LAND VALUES.

Kaipara and Waitemata Echo, 12 August 1920, Page 3

LAND VALUES.

Speaking at the social function held at Palmenstou North at which Mr M. Cohen was entertained, Mr F. J. Nathan quoted some interesting figures showing the profits made by dairy farmers when land was worth £40 per acre, compared with the profits made at the present time with land at £120 per acre. He spoke first of the yours 1912 and 1913, when land was at £40 per acre, and the price paid for butter-fat Is. per pound. Allowing three acres to run two cows, the cost of land per cow was £60, the interest on which at 6 per cent, would 1)3 £3 12s. The return from 2001b of butterfat at Is, per pound would be £10, the profit per cow thus being £6 Bs. Taking land at £.120 per acre, and the price paid for butter-fat 2s per pound, and again allowing three acres to run two cows, the cast of land per cow would be £180, on which the interest at 6 per cent, was £10 16s. Two hundred pounds of butterfat at 2s per pound would return £20, leaving a profit per cow of £9 4s. Therefore, said Mr Nathan, land at £120 per acre with butter-fat at 2s per pound was cheaper than it was eight years ago at £40 per aore, when butter-fat was Is per pound, the fanner's return now being 43 per cent, better.