COLONIAL BUTTER.

Otago Witness, Issue 2813, 12 February 1908, Page 23

COLONIAL BUTTER.

KEEN DEMAND IN ENGLAND. EXCELLENT PRICES. LONDON, February 6. There is a great demand for colonial butter. Sellers are making their own prices. Choicest Australian, 1365 ; New Zealand, 138s. J WELLINGTON, February 7. A Wellington firm has received a cablegram stating that 135s per cwt was realised for portion of its shipment of butter by the Tonganro, ami Messrs J. B. M'Ewen and Co. report that their advice 3 have recorded sales at 132s per cwt on account , of their shipments. Mr M'Ewen attributes in some measure the extraordinary prices to the shortage of the butter output by both Australia and New Zealand during rocont months. The Australian output for last year fell short of the preceding year's by 8000 -tons, which 13 nearly 25 per cent. | of the average yearly total. From New Zealand shipments fell short by nearly 1300 tons, but this was to a large extent due to the increased outpuit of cheese. This product is now supposed to have found" its level, and an early revival in prices is anticipated*. There is no room to d'^ubt \

that the present position in London JC one previously unheard of, and that it ia the biggest demonstration ever given of the fact that forward buying in produce absolutely amounts lo gambling on the weather. As to future prospects, there seems, our authority states, a -probability thart, pa-ices -will be maintained for a little while, though a forecast of prices made by a reliable firm (and received yesterday) quoted about 112s per cwt as the probable price for February. There will be no New Zealand additions to the market until after the 14-th inst., on which date the lonio will arrive. Her cargo cannot be put on the ma/rket before the 17th ir\st. at the earliest. As a result of the sudden ri6e there has been a large diminution in local buying operations on account of the great disparity between buyers ar.d sellers.