BUTTER MARKET.

Taranaki Daily News, Volume LI, Issue 48, 15 February 1908, Page 6

BUTTER MARKET.

THE CONSIGNMENT yUES'ITON. Says the Wellington " Times": Wliile the cuiisiguuiciit method of niart'kting. as we know it. has undoubtedly many advantages there are certain drawbacks to it. one ol which is undoubtedly occiirrini; at the present time. This is. thai it i,"„, iv .,y to sell when an article is in slant supply 1 hat the last penny is not striven lor, except it lie that the seller has a personal interest in the matter. Where an agent is handling butter on consignment and has puvI'haseil oilier butlers outright it does not reipiirc the gift of perspieacitv to see that the hitler will be sold with more vim than the former. Of course we realise that some linns mean what they say when they declare that they only <lo a. consignment business, but a case has come under Our notice where an audit hats resorted lo a miserable shift in hide Hi... fad that lie was buying the output. It is certainly dillienll to do justice lo consignments when the lirui has also purchased outputs, and lliey are selling both at the same time mi the one market. An ideal method of selling butler is to consign regularly in one reputable linn from season to season: bul factories have refused lo lo this, and so have deprived linns ol an opportunity lo build up a connection for a particular bran.l. and the selling of New Zealand butter on British luarkcs has been coiisei|uently weakened, and producers' interests have suffered in the process. It. is now almost impossible for a linn to confine itself to a consignment business. An opportunity may he given it of handling a brand for a season or two, and when the butter has been established in the favour of its clients the factory in New Zealand decides that it will sell. The London lirm has therefore to buy the output or run the risk of an opposition firm securing it. The whole question of the marketing of our dairy produce is weak, and it is the producer who is largely to blame. In Ihe past he was catered to by several highly reputable linns who were in a unique position to sell his produce lo the best advantage. Then—largely aided by the State grading, which' supplied a sound definition of the i|iiali!,v of the different brands—the smaller fry came in, aud they did more harm than good by their competition. At the present time our butter is being, continually sold by different agents to a new set of customers, and. under the circumstances the wonder is*that we secure the price we do. Of course the present market is no criterion, for a good market is .never critical. it is when prices fall that weaknesses are disclosed, and the value of high quality and a good market connection are demonstrated. The great value of a true consignment business need not be mentioned, for it is doubtful if one butter factory in the country—apart from those which are bound to London firms —has given the principle a fair trial: then, again, it is only the Home lirm strictly confining itself to selling on consignment which can do this method of trade justice, and it is doubtful if one lirm can lie found thus situated. On the whole, however, the New Zealand producer is very well served, and that he is not better served is his own fault.