THE PRICE OF BUTTER.

Waipa Post, Volume I, Issue 21, 27 June 1911, Page 4

THE PRICE OF BUTTER.

The Taihape Times states : The endeavour which has been made to force up the retail price of butter is likely to receive a check by the simple process which has been adopted, viz., importing from Australia. If the producers yvere getting the benefit of the inflated values there would not be so much cause for complaint; but indications point to a combined effort by merchants to make a “ ring ”' and enjoy the profits. There is not the slightest excuse for the present price of butter, or for the statement that the retail charge will mount to one shilling and sixpence per lb. Neither the London nor the local market justifies such a rise. It is a barefaced attempt to take advantage of the diminished supply consequent on the late dry season. The custom has been to regulate the price of butter by that ruling on the London market. The element of speculative buying is now entering into the question, and consumers are being made to furnish a rich harvest for the speculators. The situation is one that will have to be faced, probably by the import duty being re-arranged on a sliding scale. In view of the plentiful supplies reported in Australia, where first grade butter during the lart few weeks has been selling at several pence per lb cheaper than New Zealand butter, a Wellington firm cabled an order to Sydney for supplies. The Moeraki on Wednesday brought 100 cases, which are now placed in cold storage in Wellington with a view to the market there being tested with New South Wales butter. The shipment is of the first grade, selling in Sydney at less than lid per lb. Butter of similar quality cannot be obtained from the factories here under is id. Adding the 20 per cent duty, the imported article can be sold at is 2d per lb retail. It is stated that the South Island market will be tested with a shipment of butter from Melbourne, better steamship communication existing between the South with Melbourne than Sydney. The quality of the shipment of New South Wales butter now in Wellington should, says a Wellington merchant, 'convince people who talk a lot, that just as good butter can be manufactured in Australia as in New Zealand. It seems an utter absurdity to have to import Australian butter to New Zealand, and yet that course is thoroughly justified under the circumstances, humiliating as it may be. The acuteness of the situation is shown by the fact that the Trades and Labour Council decided to deputationise the Hon. R. McKenzie with a request that butter be brought within the operation of the Prevention of Monopolies Act. While having every sympathy with the producers and consumers, we trust to the Government crushing out all efforts to corner food supplies with a ruthless hand.