PRODUCE PRICES

Hokitika Guardian, 12 May 1932, Page 6

PRODUCE PRICES

THE BUTTER MARKET,

The past month can only be deicribed as one of ‘disappointments.’ Cabled reports all pointed to a strong market with possibly higher prices. Then came news that Continental powers were limiting by quota of foreign butters coming into their country. This had the effect of again forcing Continental supplies upon the United Kingdom markets and weak sellers in London,, becoming alarmed, pressed sales until the market broke, falling from an average price of 109 s during the first week in .April to 9is for the week ending May 6th. In view of the coming Spring and the Northern Hemisphere production, it seems hardly possible to expect, any material improvement in the immediate future. On the other hand lower prices stimulate consumption and the market is slightly stronger in consequence. Everything must now depend on the weather in the Northern Hemisphere producing countries and tiit resultant shipments to the United Kingdom. It must not, however, be 'forgotten that May invariably shows the lowest point in values on the London market, generally followed by a steady improvement up to the end o. November.

A glance at the arrivals in the United Kingdom shows that May-June will about equal last year’s arrivals, but the total gradings in New Zealand are well ahead of the last two seasons. Warm rains during March"' have brought the feed away, especially in North Auckland, and .production which showed a falling off in February, regained the ascendency.

CHEESE. Quotations in London have likewise shown a steady decline throughout the past month, which is difficult to explain in view of the fact that spot stocks in the United Kingdom are reported to be below normal. . Arrivals of New Zealand cheese during May, however, will be heavy and above last year. This is making buyers cautious and it is feared that even lower prices may be experienced towards the end of May.