THE BUTTER POSITION

Taranaki Daily News, Volume LII, Issue 69, 17 April 1909, Page 6

THE BUTTER POSITION

A SOUTHERN AUTHORITY'S OPINION. The dairy produce writer of the Otago Daily Times, who has an intimate acquaintance with the export trade since its inception, has this to say of the present regrettable position ot X.uw Zealand butter: —"A drop of 5s per cwt. is a substantial fall for a week in the price ol choicest New Zealand, even if entirely due to a dull lifeless market; bin wlien to this drop is added the significant information that '.buyers express dissatisfaction with New Zealand butter this season on account of increased moisture, the position becomes a serious one, and calls for immediate attention. The quotation of 98s per cwt ill London for choicest Xew Zealand factory butter represent Od to Oi/jd, f.0.b., here, and, although some contracts have recently been made at 9%d, these, prices cannot be got now. This drop in price is a serious matter, but the indication of a falling off in quality in one of our principal articles of export is very much more serious. For a number of years past New Zealand butter has heeii steadny and surely winning its way into a firstclass position on tlie Home market owing its dryness, and it attained to the proud position of having distanced in price the Australian, Argentine and Siberian article, and was coming up to the lcvl of Danish in price and reputation. But in an evil hour, and with the intention of beating the Home butter grader, a considerable number of New Zealand factories, acting on the suggestion of irresponsible writers, increased the moisture and followed the practice of Australian factories in water-logging. The ooject of this change has been a lowering not only in price obtainable, but also a loss in reputation, which it will take time to recover. The New Zealand article is now classed alongside that ot Siberia, \yliercas formerly, owing to dryness, it ranked Ills per cwt. higher in the London market. Butter with n large and undue proportion of moisture in it docs not open out well, and it does not keep on being defrosted. Some of our factories arci now sending out butter with 15 per cent of mnisture, as against not more than 10 orll percent, formerly, and this fact! explains the meaning of the High Commissioner's cable. It is no secret in butter circles that home buyers who have recently entered into contracts with i some New Zealand factories have stipulated' that there shall not be more than 111 or 11 per cent, of moisture,'a condition which was not formerly heard of.