The Daily News. WEDNESDAY, FEBRUARY 7, 1912. DAIRY PRODUCE OUTLOOK.

Taranaki Daily News, Volume LIV, Issue 188, 7 February 1912, Page 4

The Daily News. WEDNESDAY, FEBRUARY 7, 1912. DAIRY PRODUCE OUTLOOK.

Dairymen are in clover. It is doubtful whether there was ever a time in the history of dairying when the immediate prospects were better than they arc at present, at least as far as prices are concerned. Already butter is selling at Is 4d per lb in many places in the Dominion, and there are people who believe •that before the winter is out the retail price will go up to two shillings. This will not be welcome news to the householders, but the dairymen .whose output has not been sold in advance will reap 'the benefit. Last year most of the North Taranaki companies consigned their outputs, and the prices realised were disappointing, the few companies that had made contracts coming out on top. This. year only a small proportion consigned, ] preferring what appeared at the time to be attractive prices from the exporting firms to following the course that kad proved so unprofitable in the previous season. As a result, these companies are not sharing the good prices that are now obtaining. This, of course, cannot be helped. It only goes to further illustrate how very uncertain the dairying market is and the difficulty confronting directors in the disposal of the outputs of factories. The selling companies, however, may participate in the good prices that must prevail in the winter, as most of them, wisely enough, refrain from tying their hands for the latter part of the season. Seeing how much higher prices invariably are for winter butter, it is strange that more of our farmers do not go in for winter dairying. It entails a little more work, more provision for winter feed, the exercise of more care in the working of the herd, but the return is worth it all. Considering the mildness of our Winters and the facilities for feeding in contrast with the rigorous conditions 111 countries like Denmark and {Canada and the expense of stalling and hand-feeding the herds there, we should be in the best possible position to export supplies all the year round, instead of breaking oIT absolutely for four or five months. In regard to the high prices, a dealer lately had something interesting to say. Tie expressed the opinion that the rise was justified by the prices ruling at Home, which had increased considerably. It was impossible to state definitely what had brought about the rise on the London market. It might be due to money being more plentiful amongst certain classes of the community and to a consequent increase in the consumption in butter, or it might be due to a falling off in the supplies from oilier countries. Definite information would not be available, probably. until reports arrived by mail, in a few weeks' time. Tlje factories found that it was easier to send butter home than to supply it locally. In the for-

mer case, they had. to place it in wrappers, deliver it, and go to a good deal more trouble, besides running the risk of incurring bad debts. He added that it would be a good thing if the duty on butter automatically ceased to operate in June, July and August every year. The duty was about 20 per cent. If it were not imposed during those months, the scarcity in New Zealand could be met by supplies from Victoria and New South Wales. The winter prices would be reduced, and the consumer would 1 Teap an advantage, while the New Zealand farmer, .he thought, would offer no objection. Writing from London, under date December 8, to Mr. J. E. Scott, secretary of the South Island Dairy Association, a gentleman holding a responsible position in a well-known firm of cheese and butter buyers, leaves no doubt as to the cause of the rise in prices. He says that never has the Continent of Europe, so far as his memory goes, experienced such a drought as it did during the year, and the shortage of butter in consequence is enormous. When it became apparent to the firm that the supplies of butter in Europe would be so short this winter, they sent a special traveller over to Germany, France, Switzerland, Italy, Holland and Belgium, and got in touch with the largest and best firms there, and pointed out to tliem that they could supply their wants from New Zealand, which ships a most perfect unsalted, butter which is almost unknown for table use on the Continent, It is salted that is so largely used. The result has been that fully 3000 tons of New Zealand unsalted butter is going this season to the Continent. It will interest colonial dairymen still further to know that this New Zealand butter is making top prices on the Berlin market and otheT markets in Germany, as well as in France, Italy, Belgium and Holland. In addition to the drought on the Continent, they have had foot and mouth disease to contend against. In Germany it is rampant, and the last official report which the firm received from that country about a month prior to the letter being sent states that 35,000 herds are affected with that disease. In -Sormandy, in France, it (is estimated that no more than 20 per cent, of the cows will be in a healthy condition to bear calves next summer. This disease is also strong all over Belgium and Holland, and even in Denmark it is to be found. The writer adds that his firm did all it could to persuade the New Zealand factories to ship their butter and cheese on consignment this seas tin, and he feels confident that they will bitterly regret that they had not taken their advice. He does not think he will live to see such a chance again, because the present position has been unparalleled for the last 40 or 50 years, and he does not expect it tfill come for another 40 or 50 years. In conclusion, lie assures Mr. Scott that his firm's clients in Germany,, France, Italy, etc., are delighted with New Zealand hitters, and has no doubt that the result will be a Continental trade in some countries in years to come, for Germany alone imports 50,000 tons of butter yearly.