BUTTER AND CHEESE

Sun (Auckland), Volume II, Issue 350, 10 May 1928, Page 12

BUTTER AND CHEESE

OVERSEAS MARKET REVIEW FORWARD BUYERS OPERATING An interesting resume of influences at work on the overseas butter market is contained in the following review by A. 11. Turnbull and Company, New Zealand agents for W. Weddel and Company;— “Throughout the month the butter market has been rather slow and dragging, with a weak tendency,” states the report. “The latest advices are that the spot market is slow. W. Weddel and Company, Ltd., have cabled that the chief cause for the weakness in butter quotations throughout the month has been the heavy arrivals of Australian butter and the pressure of Australian sellers to clear their stocks. Kangaroos have been quoted down as low as 1525, and with large quantities of Australian butter being offered at this figure, it has been difficult to keep New Zealand prices up to 164 s to lb6s.

''° u , r principals ' acivise us that altnougJi the market may show even some further weakening, they are of the opinion tnere will be an improvement toward the end of this month or early in June, when they anticipate that the bulk of the Australian offerings will be cleared and the pressure of Australians to sell will have eased. The future will depend very considerabiy on the weather conditions in the Northern Hemisphere and present reports indicate that an early spring with a flush production is likely. “A bright aspect of the future is that stocks in New Zealand amount only to some 5,500 tons, as against 10,700 tons at the same time last year, so our shipments from New Zealand during the next few months will be considerably less than this time last year, and should have a good effect upon the London market. “Forward buyers have shown no activity during the month of April, but since the beginning of May there have been some inquiries for forward shipment and sales have been made at from Is 4Jd to Is for April-May make or May-June shipment. “As anticipated in our previous report, the cheese market through the month of April has been somewhat weaker, and the consumption has been checked owing to the cold spell. Latest advices, however, point to an improvement in the market, and W. IVeddel and Company, Ltd., are of the opinion that prices are more likely to advance than decline. “As in the case of butter, stocks of cheese in New Zealand are very much less at the end of April than they were at the same time last year. ‘stocks amount to only 6,300 tons, as against 12,900 tons last year. “We are of the opinion that the cheese market will remain steady and firm, at any rate until fair quantities of Canadian make become available.”