THE DAIRY OUTLOOK

Wairarapa Age, 17 March 1927, Page 5

THE DAIRY OUTLOOK

MR. D. FULTON ON VESTED INTERESTS. ‘ HYSTERICAL DENUNCIATIONS. ’ ’ BOARD UPHELD. HAMILTON, March 16. Interviewed on the dairy position to-day, Mr. Dynes Fulton, chairman of directors of the New Zealand Co-operative Dairy Company, said that once again vested interests opposed to control had resorted to hysterical denunciations of the board in an endeavour to stampede the producers of the country. They undoubtedly had utterly failed as on previous occasions when such attempts had

been made. Unfortunately they had succeeded in scaring the Government, which in this instance held tflie balance of power on the control board. An examination of the position showed how bankrupt of rny foundation this latest outburst of the vested interests was. The country had been treated to the spectacle of glaring posters and newspaper headlines; yet what was the peg on which all this sensation hung? Merely the statement of “a prominent marketing authority,” who, be it particularly noted, advisedly remained anonymous, to the effect that the present butter position was a fiasco. The whole of this alleged trouble was laid at the door of the unfortunate Control Board. It must be obvious to all sane producers that the present condition of affairs, in so far as that condition may be unsatisfactory, was solely due to the inefficient non-control system under which our produce was hc<d last year. “It is,” continued Mr. Fulton, “unnecessary for me to traverse in detail the essential facts so ably set forth by Mr. Grounds in the two statements he has made, but I recommend every producer in the Dominion t® read every wor’d of these statements and thoronghJj' digest them.” Mr. Fultojj emphasised that the Control Board had only been in operation in so far as actual control was concerned, since September last, and at the inception of its operations found itself faced with a huge accumulation of old season’s produce, the direct result of non-control conditions. It applied iipelf to overcoming the handicap, and Mr. Fulton felt sure that it was only the obvious prospect of its success that prompted the present outburst. Vested interests were endeavouring to see that the principle of co-operative marketing did not get a chance to be tried out, realising that its success would be a severe blow to themselves. If, added the speaker, recent happenings had served no other purpose, they had at least shown the farmer just exactly where he stood. — (PA.).

MARKET CONDITIONS. BIG BUYERS HOLDING OFF. LONDON, Mareh 'l5. The butter market is in a* state of chaos. Sellers do not know what to ask or buyers what to offer. It is expected that it will be several days before matters settle down. Meanwhile trade in all descriptions of butter is practically at a standstil. A few sales have been effected of small quantities of New Zealand butter at J 50s pfer cwt and cheesd at 80s per cwt, but the big buyers are adopting a waiting policy. Until they have commenced operations the establishment of ’basis prices is impossible. Australian is quoted nominally at 148 s per cwt. The New Zealand Board’s suggestion that weekly sales should amount to 90,000 of butter and 45,000 crates of cheese is .generally regarded as impracticable in view of the smallness of recent sales of New Zealand produce, as buyers have preferred to take other varieties.—(A. and N.Z.). RETAIL PRICES REDUCED. LONDON, March 15. A firm owning 800 shops is reducing the price of New Zealand cheese and butter by Id per ]b retail, consequent upon the Control Board’s resolution. This is easing the wholesale market.— (A. and N.Z.). LATEST QUOTATIONS. STATEMENT BY MR. W. GROUNDS. \ AUCKLAND, March 16. Butter is being quoted on the London market at 146 s to 148 s and cheese at 76s and 78s according to advice by cablegram received at one o’clock today by the chairman of the New Zealand Dairy Produce Board (Mr. W. Grounds) who is at present in Auckland. The advice added that the produce was moving slowly, and it was evident that big buyers were holding off the market. Mr. Grounds said the board anticipated that there would be a considerable fall in prices before a sales basis was reached. The decline was serious, however, and in the case of butter particularly so. The last prices named for butter by the board before its change in policy were 158 s and 160 s against 146 s and 148 s at the latest advice, -a decline of 12s within about two days. The decline in tho case of cheese was 6s to 7s.

“My personal view is, as the country knows, that it was disastrous to abandon price-fixing,” said Mr. Grounds. Asked how he proposed to reconcile the clearance of the large weekly quotas with fixed prices, Mr Grounds said: “I will not discuss that point now. The board has taken the view that sales must be made and has removed price restrictions and I must support the policy of the board. I intend to use my best endeavours to secure a maximum of success under the new policy. Wftat are the prospects?—well, no man could venture a confident opinion at the moment. All that I can. say is that the market appears to be stagnant at the moment. We shall have to await events for a workable basis.”—(P.A.).