THE CHEESE MARKET.

Taranaki Daily News, 30 November 1921, Page 7

THE CHEESE MARKET.

LAST SEASON REVIEWED. In the course of their annual review of the dairy produce season Messrs. Weddel and Co. have the following to say about cheese: “Throughout the year the consumption of cheese was abnormal, notwithstanding the high price of Is 8d per lb retail, at which it remained for practically the whole period. The arrivals from New Zealand head the list with 68,512 tons, and although this is barely such a large quantity as last year, it is about double the pre-war quantity received from that country. From Canada we received 55,134 tons. The visible supply at the commencement of June, 1920, was very large; in fact, larger than at almost any previous date in the history of the trade; and yet within twelve months the whole quantity had gone into consumption. It must not be forgotten that the New Zealand make for 1920-21 was arriving regularly during that period, while at the same time the Government’s stock of 1919-20 cheese was still being marketed. This would tend to show that cheese, as one of the staple articles of food, is as popular as ever. Indeed, it would seem as if the public were more and more realising that cheese is one of the most economical, as it is one of the most nutritious, articles of food which they can buy. It should be stated that during the past season New Zealand did not fully maintain the high reputation which the Dominion had previously earned for its cheese product. The quality was not up to standard, some being loosely made and containing too much moisture, while there were also complaints of poor flavor and bad keeping properties, it is thought right to mention this in the best interests of New Zealand, and it is to be hoped that the representations which have already been made in the proper quarters will have the desired effect before next season.

“The quality of Canadian cheese was uniformly good; in fact, in the history of the trade it has seldom been excelled. The bulk of the imported Australian cheese was of Queensland origin. Very serious complaints with regard to the quality, packing and handling of this cheese have been general throughout the trade. It is to be regretted' that the quality of Australian cheese should fail so far short of New Zealand, Canadian and other descriptions. Throughout the greater part of the year under review spot prices remained steady, imported cheddar cheese being generally within the limits of 145 s to 160 s per cwt.

“In April the market began to show signs of weakness, and it became evident that these high prices could no longer be maintained. A number of facts contributed to the changed position, including large late arrivals of New Zealand cheese and an unusually early make of Canadian. The result was a collapse in prices, the like of which it may be safely said has seldom been witnessed in the history of the cheese business. When the break occurred, white descriptions were nominally around 148 s to 150 s per cwt., with colored at 1625, and prices ran down quite rapidly until, at on# stage, about the middle of June, New Zealand touched as low as 90s per cwt. This naturally caused a sort of panic in Canada, and it looked at one time as if prices of Canadian cheese would rule about 80s for the June make. In anticipation of this, large quantities of Canadian cheese were sfild short during the month of May in the neighborhood of 85s to 90s ca.f., the general opinion being that the market had lost its stability. It was realised, however, that prices had been allowed to run too lom/ and a reaction set in. The commencement of the phenomenal dry weather experienced in the United Kingdom this year, together with heavy speculative buying by a section of the trade, soon put prices on a much higher level. At the close of the year under review the market had recovered to 106 s to 114 s for New Zealand, and 104 s to 110 s for Canadian, with prices tending upwards. Looking back on the record of the past year, in regard to the prices realised, the conclusion is forced upon one that- cheese values, in sympathy with other articles of food, would seem to have passed their zenith; factories and producers will have to realise that the tendency in the future must necessarily be in the direction of lower levels.