h.~ m.

6

necessities of producers the New Zealand (iovernment have taken the responsibility of advancing 90 per cent, of the value of butter and cheese received into store, in order that factories might be able to meet their obligations with milk-suppliers during this month. Already New Zealand (iovernment has advanced nearly £600.000 for this purpose, and it is proposed to make this advance a first-charge against the funds to be made available by Imperial Government. Until 1 receive further information from you with regard to the terms of purchase the matter of funds mentioned in your confidential telegram of the 21st November can remain in abeyance. Telegram from the Right Hon. the Prime Minister to the High Commissioner for New Zealand. dated 26th November. 1917. With reference to tin.' notification conveyed in your telegram of the 21st November with respect to-shipping available during December and January: In view of the tonnage to lie made available thci".' will be no difficulty in shipping the quantity of dairy-produce both to the United Kingdom and Egypt. In my telegram of the 23rd November I indicated to you that the (iovernment had advamed nearly £600,000 to dairy factories to meet obligations with milk-suppliers, and further large sums will be still required for the same purpose. I shall be greatly obliged if you will arrange lor at least ,£600.000 to lie paid to the Treasury as soon as possible to reimburse the amount already advanced by the New Zealand Government. This will mean cancelling the latter part of my telegram of the 23rd November, in which I informed you that the question of funds could stand over pending the receipt of information from you with regard to the terms of purchase. Telegram from the Right Hon. the Prime Minister to the High Commissioner for New Zealand. dated 28th November. 1917. Kindly interview Food Controller and ascertain if be will purchase approximately 700 tons whey-butter. 250 tons milled butter, .30 tons dairy butter, and 75 lons dairy clieese. which will be available for export during current season. No market for these products in New Zealand, and producers will make heavy financial loss if this produce cannot be exported. Values whey and dairy butters usually 2d. per pound lower than first-grade creamery, and Ad. less per pound lor each lower grade; milled butter -"id. per pound lower than creamery for first grade, with id. less each lower grade; dairy cheese Id. per pound lower than factory for first grade, with id. reduction for each lower grade. Understand these prices acceptable to producers on conditions similar to those offered for creamery butter and factory cheese. Stocks accumulating. Matter urgent. Telegram from the Right Hon. the Prime Minister to the High Commissioner for New Zealand, dated 28th November. 1917. Butter and cheese : I greatly appreciate your telegram of the 27th November, and am especially thankful to yourself and Food Controller for the efforts made in bringing about a settlement of a matter of such great, concern to the Government and producers of New Zealand. To-day I met in conference the committee of the butter and cheese producers, and made known to them the contents of your final telegram. After much discussion a request has been made by producers that the Imperial Government should accept the risk from factory-door to f.0.b., owing to the insuperable difficulties being experienced iv obtaining the necessary insurance cover. \( the Food Controller is prepared to undertake this risk, then the producers are equally prepared to pay a reasonable premium, which would be recovered out of the price to be paid for the butter and cheese; and I should be glad if you would ascertain and telegraph whether Food Controller can see his way to make this further concession, and. if so, the rate of premium to be charged. The amount of money required by Treasury to meet advances on the 90-per-ceiit. basis for Goth butter and cheese at present in store is £1,000,000. Please arrange to have this amount made available to the Treasury in New Zealand. Telegram from the High Commissioner for New Zealand to the Right Hon. the Prime Minister. dated sth December, 1917. With reference to your telegram of 28th November on subject of whey and milled butter, dairy butter, and cheese, Food Controller is prepared to buy quantities offered subject to reduction of penny per pound on price quoted 28th November ; condition of purchase to be same as in case of creamery butter and factory cheese. Telegram, from the Right Hon. the Prime Minister to the High Commissioner for New Zealand, dated sth December. 1917. I am informed that New Zealand Overseas Shipowners' Committee have received the following telegram from the London Tonnage Committee: ''Clear old season's butter, whether private or (iovernment. before shipping new season's." I should be glad to receive some notification from you regarding this direction, and to be advised of the circumstances under which it was issued; further, whether butter shipped on private account will be requisitioned on arrival by Food Controller, and, if so, on what terms. Telegram from the High Commissioner for New Zealand to the Bight Hon. the Prime Minister. dated Bth December, 1917. With reference to your telegram of sth December, 1 am strongly pressing for prompt pavuient from Ministry lood of advances cheese, butter. Understand delay clue to internal arrangements