PRICE OF BUTTER.

Taranaki Daily News, 8 April 1921, Page 4

PRICE OF BUTTER.

CONFERENCE AT PALMERSTON. BRITISH GOVERNMENT’S STOCKS. A meeting of representatives of dairy; companies called by the Butter and Cheese Committee was held in Palmerston North on Wednesday, to consider again the priep to be charged for butter in New Zealand during the next few. months. The decision of a similar conference at the end of labt month was that the factory price should be 2s 2%dL per pound, and that the retail pried should be 2s Gd per pound. The matter is being discussed again in the light of suggestions made to the companies by the Government, -wlffch does not think that the retail price ought to be increased at the present time in view of the falling market. The result of the conference will be communicated to the Government. The reductions that are reported by cablegram bring the price of Australian bptter down to less than 2s per pound wholesale. A large quantity of butter is still being held in Australia at the disposal of the Imperial Government, and it is possible that the British authorities have indicated their willingness to quit some of this at a loss, in view of the heavy accumulation of stocks and the falling prices in the United Kingdom. “A statement is being that the Government intends to use Imperial stocks of butter to force down the local price below the cost of production,” said the Prime Minister. “This statement is not correct. It is the reverse correct. It is the business of the Gov , erhment to do its duty to both the producers and the consumers. All that the Government knows about the Imperial stocks of butter, which are not under our control, is that the Imperial Government is willing, under certain conditions, to sell the butter at a lowe? price than was .paid for it.” Mr. Massey’s statement refers to but* ter that was purchased by the British Government through the Imperial Sup* plies Department under the contract that expired on March 31. The price paid for this butter was 2s fid pen pound. A very large quantity of thi.4 Imperial butter is still in the stores irt New Zealand awaiting shipment. The reason why the British Government ie willing to sell butter from the stones at a loss is obvious, in the light of tfte statement cabled this week that tile wholesale price of New Zealand first anfil second grade butter in London is now 262 s a hundredweight, or roughly 2s 44d per pound. The price already paid for the stored butter in 2s fid per pound, artd the cost landed in London will be In the neighbohood of 2s 9d per pound. A further fall in the London price is pr - 1 dieted. PROTEST AGAINST REDUCTION I By Telegraph.—Press Association. Auckland, April 7. ’ A. meeting of the butter producers, ri*presenting the province, resolved strongly to protest against th«r Government using the Imperial stocks to force local prices below the costj oft production. It also recommended producers not to accept less than 2s per lb ex factory. REDUCTION IN SYDNEY. ; . By Telegraph.—Press Association . > Received April 8, 12.20 a.m. Sydney, April 7. The wholesale price of butter has been reduced twopence a pound.—Aus. and N.Z. Cable Assn. THE AUSTRALIAN POOL. Sydney, April 7. The New South Wales Government, having declined t.o institute another butter pool for the coming winter, the New South Wales and Queensland repre. sentatives of the Commonwealth dairy produce pool have decided to continue the pool from April 1 to September 2 without Government support.