N.Z. DAIRY COMPANY.

Hauraki Plains Gazette, Volume XXXIV, Issue 4576, 18 June 1923, Page 4

N.Z. DAIRY COMPANY.

ANNUAL MEETINGS. . Annual meetings of suppliers to the New Zealand Co-operative Dairy Company have been held at various centres on the Plains during the last few days. Mr Heighway, of the executive staff, outlined the company’s operations during the past year. He said that the benefits of the amalgamation were now being felt more than in previous years. The output 'for the year was 22,072 tons of butter, being an increase of 3854 tons, or 21 per cent, over the previous year. More gratfying still was the improvement in the grade. In the season 1919-20 60 per cent, was superfine, 32 per cent, first grade, and 8 per cent, second grade. In the season jusA passed the percentages were 87.76 superfine, 9.41 first grade, and 2.83 second. This marked improvement was largely due to the universal adaption of the grading system, the help given by suppliers by sending in good quality cream, and the cooperation and keenness of the factory staff. The size of the company has had a very beneficial effect on prices. By means of a chart, Mr Heignway showed the prices realised on the London market in comparison with Danisn butter during the past season. He explained the reason for, and the effect of, the American sale, and the prospects for the coming season. in regard to the pay-out the company has arranged to pay to suppliers the full amount due for the season in August unless the directors considered that it would be advantageous to hold butter in store for a better, market. In that case the final payment might have to be deferred, but a substantial proportion of the amount to be paid would be paid out in August. The financial position of the company was improving, as shares were being paid up and the bank overdraft was being reduced. The box factory had cost £35,579, and had resulted in a net savijng of £50,000' in the past, two years. Butter boxes were quoted at 2s it Frankton and 2s 4d in Taranaki, hut the company's factory could turn them out for Is Bd, and next season the cost would probably be only Is 6d. Twenty pairs of miners- would commence work on Monday,, and production would then begin on a large scale. An enormous saving would be made, as the company uses from 60 000 to 70,00'0 tons of coal a year. Altogether the cost of manufacture had been cut down to. bedrock; The marketing end should now receive greater attention. C • The N.Z. Co-op. Dairy Co. handled one-third of New Zealand’s butter, and with this their London agent had been able to effect some control on the market. New Zealand supplied ha’J the butter on the English mar-’ ket, and if such a measure as the Dairy Produce Control Bill became effective an enormous influence could be exercised. Cheaper, transport could be arranged, scientific advertising made possible, and new markets opened to relieve congestion. The Bill, when before Parliament last year, had been killed largely by, the action of small companies and those who did not understand it. Continuing, Mr Heighway quoted an instance that happened last season. Several small companies had accepted for their cheese. This was retailed in London at. Is 3d, whereas other New Zealand cheese was being offered at Is 4d wholesale. One section of New Zealand farmers was thus competing against another section arid, lowering the price so that all suffered. AT KEREPEEHI. Mr J. Thompson presided over a

' small attendance of suppliers. I In reply to qestions Mr Heighway ■ said that as the construction of the ! Mt. Eden factory had been deferred ' for a year Mr Harvey would probably remain in charge of the Ngatea factory till then. ' In regard to the formation of small factories, some suppliers had argued that the saving in cartage would pay interest on a small factory. They overlooked the fact that the saving would be swallowed up in increased manufatcuring costs. Discussing shares, Mr Heighway said that the company had no intention of altering the share basis. If a man gave up dairying his shares would be resumed by the company. Suppliers who had left the company and had not completed paying for > their shares would probably be compelled to do so in (the near future. Messrs R. L. Davies (convener), J. i A. G. Wilson, S. G. Hine, and R. Shilton were elected a suppliers’ committee. The meeting closed with a vote of confidence in the N.Z. Dairy Co. being carried by acclamation, and votes of thanks to the speakers, the chairman, and to Mr, R. L. Davies for the cup he had presented for competition among the different cartage routes. AT KOPUARAHI. Mr J. C. Miller presided over an attendance of abount twenty. In reply to questions, Mr Heighway said that he could not give any indi-. cation as to whether butter or cheese would be the better paying proposition during the coming season. Cheese and other factories on the Plains would benefit by the coal mine by an arrangement for pooling the price that they had tp pay by reasbn of distance. Household coal was now avail- , able for suppliers. i The company did not pay interest ! on share capital, as if this was done ; income tax would have to be paid. | The profits were distributed as a i bonus ito suppliers, so no tax was paid I and the farmers got the benefit. | The following committees were ' elected:— Orongo : ■ Messrs P. C. Hall (convener),.!. N. Smith, A. J. Lowry. Kopuarahi: R. Green (convener), J. C. Miller, and E. A. Campbell. The meeting closed with a vote of thanks to the company’s officials, attending. r AT NGATEA. Mr W. E. Hale presided over a fair attendance. Dealing with the local factory,; Mr Heighway said during the past season the factory had handled over twice as much butter “as it had been designed tp handle two years before. The numbei- of boxes exported was made up of 49,944 boxes of superfine, 3942 of first grade, and 37 of second grade. /The average grade was 92.89 , points. The Ngatea factory was sixth on the list* being only one point behind the leading factory. In reply to questions Mr Heighway said that no company in New Zealand had a lower manufacturing cost than the N.Z. Dairy Company. Many questions in regard to shares were asked and satisfactorily answer!ed, and the meeting closed with a vote of thanks to the company’s officials and tp the chair. The following committees (were elected :— Hopai: Messrs A. R. Vowles (convener), C. H. Waite, and W. Murphy. Orchard East: Messrs W. McDuff> J. Spence (convener), and S. O. Phelps. Ngatea : Messrs G. T. Davidson, T. Leonard, W. McDuff, T. McClean, and W. G. Hayward.