THE BUTTER SLUMP.

Shannon News, 20 January 1925, Page 2

THE BUTTER SLUMP.

WEAK HOLDERS’ ANXIETY TO CLEAR. A REPORT FROM LONDON. A cablegram received oil Monday by the. New Zealand Co-operative Dairy Company, Limited, from its Lonuon manager, Mr J. B. Wright, deals, fully with the present drop in the price of butter in the. United Kingdom. Mr Wright reports that, butter unexpectedly slumped, failing in three days in some cases tu us low as 160 s, 1625. He states that tne market is completely demoralised and that some holders Qf butter on the Arawa and Port Caroline are slaughtering prices in competing for business. He reports that while he has been supporting the market he has cleared considerable quantities at. fair prices and has accepted as low as 167 s to 170 s for Anchor butter, but that he has again raised his price for Anchor' to 172 s with J74s for unsalted, and considers that he will be successful in maintaining these prices until the arrival of the Remuera shipment next week, when he expects a renewed weakness.

In view of the very heavy arrivals Mr Wright expresses regret that the quantities, of butter held by ihim do nqt carry sufficient weight to stay the fail and that he will be able to make little impession on the market until the. weaker holders have cleared their stocks. He reports that the usual "oilenders’ ’ have again been prominent and that certain firms winch purchased butter t'.o.b. New Zealand earlier in the season have also been a weak element. ’ Mr Wright concludes by pointing out that the present collapse is another demonstration of the weaknesses of gut existing marketing methods, and alleges that some agents are actually sacrificing the entire Dominion market in an attempt to quit their stocks quickly so, that they may present to their respective factories more favourable returns than then’ competitors. He states that Danish butter is selling at 198 s to 2005.. Cheese Is firm and both white and coloured are realising 98a. Casein and milk powder are unchanged.