PRICE OF BUTTER

Dominion, Volume 14, Issue 7, 4 October 1920, Page 4

PRICE OF BUTTER

NEW SEASON'S OUTPUT NOT CONTROLLED. . The future price of butter will remain undecided until after the committee appointed by the House" of Representatives some weeks ago makes its report. The decision will rest with the Government, but the recommendations of the copimitteo naturally will carry weight with Ministers. Tho present position is that last spawn's butter is subject to the Board of Trade's order fixing the maximum retail prico at la, 9d. per pound. Very little of thi6 butter is still held in tliij stows, and the supply is expected to be exhausted altogether before the middle of this month. Some districts are almost bare of tho eld butter already. Tho. now season's butter, which is being made in 6inall quantities, is not subject to price restriction at pre6snt. Its.export parity, on a retail basis, is about 2s. lOd. per pound. The actual price to bo paid by the consumers 1 will be fixed by the Government, after the Butter Committee has reported,, but in the meantime the peoplo who hold new butter are jiot violating any rejfula- ' tion if they sell locally on tho basis of the export'pricje. It appears that some' factories arc continuing to put butter on tho New Zealand markot at the old prico pending the aunouncement of tho Government's decision. _ The Butter Committee is expected to make its report to the House .of Representatives this week. There is little doubt that it will recommend that the producers shall receive tho full market price, as determined by the export valuo. But there is some reason to believe that the local consumers will obtain a concession in price, involving a wntmuation of the subsidy now being paid oi locally-cousumed butter by the Government.