The Guardian And Evening Star, with which is incorporated the West Coast Times. TUESDAY, SEPTEMBER 7, 1926. BUTTER, PRICES.

Hokitika Guardian, 7 September 1926, Page 2

The Guardian And Evening Star, with which is incorporated the West Coast Times. TUESDAY, SEPTEMBER 7, 1926. BUTTER, PRICES.

The doelinc in butter prices at Home last week has been noticeable, more so because “control” came into lorce t oil the Ist. September. In a few days there was a decline of (is per cwt.,- a t relapse all the more serious as the present is the time of the year usually when prices harden rather than Jail. A northerner thinks that the Dairy Control Board’s policy has exercised “an unsettling inlluencc on the London market.” To what extent that is true is difficult, if well-nigh impossible, to determine. So far as the consequences of absolute control are concerned. it would he wiser to postpone judgment. Probably one of the prime causes of the mild “slump” is the miners’ strike. An increased demand may be expected if and when that trouble is terminated. Tt is at this moment, however, when an important report from the Imperial Economic Committee on the preparation and marketing of the Empire’s dairy produce appears. The committee’s conclusions, as cabled, remarks the New Zealand Times, are significant and interesting. Producers throughout the Empire are warned that economies must he effected “in order to meet the inevitable severe competition lor British trade.” Relatively low wages and standards of living in the competing Northern countries will compel the Dominions to adopt cheaper and more efficient methods of production. That is one point. Another stresses the need among 'Empire farmers for considering carefully the practicability of more winter dairying. Denmark is cited as an example of what can l>e done in this respect. The Danes, by means of such a policy, have succeeded in regularising their exports to Britain, so that the monthly quantities vary very little with the season. If winter dairying is not practicable, the committee suggests as an alternative storage in the country of production. Naturally, the report makes reference to control boards. “We strongly urge on those bodies,” says the committee, “a policy of moderation in the use of their powers.” That is excellent counsel. At the same time, the committee places on record its definite opposition to any attempt at fixed prices. The chairman of our Dairy Conrol Board has given an assurance that there will be no fixing of prices. How he hopes to succeed in securing a considerably higher average return for the producers without price-fixing is a rather baffling puzzle. The committee urges, as we ourselves have urged frequently, that there is room for improvment in the quality of {lie New Zeiljnnd output, Increased

production at a lessened cost is only one step in the right direction. “By attention to breeding and the improvement. of pastures and fodder crops,” adds the report, “a greatly-increased output may be obtained without an equivalent additional cost.’ r That is merely commonsense. As with butter, so with beef. Where other countries nre'specialising in these industries, the Southern Dominions are content to plod along in the same old rut. Every reason aide person hopes, for the sake of the community in general, that butter prices will recover, and soon. But Mr Grounds, the Chairman of the Control Board, now on his way to London, has awaiting him a task which will tax to the full the magic which is implied in his pot scheme.