CHEESE OR BUTTER?

Hauraki Plains Gazette, Volume XXXIV, Issue 4547, 6 April 1923, Page 2

CHEESE OR BUTTER?

MEETING AT WAITAKARURU. A meeting of the settlers of Waitakaruru was held in the Waitakaruru Hall on Thursday last to discuss the advisability of erecting a cheese factory. Mr W. Stretton presided over an attendance pf over thirty, and Mr G. Buchanan, a director of the N.Z. Dairy Co., was present by request. Mr Buchanan said that the question of erecting cheese factories had to be decided by the settlers themselves, as each unit must stand on its own footing. The last two factories t.o ba erected were on the very low share basis of 251 b of butter-fat per share. The standing of the Waitoa dried milk factory was 12% lb of but-ter-fat per share. The N.Z. Dairy Co. would put up a factory if suppliers were prepared to take up sufficient shares and guarantee t,o supply for four years. He would not advocate building a cheese factory at Waitakaruru. In other districts suppliers to cheese factories were trying to gel- - cheese shares transferred to the butter group, but this was not, permitted, as it would not be fair to load butter suppliers with the cost of a cheese factory. When the subscribed capital amounted to 15 per cent. over, the cost of the factory the standard of share allotment would automatically alter. Butter shares would, however, be accepted from cheese suppliers, as the butter group was financial, but the cheese factory would be a new liability. In reply to questions Mr Buchanan said that it would take two months to sell cheese made in March. Factories were switching over to butter, as any cheese made now would meet the Canadian product on the English market. Mr Hale said that at Shelly Beaeh the, pay-out had been 2d less than butter. Mr Buchanan said that durijng the first two years Netherton factory did much better than butter,, but during the last two years the number of suppliers had dropped from 40 to 15. The others were supplying a butter factory, and were still paying the calls on their cheese shares. A four-vat factory would be necessary to cope with the supply of 800 cows, and this would cost, roughly, £5OOO. New Zealand had nothing to fear from the competition of Argentine, as the quality of their butter and cheese was very low. All suppliers tp the cheese factory would have to sign a guarantee to supply for four yeai’s. If a factory was started the cost of cartage to Ngatea would be higher for those who still supplied the butter factory. He would not advocate a cheese factory,, as it might be necessary to erect a butter factory, and the cheese factory would tie up the milk supply until the factory was paid for. If 600 cows were guaranteed the company would probably build a factory to cope with 800 cows. The standard of butter shares was 701 b pf butter-fat, and cheese shares varied from 251 b to 571 b.

Mi’ McKenzie suggested that as a cheese factory would be charged to the suppliers a butter factory should be advocated, as the cost would be borne by the whole of the suppliers to the butter group. Mr Buchanan explained that the cost of manufacture would be very high at a small factory, and the company would only erect, a factory if the suppliers agreed tp accept a less payout so that dt.her butter factory suppliers would not be penalised. The manager of the Ngatea factory had reported that an increase of 500 tons had been handled this season with an increase in staff of only one man and a boy.

Mr Buchanan reported that the directors had decided to continue grading superfine all through (he winter months, but a meeting of suppliers at Paeroa had recommended that superfine be cut out at the end of April, and> personally, he supported this, a# it would be fairer and cause less dissension among back-block suppliers, as, if the grading of superfine was continued, some men would want the cream carts to run daily, and thereby increase the cartage costs. The meeting closed with a vote of thanks to Mr Buchanan.