N.Z. DAIRY COMPANY.

Hauraki Plains Gazette, Volume XXXIII, Issue 4458, 25 August 1922, Page 2

N.Z. DAIRY COMPANY.

THE ANNUAL MEETING.

CHAIRMAN’S OPTIMISM.

The annual meeting of the Nex Zealand Co-operative Dairy Company, Limited, was held in the Town Hall, Hamilton, on Wednesday, Mr C. Motion (chairman of directors) presiding. There was a very large gathering of shareholders, the ball being crowded.

Mr Motion, moving the adoption of the report and balance-ish’eet, said the company had again recorded a very large increase in the output of butter, the output during the past year having exceeded 18,2*10 tons. The ch.< e manufactured was somewhat less than last year owing to the fact that the supply in the Waitoa district had been diverted to milk powder. IMPROVED QUALITY.

The quality of the butter output, during the past season had shown improvement over the previous year, the average grade for the export season having been 91.54. It was also gratifying to record that the quality of the casein had now reached a very high standard. British buyers were comparing it favourably with thie best French casein, which was recognised as the hallmark ofi quality. The quality of the cheese had not been as good as they could wish. It was hoped that during the coining season it would be possible to apply to the cheese industry the system of grading which h’ad been adopted in recent, years in the butter business with such excellent results. The very large expansion of ‘he business had continued, necessitating the expenditure of large sums in the factories and extensions and the erection of new plant. Unfortunately, while they had a large increase in output, the turnover had decreased to the extent of about a million sterling during the past year, VALUABLE SERVICES. While announcing the election results he made special reference to the services rendered by Mr F. C. Hansen as a director who retired by rotation from the Thames Valley ward this year. The speaker would have been glad if Mr Hansen’s experienced services could have again been available, but in order that a director from the Hauraki Plains might be returned Mr Hansen -had decided to stand down. (Applause.)

IMPROVED MARKETING. Although the sjump during the past year had been unpleasant, and in some cases a disastrous experience, ■he believed that there was no doubt the events of the past year have shown in a very graphic form the need for improved marketing arrangements. The directors had every right to be satisfied with the appointment of Mr J. B. Wright, 0.8.E< as London manager. Already the London manager had been successful on more than one occasion in holding the market up under depressing conditions.

Speaking of the proposed formation of a dairy pool, he said that possibly at some future date some modified form' of pool would yet be established. SEASON’S PROSPECTS.

Regarding the prospects of the coming season, it was at present very difficult to speak. Forecasts made bj r experts in the dairy business both, in Great Britain and New Zealand had often been falsified during the last year or two, and the world’s market values for all the primary products of New Zealand had received a setback. He believed the worst slump was over, but recovery would be slow. He was afraid that in some quarters there was a tendency to engender undue optimism regarding prices of dairy produce which he believed was not justified by the facts. Every effort would be made during the coming season to effect reductions both in cost of' manufacture and of marketing so as to increase the nett return per lb of butter-fat to suppliers as much as possible. As in the past, every facility would be given to suppliers who desired tc test their herds and improve their butter-fat returns.

The territory in which the company operates contains large areas of only partially developed country which can be made into good dairy farms, and there was no doubt that in the course of the next few years the production would be much greater. RESULT OF ELECTION.

Mr Motion 'also announced the results of the elections for three directors as follows: THAMES VALLEY WARD. Wm. E. Hale — —. 63,656 Richard T. Williams — 50,402 NORTHERN WARD. R. H. McKenzie — — 58,898 Jos. Henry’ — — 38 433 William Heaven — -- 7,273 SOUTH-EASTERN WARD. Jos- Clark — — 29,865 Samuel Lye — — 20,890 THE BONUS. Replying to a question of Major Johnstone’s (Taupiri) ip connection with unsold butter, Mr Goodfellow ■said the amount quoted in the circulars was the gross amount. About £140,000 was advanced to stuff in store. ■

In answer to another of Major Johnstone’s queries Mr Goodfellow said an amount referred to had nothing to do with the payments. The only reduction from that amount would be for shares and goods.

Major Johnstone asked why the company made it appear that it wpuld •pay out £550,000 and was not prepared to do so, Mr Goodfellow said it did not appear that way. Major Johnstone said that Mr Goodfellow was merely quibbling in figlures. Replying to further questions Mr (Goodfellow said the 3%d bonus would foe paid on August 25. The shares jtlid not come out of the 3%d. Mr P. Cleary (Rototuna) asked it the 3%d was the only payment to expect this week. Mr Motion: Yes, plus the additional (amount payable on the shares. Mr Cleary : For three months ? We .will get 3%d on B%d and bring it up (tp Is per lb?

Mr Motion: Yes. Mr Goodfellow said that on August 25 payment would be made on the three months and the losses incurred would be deducted from the cheques. A further bonus would be made of Id per lb, and they may also be able to pay out additional amounts. Mr Goodfellow further said, the average payment to-day was Is. The total deductions would be 1.755. The turnover of the business would supply a very large sum.. He hoped to pay out the whole lot by the end bf September. If; the MorrinsviHe friends did not demand any more factories the company could sit on the capital expenditure. If they could sit on the capital exepnditure they could within two years make immediate payments. They were doing their utmost for the increase of the business. The whole amounts would be paid out by the end of October. SUPPLIERS’ COMMITTEES. VOTE OF CONFIDENCE. The suppliers’ committees were entertained at dinner in the Alexandra. Hall, Hamilton, on Tuesday evening. An address was given by Mr Goodfellow and an excellent musical programme had been arranged. During the evening the chairman, Mr C. Motion, on behalf of the directorate, presented Mr Hansen, the retiring Thames Valley ward member, with a suit-case containing a blanket and other articles. Mr Motion said it was a mark of appreciation of; Mr Hansen’s abilities and all that he had done in the interests of the company and of co-operation.

A Vote of confidence in the directors was carried with cheers and musical honours. At the conclusion of Mr Goodfellow’s address those present rose and sang “For he’s a jpMy good fellow.”