BUTTER AND CHEESE BARGAINS.

Dominion, Volume 2, Issue 593, 23 August 1909, Page 10

BUTTER AND CHEESE BARGAINS.

NEW RULES. DANGER FROM ARBITRATION CLAUSE. The decisions of the Homo and Foreign Produce Exchange of Loudon as to alterations in the rules' governing the trado in dairy produce are worth consideration hy dairy lactory authorities. Beamage— that ■ is, the ailowanco for weight of cloth and scale boards in weighing cheese—is to bo disallowed, it being alleged ■:that beamage would tempt factories to use heavier cloths, just as it had already caused bacon wrappers to increase hy 51b. in. weight. One clause makes it compulsory on a factory soiling its output to deliver within 10 per. cent, (more or loss) of the. quantity sold. ''Drover," the well-known writer of tho "Otago Witness," points out that in case of flood, fire, drought, or diseases among cattle, and such like, this would bo impossible, but probably these eventualities would come under tho legal rule of "force; maj euro" or the "act of God," and factories might so be protected. Tho clause relating to quality and warranty is as follows':—(a) The Government gradors' certificate' issued •at tho timo of shipment shall be final and binding on all parties, unless in the opinion l of tho buyer, some- manifest error has occurred in tho grading, in which case the buyer shall havo the option .of submitting the matter to arbitration as hereinafter mentioned, provided that such arbitration be claimed in writing within three business days after tho goods shall have been landed, or if the goods be landed beforo the buyer has ' sighted tho draft and (or) received invoice, then within three business days after sighting or receipt, (b) All goods are warranted that at the time of shipmont they are pure and free from all ■ adulteration and made or manufactured in accordance with' the requirements of any statute, and (or) Orders-in-'Council.in force iirthe United Kingdom! .(c) Where the' Whole'or part of the exported output of a factory'or creamery is sold no tender of second grado shall exceed 15 per cent, first-grado contract for. butter or cheese, the buyer' to bo entitled to a rear sonable allowance for difference in quality; : It' is probable that in the selling of.outputfl this season factories will find.attempts mado by buyers to introduce this arbitration clause, into their selling contracts. Factories will' .no doubt bo well advised to repudiate if altogether. It practically abolishes selling on Government grade, and the whole question of, quality may bo reopened, and at. tlie London buyers' option submitted to arbitration. In the meat trade, London arbitration has. •many times lowered the price of meat foi* months, and.it would work, the samo disaster in dairy produce. , Factories are advised to insist that the payment is f.ob. ocean stcamor on the grade certificate, and; that this is final,.- and;,that., no arbitration ,\in London affects the question at all. A.moisture clause might, perhaps,' be consented to, ia view of the complaints of the past ocason., hut everything else should be final whon tho produce is on board. ; : Commenting; on, this,.. . moisture question, "Drover" says:—"There is no mistake the increased moisturo in New' Zealand. butter' has made a great sensation, ■ and has been advertised all over 'the United' Sec What it is to fall from grace! ■ New Zealand butter had a high name, and has fallen iin' reputation.:; .Australian ■ and • Siberian (bqtVdo the .water-logging,, but no one-', notices them; No one expected as much of 'them, as from New. .Zealand. A firm adver-tises'-a: moisture-testing-machine, and- uses as": a lever the moisturo-frauds,in.New Zealand butter.' I believe our.. Agent-General [would have prosecuted this firm, but,, uu;fortunately, the figures used .were from the Now Zealand Government: Department of Agriculture, and could not be .refuted.. They also quote as follows, from• m.o ■ London 'Grocer,' and it does not sound nice namely: 'Not only is tip retailer on this : side placed in a very awkward .position,'but die agent or buyer of the goods is also likely i to. be very seriously prejudiced in more ways ' than, one, because he is not only liable to ' prosecution and a.very heavy fine in respect ■■! of. butter containing _ •,excessive, moisturo, ;{ but, having parted with his pnoney in-New , Zealand and paid oyer money to the .bank, j ho would in all probability find it very-difii-' ( cult, to get that money returned, the fac- i tories in the majority of cases .being co- I operative, and very little, if any, ' capital. It is unnecessary for us to point J out-the great hardships which would be inflicted on both the'.retailer and the importer ' of butter at this end,should-cither be pro- j secuted for selling any of this waterlogged commodity, because botli havo been relying \ on'< What the New Zealand Government ana t the New Zealand producer have so coiitinu- ' ally pointed out as being a.great safeguard i —namely, that the butter is all Government f graded.' "■■-'■ . t