PRICE OF BUTTER

Dominion, Volume 13, Issue 286, 27 August 1920, Page 6

PRICE OF BUTTER

LOCAL SUPPLIES. One or two questions about tho announcement of the increase in the price of butter which, may- be expected during tho coming summer' were asked by G. Mitchell in the House of Representatives yesterday. Mr. iMltcheLl referred to the report that the producers had been offered 280s. f.o.b. for their butter. He asked what i the intentions of the Government wero with regard to the price for local supplies. Ha understood that at present a quantity of butter was held by the Government for local supplies, and he asked whether tho Government would give the House an opportunity of discussing the price question before the supplies mil 1 out. . Jlr. Massey said that he had good reason to believe that they had sufficient supplies in hand to'last until October I. This was owing to tho fact that the Government had held a fnirly largo supply for the winter months. He could not 6ay what the Government might bo inclined to do about tho local price of butter pending the conclusion of the negotiations for tho sale of New Zealand butter to tho Imperial Government. He could say that negotiations were still going on,'and that although the transaction was not yet definitely concluded, so far as he was able to judge the Imperial Government would probably be tho purchaser of New Zealand butter for the coming season. So soon as ho knew definitely what was to be done by the Imperial Government on the one hand and by the producers of Now Zealand on the other hand, then he would bo nblo to consider what the Govornmcnt would do. If the House wished to discuss tho matter, members would have an opportunity of stating thoir wishes in regard to tlie matter, Mr. Witty asked whether the price ol tho butter now held by the Government ( would bo raisttl in sympathy with tins * incrcaso in butter for export. I Mr.Massov said that ho did not tlnnl; j anything of tho sort would bo done. Certainly tho Govcnmont had no wish or intention of making a profit out of it. Mr. Mitchell asked whether the House would liavo an opportunity of discussing the price of butter before the supplies of cheap butter ran out. It had been stated that the price for local supplies would advance to 2s. 9d. per pound. Mr. Massey said that he could hardly express an opinion as to what the future price of butter locally would be, except to say that ho did not think that the people wm\& bo asked to pay 2s. 9d.