The Times. PUBLISHED ON TUESDAY AND FRIDAY AFTERNOONS. "We nohing extenuate, nor set down aught in malice." FRIDAY, JUNE 14, 1918 DRIED MILK INDUSTRY

Pukekohe & Waiuku Times, Volume 7, Issue 383, 14 June 1918, Page 2

The Times. PUBLISHED ON TUESDAY AND FRIDAY AFTERNOONS. "We nohing extenuate, nor set down aught in malice." FRIDAY, JUNE 14, 1918 DRIED MILK INDUSTRY

If anticipations are well founded the proposals of the Waikato Co-op. Dairy Coy., Ltd., to adopt the manufacture of dried will mark the start of a new era in the dairying industry as the returns to the suppliers will not only be largely in excess of payments made from butter and cheese factories but then- will be a resultant advance in land values.

A liint was given in these columns a week or two ago that important developments were likelv to arise as the outcome of the visit of representatives of the Waikato, Thames Valley, and Cambridge Co-operative Dairy Companies to the United States of America to investigate dried milk and the dairy industry generally. It now appears that acting on authority given them they have seemed the sole agency for \'ew Zealand of a machine to manufacture dried milk powder, the machine being claimed to be superior to Ihe roller system now in use in the Dominion.

Speaking at the annual dinner, held last week at Hamilton, of suppliers of the Waikato Dairy Coy.. Mr \V. Goodfellow (the Managing Director) made an important announcement on the subject. He said that the statement that the patent rights for the manufacture of dried milk wire held by one company had been completely exploded. All lliev could lay claim to was a trade name. In l"l I, in the United States of America, there were 20 plants in operation, whereas today there were over I DO—all proprietary concerns, and they had been nearly all paid for besides distributing from os (»d to Is lb butter-fat to suppliers. Three products were manufactured —full cream powder, halt cream powder, and skim milk powder. The milk was fi>>t of all separated and then cream added as required. Dt was understood that New Zealand milk powder contains approximately J.fi fat. The bulk of the powder exported from New Zealand would probably be skim milk powder, and consequently there need be no anxiety in regard to the future production of butter, is an illustiation the speaker slated that lewt. of New Zealand butlet in London would return I'.'ik whereas had the milk horn

which this butter was made been converted into skim milk powder and bttttci a return ot 510s would be received. Mr Goodfellow added that apparently on a cooperative basis during the coming season it would be possible to pay out 3s 6d per lb butter-fat. - However, in order to finance this scheme it would probably be found advisable to pay out approximately Is, and write off the plant in two years. Factories would be erected in suitable centres where milk supply from 3000 cows would be available twice daily. It was estimated that plant and buildings would cost from £ 15,000 to £20,000 each. He had no hesitation in saying that the dried milk industry would be a permanent one.

The proposals are to be further explained to suppliers in the Lower Waikato by Mr Goodfellow and undoubtedly great interest will be taken in the meetings he is arranging to address, one of which is to be held at Aka Aka to-night. It may, however, be stated that in view of the difficulty of getting machinery It is to be doubled whether new factories will in any case be able to start operations before a year or two hence. Whilst wishing the movement all possible success there are a few points, however, on which we think information is necessary. First we would point out that glaxo and dried milk are allied, the former being a patented name for the article. Dried milk in the form of glaxo has been for some years manufactured by Messrs Joseph Nathan and Co. at Bunnythorpe and is now a product of the New Zealand Dairy Association's factories at Matamata and Matangi, the output of the factories being by arrangement with Messrs Nathan sold as glaxo. Suppliers at these factories are guaranteed for the season now closing a minimum monthly advance of 2s per lb butter-fat or when final adjustments are made a payment of 2d per lb more than will be paid for cheese or 3d per lb more than for butter. This glaxo contains the normal butterfat content of milk, namely 37, whereas Mr Goodtellow's proposals are for the , powder to be made from skim milk. It accordingly seems a " big " change, even allowing for advantage of improved machinery, for it to be possible for dried milk produced from skim milk to give a return so much in excess of Miat forthcoming for glaxo with all solids as the latter's contents. If Mr Goodfellow's speech, as reported, Is correct he suggests that 190s per cwt. as the value of New Zealand butter in London could be converted into 510s per cwt. for butter and skim milk powder. On the face of it such would seem to indicate that with butter at 190s the balance of 320s would be the value of the skim-milk This seems to be rather of a "tall" order. Then again, although perhaps not actually commandeered in the same way as butter and cheese, glaxo is sold by contract to the Imperial authorities, by which means alone shipping facilities are obtained, and we foresee that, if made the subject of general manufacture, the price of dried milk would be regulated by the Government who would hardly allow one product of milk to be sold lu-theopeu market to the detriment of the other:", vi/., butter or cheese. Two deliveries daily are necessary for dried milk production, but whilst the farmer would probably welromely face this extra work in view of remunerative repayments it must not be overlooked that if both butter-fat and skim-milk are to be utilised at the factory calf-rearing will become a difficulty and stock will gradually dwindle. We make these observations in no critical mood but simply with a view that in so important a matter full explanations mdy be forthcoming to guide the fanner in a decision that is likely of a momentous nature.