BUTTER MAKING.

Hokitika Guardian, 23 November 1921, Page 4

BUTTER MAKING.

THK ‘OYKR-lU’N.” explanation HY .MK SINCLAIR. "What is tilt* over-run ?” Tliis (juostiuii puzzles many people, bat a clear explanation "as supplied recently by Mr A. J. Sinclair, assistant manager „f the New Zealand C’o-operatici* Hairy Ct>m|>iiny, I-imlt.— { . Tn I'vi'rv IOOIL of butter made, lie stated, 20ll> consisted of over-run, which cost practically nothing. In a pound of butter there was Ifi per cent of water, the maximum allowed by law; 2.f per cent ot salt*; and ]{ percent, of curd and ash. Salt east £8 per ton, but sold as over-run at £2BO per toil., so that the cost was ‘almost infinitesimal. There was a theoretical over-run of 23 per cent, in butter, Imt actually it was less than that. In every lUOlb of butter packed llh was added for the “tip of the scale,” in accordance there were mechanical losses ranging from 2 to 3 per cent. With a 20 per cent over-run in an output such as the New Zealand Dairy Company’s there was a wide margin of profit. That was why the company could pay 2s Od per Tb. for butter-fat when butter was sold for 2s 6d per lb. The company’s enemies suggested all sorts of unfair practices which enabled them to make such such a big pay-out. The company last year sold 12,(500 tons of butter. Of that amount there were 232 tons represented by ower-run which cost nothing to make. The value of the over-rim to the company was .2709,000. Out of this sum the company could well afford to pay a bonus in excess of the amount that was actually received for the butter contents.