FARMING AND COMMERCIAL.

Dominion, Volume 4, Issue 1166, 29 June 1911, Page 10

FARMING AND COMMERCIAL.

THE PRICE OF BUTTER. POSITION 01'' THE FACTORIES. A good deal of mention has been made in public prints during tho past few weeks concerning tiio increase in tho price of • butter, and on Tuesday the position in regard to the market was explained to a Christcjiurch "Press" representative by Messrs.' Chas. IJ.1 J . Agar (secretary of the Tai Tapu Dairy Company), and S, J. Smith (secretary of the Central Dairy Company), who have just returned from a visit .to tho I'almerston .North Show. It htul . been stated, said these gentlemen, that the prices at present charged for butter were too high, also that Australian, butter could be landed here to sell .at'a profit of Is. 2d. retail. This statement had caused some feeling, and it was in the interests of tho factories, the storekeepers, and t'he public generally, that the • true, position should be made more-clear. "VVo are, of course, dealing with the position as it is to-day," said Mr. Agar. "If a firm had bought butter as. a speculation early in April, and held it, of course they could afford t'o sell it cheaper. Tho. position was quite normal in April, and* 'almost everybody in the trade was of opinion that butter would be cheaper. When tho figures for the May make wero known, however, they showed a decrease of about' 80 per. cent. Tho market then beeame panic-stricken, and prices vapidly advanced. To-day there is very little butte; iri the Dominion that is not already sold, and ai quantity of this is only lit for pastry bnt'tor. Almost every linn in the' trade started to store too late to meet' contingencies, and •in addition to t'his fact factories which last year sold to wholesale houses are this year buying heavy quantities for their own .local requirements. "In regard to-the suggestion that Australian butter should be purchased for New Zealand, the local factories cabled to thair agents in Australia. asking the lowest price at which they could procure butter of a guaranteed quality. Tho reply was t'lint' it would costs Is. Id. in Australia. To this price would have to Tie added 20 per cent duty, and the general cost of handling would be another Sd. a lb. This means that Australian butter could not be landed here under Is id. 1 /per lb. Australian bul'ter is, therefore, out of the questioa."

M£WB AND NOTES.

PKi EXPORT TRADE,

AUSTKALIA HAKES A MOVE,

Judging by accounts of the state of the pig market in Victoria, somo of the curers there consider that the market price is so low, and the market so congested, that it is necessary to promote an export trade. New Zealand farmers who are increasing their business in pigs .will, no doubt, follow with interest the developments in Victoria. Recently, tho Victorian Government's pig expert made a reference to the oppor J tunities for expansion 'in pig-raising. Ho forecasted a large increase in oversea trade, and stated that "shipments have already been sent away with profitable results, and there is a great market available in Europe, Asia, and Africa. One shipper has arranged for space at the Government cool stores for 100 pigs per week, but this is only the beginning, as at present no great efforts ore made, and only sufficient pork is produced to meet local requirements:"

When the last mail left Sydney, the subject was receiving attention in N.S. Wales. The Sydney "Daily Telegraph," in an article, said:—"Until a footing can bn obtained in London with something like regular shipments there will always be a financial risk, but we have hero both private firms and co-operative companies with sufficient enterprise to take the chauee. Last year a tolerably large quantity of bacon was shipped to London with very satisfactory results as to prices, while at tho same time affording a correct guide to the requirements of the English buyer. This season prospects foi _ high prices do not appear to be so bright, but shipping has already started both in pork and bacon, as a means of relieving this market of heavy weights. So far there has. been no glut of . prime bacon pigs of suitablo weights for the lora! tradp. It is tht» heavier sides of bacon, ranging from 5G to Cslb., which are not so saleable herb that find favour in Great Britain. The high prices during tho last couple of years have encouraged greater pig production in many parts of tho world, notably in America, Denmark, Sweden, ,ind Russia, while England has also drawn very considerably en China for an indiifercnt class of pork. In this State, it is to be noted, the number of nigs at the end °f. last year was 321,000", as compared with 237,000 12 months previously, or an increase of 2G per cent. When the statistics. of tho slaughtering are available, it will probably be found also that there was a corresponding increase in the quantity treated. In the face of this it is a, healthy sign that prices linve been so we'll maintained as has been the case. "From the. farmer's point of view the most reassuring feature is that English firms have been endeavouring to secure regular supplies of pork from Australia, and were prepared to enter into contracts in some instances lor periods of four years. For frozen carcass nork, with heads and feet on, 4d. per lb7 f.o.b. has been offered, for heavy-weights suitable for. converting into bacon, in England. This would bo <v payable price, and tho fact that buyers were willing to take tho risk for so long ahead indicates an encouraging outlook.. These offers have had to be turned down, becausq there is not. the production there as yet to enable such contracts to be executed. The deduction to bo drawn, however, is that with rapidly-increasing Homo consumption' and such oversea opportunities, pigraising can bo regarded as. a, stablo industry to which increasing attention can be devoted by farmers, especially dairymen, who have facilities for economical feeding." . "