THE PRICE OF BUTTER.

Stratford Evening Post, Volume XXV, Issue 85, 14 April 1915, Page 7

THE PRICE OF BUTTER.

RESULT OF AUSTRALIAN SCARCITY. Per Press Association. Auckland, April 13. The shortage of supplies of butter in New South Wales and Victoria owing to the drought has created a brisk demand for supplies from New Zealand and other outside sources.,As a result the value of butter has been increased, and the dairy produce committee has decided to advance the local wholesale price from T2d to Is ;!jd per lb from to-morrow.

During the past few days parcels of first grade butter have been purchased for shipment to' Australia at rates considerably higher than the export value fixed by the London rates. A shipment of 1500 boxes was made by the Riverina to-day, its value being estimated at Is 3d per lb f.o.b.

Representatives of the leading dairy companies state that the local price now fixed for standard brands is hardly on a parity with the export value, as the cost of moulding into pats and of districution is considerably more than pi per pound. The present price is the highest fixed this season, the highest previously having been Is 2pl from January 22nd to March 2nd, when values in London were exceptionally advanced. The retail price will probably be raised from Is 2d to Is sd.

The demand from Australia will probably bo an important factor in the dairy produce trade during the remainder of the season. The recent rains greatly improved the Australian pastures but they came too late to compensate for the shortage of the production during the dry period. Merchants responsible for the local wholesale supply ami who have to store large quantities for the local winter requirements, will now have to meet the competition of Australian buyers as well as of the demand from London. Further advances in the local prices therefore seem likely.