N.Z. DAIRY ASSOCIATION

Pukekohe & Waiuku Times, Volume 7, Issue 406, 3 September 1918, Page 2

N.Z. DAIRY ASSOCIATION

Annual Meeting

The annual meeting of shareholder! of the N.Z. Dairy Association was held at Hamilton on Friday last, Mr H. E. Pacey (Managing Director) presiding. In moving the adoption of the annual report and balance sheet Mr Pacey stated that the turnover had reached £ 1 ~'176,438 Os 4d, wh:ch constituted another record and placed the Association in the proud position of being the second largest manufacturing dairy business in the world When he joined the Asso« ciation thirty years ago its turnover was £IO,OOO per annum. For the season 1901-2, which was the Association's first year as a co-opera-tive enterprise, its turnover was £105,197 14s lOd. Those figures indicated regular and substantial progress. The Association was the first co-operative Dairy Company to indent manures for its shareholders and suppliers and the first to recognise that a cheese boom was pending some years since and the first to commence the manufacture of dried milk. Another feature which the Association had introduced to the Waikato and which promised to strengthen and extend the business was the manufacture of casein. During the coming season they would have casein plants installed in about ten centres, thus enabling the by-products of the butter business to be turned to better acocunt than formerly. That day the Association's prospects were better than they had ever been.

The Association's suppliers to Butter and Cheese Factories had reason lor gratification with their position. The average payment at the Manawaru Cheese Factory for the past season was 24*56 d, practically 9-16 d. For all the year round supply, qualified by shareholding, including daily delivery from Sep* tember to March direct, to their principal Central Butter Factories, the average payment would subject to expectations from the Government profit scheme, reach practically 20 916d (actually 20.54 d) which might be somewhat increased when the final returns were to hand. In the past the Association had maintained the best average payment in the district and there was not any room to doubt that the comparison for the past two seasons when available would be equally favourable to them.

Negotiations with the Government were still in progress concerning the past and present seasons' outputs both of butter and cheese. The reason for the delay was not apparent and the uncertainty was embarrassing to the industry As they were in doubt concerning payments which they were to receive for the past season, it seemed vain to forecast the future. He however, thought that in respect both of butter and cheese higher prices should be pail and, having regard to the rate beiug paid by the Imperial Government in other countries and to the greatly increased cost of production, a higher payment than last seas>u was easily justified. Referring to the suggested fusion of dairying interests Mr. Pacey stated that on principle he had always approved of amalgamation. He was satisfied it would conserve capital, reduce expenses, lower the cost of manufacture and would result in a better article being produced. The Association was willing to fight if it must and was in a position to fight more successfully than ever before, but why, he asked, continue a system of commercial fratiuide to the disadvantage of all concerned * Mr Pacey, de:.!::ij; with the system of share resumption, announced that the Directors had decided to eliminate the condition that persons whose shares had been taken back by the Association should again supply to the Association if they resumed dairying.

NON SUPPLYING SHAREHOLDERS An amendment moved by Messrs H. H. Hawkins and G. Yercoe, on behalf of non-supplying shareholders, that the association should resume the policy of paying interest on share capital or of red eming such shares at not less than 75 per cent, of their paid up valuo, was 1 >st by 15 votes to 66, and the motioa for the adoption of the report and balance sheet was carried with only two dissentients.

OTHER BUSINESS Mr Pacey formally reported that the two retiring Directors, Messrs T C Blacket and P. Fi VfcKenzie had been re elected without opposition.

The directors' honorarium was fixed at £75 a year, and Mr 8 H. Matthews was reappointed auditor On the motion of Mr W. J. Lusty, of Orini, it was unanimously resolved to recommend the Government to make full inquiry into the question of the utilisation of milk and its byproducts with a view to providing information regarding the manufacture and marketing of those commodities which will bo more remunerative to the dairy farmer. Failing early action by 'lie Government, as suggested, the Directors wore rec >mrnended to take the necessary steps to fully investigate the matters referred to, and if considered necessary, to establish a laboratory at a cost of approximately £IOOO.