CO-OPERATIVE D AIRYING.

Gisborne Times, Volume VI, Issue 174, 3 August 1901, Page 3

CO-OPERATIVE D AIRYING.

AN D ITS A'L’TE XD AX TA i) VAN TAG ES j 1 >v \V. Duuulas Lvsnau.l FART VI. IMPORTS lll'' lI.WON ANI> IICTTKI:. I have been supplied with the figures of the imports of hotter to this district from June, I'JOO, to .Tune, 1001. which amount to 11 tons i! rut. Win should this he, considering that during the same period there has hern exported from this district 135 tons 2cut of hotter 2 This again points to the necessity of co-operation, so that better arrangements can lie made to sc euro all the local trade. The same applies to bacon. The actual return of the imports of bacon is difficult to ascertain, as it is not kept distinct in the harbor returns, lint treated with general cargo. However, a local farmer, after obtaining uliat reliable figures lie could, is satisfied that over .T2IOO worth of baron and bams were imported into this dist rict last year. V by do we not see that we nave a liaeon lartorv of our own to supply this local demand, and have from four lo live times as much for export ITXAMTAI, StruiIESTIONS.

I would strongly urge the farmers lo combine together anil take immediate Steps to start a co-operative factory before the coming season, which I understand is about to commence. There is already one of the local factories being offered for sale through the press. If satisfactory terms can la- made, and the factory is otherwise well equipped and in good working order, win- not combine and secure it without further delay, mid so preserve to yourselves the full henelit of your own labor V Failing satisfactory terms being come to, combine and build a factory of your own. When it-is remembered that each farmer is losing over To on every cow lie milks for a season of ten months for not cooperating, the farmers need have no leaf as m the result, and to do this the whole matter could be no doubt financed through on.' uf the local Hanks by the factory and plant; being given as security barked by a oiiarnutcc by tin- fan net's, they in turn undertaking'to supply their milk to the factory ami to allow their shave-, to no paid for out of small deductions from llu-ir monthly milk claques. Itv this means no immediate financial strain would bo placed upon the farmers. They would have their desired co-operative factory which they would pay for by decrees, am! in a maimer that they would hardly feel.

Then' is a second important aspect of this finance which must not lie overlooked. If the industry is to make real and true progress in this district, it is absolutely necessary that the farmers in forming this company ami arranging their finances wit'll their Banker should make such arrangements that advances could he made to the shareholders themselves direct from the company upon their stock, so as to enable the company to make fair and liberal advances to deserving and reliable fanners, to buy milking cows and generally to assist them at the lowest cost

.. ad rate of interest possible, so that the farmers can with their own united strength assist each other and so keep themselves free from the money lenders. The farmers could pay off these advances by stated monthly deductions from their milk cheques. The industry being a thoroughly sound one, and tlie company being secured i»\- a registered security over the fanners stock, the company would not stand to lose, nor would tlie Bank, as it would hold the securities as collateral security for the advances made. To carry this out the company would require a good reliable Board of f dree tors composed of farmers well acquainted with the real value of stock, and assisted (if required! by the advice easily obtainable from business men. and it would be necessary for all advances to be sanctioned by the Board of Directors.

Supposing a company were started with a nominal capital of no; less titan £5,000. This would give the association about Xd.OOO (after paying for factory and say one creamery), to afford financial assistance to farmers to increase, their milking herds. This of course would have be dealt with by the practical directors on the business lines best adapted, to further the interest of the' association. Under the conditions which prevail in the Taranaki district interest is calculated on the actual amount overdrawn at tlie end of each dav. and not upon tlie full, drawing limit available to the company. It is very important for the farmers to bear this clearly in mind. I trust the farmers of this district will make a united effort so as to put the dairying industry upon a more profitable footing so as to benefit themselves and the district as a whole. (UONILUUKIt.I