FARMERS' CO-OPERATIVE ASSOCIATION.

Globe, Volume XXIII, Issue 2281, 25 July 1881, Page 3

FARMERS' CO-OPERATIVE ASSOCIATION.

A public meeting was held on Saturday at the Commercial Hotel of those interested in the formation of a Farmers' Co-operative Association, having its head • quarters at Ohristohurch.

Mr Chas. Ensor occupied the chair, and there was a good attendance. The Chairman said that he would first read the resolution pasted by the Amberloy Farmers' Club, whioh bad been the means of calling the meeting together. [Btad.J He might say that though the movement had emanated from Amberloy, they had been led to attempt to start such an association from the success attendant upon the operations of a similar association in Timaru. Of course, they could not expect to do so well as the association had done in Timaru, because there',was not such a monopoly in Ohrietchuroh, and there was more competition. If they looked at the large number of bankruptcies amongst small tradesmen and farmers, they would see that the formation of the association wculd, as its basis was cash, not only benefit the farmer but the small tradesmen. Thus they would get rid of bills, renewals, and large interest. He would now read them the proposals of the Timaru Association, upon which it had been started, which, of course, would form the basis of their operations. QBead.} He thought the business of that meeting would be of a preliminary character, viz., the discussion of the advisableness of forming such an association, the appointment of a provisional board of directors, and the putting the matter in trim. Another thing was that they should establish a farmers' room, where the members of Farmers' Clubs could meet and discuss subjects of importance to them, which he thought would form another link in the chain binding the farmers together. He was glad to tell them that Mr Walkins, the manager of the Timaru Co-operative Association, was present, and would give them information on the matter.

Mr Watkins, the manager of the Timaru Co-operative Association, aaid he had pleasure in being preterit that day. He might say that it was his opinion that the farmers were the heaviest taxed class in the colony, not alone in political taxes, but also in being taxed on the produce of the earth, and when it was produced. The various commercial bodies, such as banks, shipping companies, &0., combined together to carry on their trade; why not, then, the farmers, who were the backbone of the country. If the farmers were not successful, then the country must go to the wall. Thus he would advocate the formation of farmers' cooperative) associations in the various centres, independent of each other, but cooperatively joined together for one end, viz., the forwarding of their produce to all parts of the world, and reaping of the benefits accruing therefrom. He would desire to point out that the undertaking must be based on a sound mercantile basis to bo a success. They must therefore see that the association, which he trusted they would float that day, was started on sound commercial principles. When they were forming their association the great desideratum was the securing of a first-class directorate—men of standing in the colony, of high business principles, and a knowledge of finance. Next, they would require a very large amount of capital, in order to conduct their business satisfactorily. He could not say now what amount of capital was required ; that would depend upon the business done. They required a good paid-up capital, ho that the persons with whom they did business might have confidence in the association. He also desired to call attention to the fact that there were some men who would take but small interest in tho association, but would have all the advantages of the association. What he meant was this, that the man who took one share had as much advantage, except in the matter of interest on their capital, as the man who took fifty. This was, the one fault in their Timaru organisation. But he would suggest that the limit should be five shares, giving, however, discretionary power to the directors to allot shares from one to five, if necessary. Thus the poor men would not be excluded, but the association would take the poor men with them as well as the rich. He might say that it had been said that farmers knew nothing of business, but he could tell them that there were members of the Timaru Co-operative Association who would do credit to any mercantile firm. Now he would tell what they had done in Timaru. They had only started in March, and they had saved their shareholders a great deal in sacks. On coals too they had bought a cargo and Bold it at 31s 6d, "the price previous to this being 40s and upwards. There was thus a direct saving to the shareholders. Then in the matter of agricultural seeds, such as clover, &c, they had sent out circulars asking the farmers what quantity they would require. The answers to these circulars had warranted the directors in sending heme orders for 125,0001bs of seed at a cost of £SOOO. The reduction on the price of seed, as compared with that charged to the farmers beforo was from 25a to 28s per cwt. as compared with the prices paid for seeds in Christchurch ; the prices charged by the association were from 16a to 20a per cwt. Every care had been taken at home to get tho best seeds procurable from the houses who supplied the purest seeds. Their agent at home had made every effort to obtain the best seed in the market. Large as tho amount of seed appeared, if orders came in as they had dono during the past week or so, their stock would bo exhausted. There were a clats of croakers who aaid, " Oh, if you sell goods at these prices you must b 3 losing money." Well, ho would not attempt to arguo with men such as these now. Let them wait until the balance-sheet came out, and then they would seo that so far from being a loss they were giving the farmers who belonged to them advantages which they did not before possess, and ho might tell them that there would bo a balance for division. Not alone had they given their people opportunities for producing but they had gone in to arrange for agoncies all over the world. They had agenoies in London, Liverpool and America, besides in tho colonies. They had shipped large quantities of grain home, though coming late into the market, and had stored very largely. On this produce, both in store and shipped, they had advanced to the farmers as liberally as any mercantile firm, charging them no com-

