THE BETTER OUTPUT
DISPOSAL NEGOTIATIONS UNOPENED.
THE POSITION EXPLAINED.
{Special to the Times). CHRISTCHURCH, May S. Negotiations for the disposal of the dominion’s output of butter as from August 1 next, when the present Imperial contract expires, have not yet been opened up. The Imperial Government has asked through the dominion Government that New Zealand producers should place a price upon their butter for next season, but so far the farmers are holding out for a free market. Mr C. P. Agar, South Island representative on the dominion butter committee, explained the position to a Sun reporter to-day. He stated that the last conference of producers had instructed the committee to take such steps as were possible to bring back the free market for next season. When the Imperial Government’s cable requesting a price for the new output had been received, the committee met to consider the position. In face of the instruction of the conference the committee had no power to enter into selling negotiations with the Home authorities, but in any case it reaffirmed its previous decision to ask for a free market, and informed the Imperial Government of that decision. No further communication had been received from Home to give the free market which the dominion producers desire. All control must be lifted from the butter on the Home market and shipping must also be free. That free market cannot be secured, of course, so negotiations may be opened up with the Imperial authorities, but before that can be done the producers must be called together in conference. The dominion butter committee has no authority to sell next season’s output “off its own bat.” The present export price of butter is 181s per cwt, f.0.b., slightly under Is 7W per lb. The maximum price on the Home market is 3s per lb. It is considered that at that figure the value to the producer in New Zealand should be somewhere around 2s 5d per lb, but if all control were lifted values would probably alter.
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https://paperspast.natlib.govt.nz/newspapers/ST19200510.2.36
Bibliographic details
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Southland Times, Issue 18817, 10 May 1920, Page 5
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338THE BETTER OUTPUT Southland Times, Issue 18817, 10 May 1920, Page 5
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