BUTTER CONSIGNMENT DIVERTED TO CANADA

Rotorua Morning Post, Issue 5298, 10 January 1947, Page 5

BUTTER CONSIGNMENT DIVERTED TO CANADA

Complications Ansing From Lifting U.S. Co'ntrols C) LONDON, Jan. 8. An Ottawa report states that shiploads of New Zealand butter are being diverted from Britain to Canada to avoid a cut in the Can-^ adian ration of six ounces. It is understood that at least 5000 tons of New Zealand butter will be shipped, and it is likely that supplies will be sent also from Australia. The^diversion, it is stated, by no means indicates an easing of Britain's fat position, which remains almost desperate. Several reasons are given, including the fact that the lifting of American controls has caused certain complications in Canada. In addition the Canadian dairying sea--> sc-n has been poor, and the Canadian Government faces the necessity of leducing" the ration to four ounces unless extra supplies can be imported. If the ration were redueed the ending of other controls would result, including those covering bacon and eheese. In that event the shipment to, Britain particularly of bacon would certainly be affected and smaller quantities would be exported. sThus although Britain urgently needs butter she has agreed to the diversion to Canada of a portion of hef supplies in order that Canada : may maintain both her ration and the export of bacc-n and cheese-to Britain.