LOW BUTTER PRICES

Manawatu Standard, Volume LIII, Issue 27, 29 December 1932, Page 2

LOW BUTTER PRICES

MARKETING QUESTIONED. HAMILTON, Dec. 28. Strong dissatisfaction with the present system of marketing New Zealand dairy produce was expressed by Mr C. J. Parlane, general manager of the New Zealand Co-operative Dairy Co., Ltd., in his monthly message to suppliers of the company. Referring to the disastrous price levels now ruling in London, he says: “1 wish to take this opportunity of stating our company’s firm conviction that just as much New Zealand butter would bo selling in the United Kingdom to-day if the price was at least 20s per cwt. higher than the present market rate, and that the wide margin between our butter and Danish is due in large measure to the failure on the part of New Zealand producers to support any movement in the direction of more efficient marketing methods. “The fact that the Danish butter price level can be retained at 120 s, or higher, while the Empire product is selling at 80s to 80s, furnishes abundant evidence of the efficiency and value of the Danish marketing system to Danish producers, and draws pointed attention to the need for similar efficiency so far as New Zealand and Australia are concerned. “The reorganisation of our system of marketing has always been strongly advocated by our company. Our best endeavours have been put forward over a period of years to bring this about, but up to the present the assistance from the industry as a whole has not been sufficient to enable any effective organisation. When expressing this point of view it is fully appreciated that our own people have for some time past realised the necessity for such action, in fact, it is only right to say here that the company’s pioneering efforts toward a uniform New Zealand marketing policy oould not have been carried on without the support of our suppliers, but it is un-. fortunate that even with the present market values a large section of the producers seems satisfied to adhere to the obsolete competitive system, costing themselves and the community hundreds of thousands of pounds per annum. “If the market value of our butter exported to the United Kingdom could be raised by 20s per cwt. producers receipts would increase by over £2,000,000 per annum. Such a reward for real co-operation in marketing is surely worthy of the attention of all dairy farmers.”