TOKOROA FACTORY.

Putaruru Press, Volume VI, Issue 243, 28 June 1928, Page 4

TOKOROA FACTORY.

CHEESE OR BUTTER? Meeting of Suppliers. Big Vote For Cheese. There were about 25 present at a meeting of suppliers to the Tokoroa Co-operative Cneese Factory on Monday, when the question of extending the factory to cope with an expected increase in tne uuik supply was dealt with.

The chairman, Mr. J. Mossop, explained tfiat during the past season Liiey Had dinicuLy in coping with the supply and an extra vat was needed. On top of this there was a suggestion that butter be made instead of cheese. They had expected Messrs. Dempster and Stevenson, of the Dairy Division, to be present, but so lar they had not arrived. Unfortunately in their absence he was not in a position to give any figures in regard to costs, etc., of converting the factory to deal with butter.

Mr. H. H. Bryant stated that he was in favour of turning the factory into a butter factory. It appeared to him to be the only method of keeping suppliers together. It was a problem that had arisen in many other.parts, end it nearly always ended in butter being favoured. Suppliers these days would not put up with the waste of time involved in carting milk to the factory and whey back again.

Guarantors for Cheese. Mr. J. Campbell stated that he had been in touch with all the guarantors and they all said they had to stick to cheese.

Mr. Rollett stated that he had expected the directors would have had a cut and dried proposal in regard to the cost of extension or conversion to butter. Even if Mr. Dempster had arrived he probably couldn’t enlighten them much. Ke was much against conversion of the factory to a butter one. No director or person had a right to expect something for nothing. The company did not resume shares or pay interest, and until they did that their factory would not be a popular one. If they went for butter then he favoured joining the big company under an agreement that would i keep the factory open for twenty years or so. Mr. Mossop stated that the converson would cost over £2OOO. Mr. Rollett agreed, and stated that he refused to stand as guarantor for any further sum. Home Separation Wanted. Mr. Flavell, a director, who favoured making butter, stated that he had been the prime mover in the matter simply because he considered it was an opportune time to discuss the matter. It was evident that they would have to incur expense in regard to the vats, and as there was a feeling in the district in favour of butter he thought it should be thrashed out. Personally, he thought cheese was a better proposition than butter, but he would rather receive lid or 2d per lb less and have more time on the farm. Mr. J. Campbell: I would like to make it clear at this stage that a lot of milkers are tied to cheese. The chairman: We must also remember that if we spend a lot of money and make butter the expense will be high as we could only make about 100 tons. Mr. Flavell estimated the amount at 162 tons.

Messrs. Dempster and Stevenson arrived at this stage, and the former explained that in his opinion they could not compete in butter with outside factories, and it would pay them better to rail their cream if they dcc:ded on butter, and get it manufactured elsewhere. Second-hand plant ccuid be picked up cheaply, but the cost even then would be about £2500. Mr. Stevenson thought the factory could be extended for cheese at a cost of about £SOO. Mr. Rollett: Would it be cheaper to extend or to utilise the present plant and work a dou.bje shift. Mr. Dempster held the extra interest and depreciation would be cheaper than extra labour involved : n the extra shift.

Mr. Bryant thought they should approach the big company and ask them to take the factory over. —... Mr. Rollett: Would you allow a motion which is hot covered by the agenda paper? '* **»a,. '■•■.wi* The chairman: No. !? v Cheese Pays Best. Mr. Dempster stated tha'fc he wish-' ed to make it clear that chdbse was a better proposition than Butter. Cheese was decreasing, and butter increasing, and he felt that New Zealand was going to become one of the biggest producers of cheese in the world. Cheese would alwavs h. >l.

butter, in his opinion. The best cheese factories would beat the best butter factories in payout. In Taranaki they expected to pay Is 9d for cheese. The overrun in a small butter factory was not as profitable as that in a small cheese factory. Mr. Price favoured asking the big company to take over. He supported Mr. Rollett’s contention re finance. Mr. Bryant wished to make it clear that he was supporting the factory, and was not in favour of butter at any cost. However, he thought the tig company might be approached to take over the factory. Mr. S. Dyson moved that cheese continue to be made, and that the dilectors make arrangements for any additions necessary to the factory. Mr. E. Walker seconded the motion. Mr. Rollett: Wait a minute, Mr. ■Chairman; that’s a blank cheque. Mr. West urged that it was only reasonable for the directors to supply figures in regard to costs. He was opposed to guaranteeing any further sums. He had paid in his capital and received no interest. Mr. B. Walker pointed out that those who favoured butter represented four to five hundred cows, while those who favoured cheese represented 1000 cows.

Mr. J. B. Campbell stated the big company would drive a hard bargain and close the factory. They must remember that every settler was a part owner in the factory. Messrs. Price and Bryant moved an amendment asking that the N.Z.C.D.C. be approached to take over the factory on condition they kept it open for 20 years. The chairman: It’s outside the agenda; but I’ll let it go. On being put to the vote the amendment was defeated by 34 votes to 26. Mr. Dempster then suggested that the directors ask suppliers to sign up for three years and if they would they should sign stating that they would not call on the directors for additions within three years. No ■ directors could run a factory if suppliers chopped about from cheese to butter,, and it was no use making additions if there was to be no increase. ' Mr. Dyson’s motion was then put :and carried by 40 Votes to 11. The meeting then terminated, with votes of thanks to the chairman and to Messrs. "Dempster and Stevenson.