raiesioD, but only interest, and putting them after shipment on as favorable a footing a* could bo given to them by the oldest established mercantile firm. This season they were too late for the wool season, but next year they intended to go in for this trade, and also when they got their stores, &c, erected, for importing agricultural implements, &o. If one-half of the exporting of the wool of the colony and the importing of seeds, &0., was done through associations like this there would bo a saving to the farming interests of the colony of over £310,000. ("Cheers, j Hecould not speak fully as to the wool trade, as the returns were not yet to hand, but those who had shipped through them would see & very considerable difference when the account sales came in from those of the most liberal mercantile firms. r_Cheerß J In answer to a question,

Mr Watkins Eaid that the shipping trader of this district was in the hands of two companies. It there were strong associationsthey could soy to these companies, '* Here is our produce, if you will not take it at a certain figure we will freight the ships ourselves." The Xima.ru Association was not large enough to do this now, but when theChristchurch and Tiinaru Associations were joined together they might do so. As regarded the payment of tho officers it was, in his opinion, the best to pay their officers by salary. They did not want to make money m the sense of grasping everything they could get hold of. If they paid their manager by commission it would <vt once be seen that he would desire to make as much profit as possible, thus depriving their members, to some extant at least, of the advantages which they would now possess. There was nothing in the rules of the Association formed atTimaru to prevent any person becoming a shareholder, whether merchant or farmer. The fact was, the Association'was a farmers' association, and they could, if they so liked, have the key of the position. Several questions were asked of Mr Watkins as to the working of the Timarn Association, and answered by him. Captain Parsons moved—" That in the opinion of this meeting it is desirable to establish a Farmers' Go-operative Association, Limited, having its headquarters in Christchurch ; such association to be called the Christchurch Farmers' Co-operative Association."

Mr Templar seconded the motion. Some discusEion lock place as to the name, end ultimately if. was decided to call the association " The North Canterbury Farmers* Go-operative Association, Limited." The) motion, as amended, wag then put and. carried unanimously. Mr Anson moved—" That such association ahull be on the basis of the Farmers' OSoperative Association of Timaru, and also that the rules of that association be adopted, (abject to the necessary alterations." Mr Pearson seconded the motion, which was carried.

Mr Dickenson moved—" That the following gentlemen be communicated with, asking them if they will act as a provisional directorate to draw up prospectus, viz.:—Messrs Courage, Ensor, Parsons, Peryman, W. D. Laurence, T. H. Anson, T. Bruce, Pearson, Dickenson, M. Dixon, Mannering, C. J. Harper, B. Westenra, H. Mcllraith, Wade, J. B. Campbell, E. G-. Wright, John Grigg, H. W. Packer, J. Bennie, E. B. Willis, J. Lance, J. N. Toss will, Cunningham, Gammack, Orossley, Mathias, J. Bell, Gordon, Holmes, and Saunders, with power to add to their number."

Mr E. Ensor seconded the motion, which, was agreed to. Mr Pearson moved—" That Mr L. O. Williams be requested to act as interim secretary of the association." Mr Courage seconded the motion, which was agreed to.

The meeting, after passing a hearty vote of thanks to Mr Watkins, which was carried by acclamation, adjourned.