do not aim," said Mr. Wyett, "at raising prices to; the consumers, but at illcreasing the payments to ■ suppliers by economies in between." ■ ' The Danes fix their own prices: Do you aim to do that when you get New Zealand in with you? • 1 ' I " Don't' question us on that 'point,* was thp reply. "We owe it to those who invited us over riot to ; speak of'these points till we have first discussed them with those gentlemen. Wo will be pleased to see you again later." ■' ' •• . ■ ; ;