WELLINGTON NEWS

Hokitika Guardian, 1 March 1927, Page 4

WELLINGTON NEWS

BUTTER MARKET AND CONTROL. (Special to " Guardian.”) WELLINGTON. Lebrunry 2a. .lust a- ]it■< >j) l< ■ set! li l down to the inevitable am! accept tin* Butter Control Roaid ;it its own high \:i 1 Mil tion, .some information < nines along to cause a feeling of uncertaiut v and to raise the question as to whether all is well with the marketing ol New Zealand InttLer. The other day there was published it protest from wholesale merchants in Glasgow, who suggested that they were not being fairly treated, and pointing out that in self-defence they would he obliged to turn their attention to the produce of other countries. This protest was passed over as it emanated from a section of the trade known to he dissatisfied with the change made through the Control Board’s existence. Now, however, doubt is raised as to the marketing policy of the Board (>v .Mr .M. .Myers. K.C., who cannot he accused of harbouring any bias for one side or the other. .Mr .Myers was the guest of honour of the Rotary Club at a luncheon on .Monday last, and in the course of his post-prandial address he remarked that '• the main opposition to the operations of the New Zealand Dairy Board does not come from Tooloy Street itself; but from the big retailers, who say they will not have their prices fixed for them in New Zealand.” Air Myers stated that he had heard no complaint against the .Meat Hoard, hut the position in regard to butter is very diU’crent. The Hoard was, as it were. l:.e 1-tlder of large stocks which it was selling co-operatively. In other winds, tii operations of the Board were the

operations 01 co-operative selling, which forced co-operative buying. So far its he had heard in London, the multiple shops lor the lir.st. time in history made up their minds to adopt the system of co-operative buying as against the system of co-operative sell-

ing. Mr .Myers further stated that he was afraid the position was very much more serious than we in New Zea 1 a ltd supposed it to he. Ihe Chairman of the Dairy Control Board (.Mr AN. Grounds) happening to he in AAellinglim was requested to reply to the criticism of Air Alycrs. and the host lie could say was:—“This commercial and professional opposition to fanners organising a supervision ol their own business has usurped most platforms, and now they have seized Rotary. .Must all ideals how holore them. - ' Ibis is regarded as a very stupid retort. Rotary has shown no opposition, neither has Alt' Myers. Ihe latter wa° giving his impressions and the result of his inquiries into the marketing ol Now Zealand produce. Mr Myers avers that the multiple shops are co-operat-ing in their Inlying operations as against New Zealand’s co-operative selling. Is that true or untrue? If Mr Grounds can refute the statement lie will do a great service to many people other than those directly interested in tht* trade who are alarmed at the trend of events. ’I he fact that the multiple shops are fighting the pricefixing efforts of the Hoard is proved by the hand-to-mouth buying indulged in by the multiple shops. The eflect is seen ill the aeeuimilation of controlled butter in cold store. Kor weeks past the reports with respect to New Zealand butter have been that the market was slow. On February 17th Dalgely and Co cabled: " Market continues neglected with stock accumulating.” A week prior to this, on Kohruary 10th, the report read: "Market, dull.moderate demand, except lor New Zealand, which is generally neglected.” In spite of this on February 11th the London Agency advanced prices 2s, and it was explained that prices were advanced in view of the strength of Danish huttor and general market position, and it was further stated by the London Agency time after the advance demand and sales improved materially. The raising of the price when the nuuket was dull and New Zealand butter was neglected was a blunder, and this is explained hv the fact that last week the London Ageing- had to lower the price by 8s per ewt. If when the prices were advanced 2s the demand and sales improved materially, then when prices have been lowered we may

| expect to see the reverse movement. | AVhat is the explanation for the sudden | and substantial reduction ill the qt'.otag tions? It is up to the Board to give | the dairy farmers and the public a 1 little more information. AVhy was the 1 reduction made, and why has controlled I butter been allowed to accumulate in ti.e stores?