Dried Milk Industry.

Pukekohe & Waiuku Times, Volume 7, Issue 420, 22 October 1918, Page 1

Dried Milk Industry.

(To the Editor)

Sir, —Dried milk is here, and is here to stay, in spite of the gloomy predictions of pessimists and wiseacres, who apparently delight in prophesying a big drop in the demand and prices of this commodity after the war. The truth is that we in New Zealand are very far behind the times and are only just waking up to what other countries hare done, and are doing, in this line of business. Had we been more alive to our own interests, we*should be where they are now instead of being only at the commencement. Tne future prospects of this industry are very bright indeed, good prices being assured for many years to come, and there is not the slightest doubt after the war the demand will increase and many fresh markets be opened up. A machine has been patented which, though very much like a separator in appearance, works on an opposite principle, as it replaces the butter-fat into the skim milk. The powder, having been previously diluted with water, is thus turned into milk, which cannot be distinguished in taste or quality from fresh milk. This milk is already in use on the warships and the time is not far distant when it will be in general use. With the establishment of tbe dried milk industry, many other industries will be developed and others already developed will be enlarged, such as the manufacture of ice creams, chocolates of various kinds and a wide range of confectionery. Dried milk being so concentrated and portable, will come into world-wide use ; it will be used in mining districts, in lumber camps, among the eternal snows, in the arid deserts and on the seas. Dried milk is prepared for market in two different ways : One is made of dried skim milk only; the other is made of skim milk, a certain proportion of cream being added to it before being dried. The attempts to dry whole milk have so far not proved satisfactory. Home buyers, as a rule, show a preference for the skim milk powder, as the other owing to presence of a certain amount of fatty compound, is liable to deteriorate and become rancid unless kept under suitable conditions. Up to the present only two miik powder factories have been established in Waikato, at Matamata and Matangi, by the N.Z D.A. under glaxo rights, manufacturing partial whole milk powder only; but just now there is a general movement in favour of dried skim milk. Several districts have given, or are giving, the requisite guarantee of three thousand cows. In a circular to suppliers dated July 10, 1918, by theN Z D.A, it states that "suppliers elected to ■apply for dried milk manufacture at Matamata and Matangi under the favourableand long-dated guarantet s which the directors had obtained from the holders of glaxo rights." A little further on we find this remarkable statement: "The annual payments have been fixed on a butter-cheese basis." Surely paying for certain goods on the basis of totally different classes of goods is not business, to say the least of it, and the suspicion presents itself that the holders of the glaxo rights are receiving payments that under true co-operation, would belong to the suppliers, whereas we should expect dritd milk to be paid for at the current market price of dried milk. One thing is certain, no company or association can afford to pay out more than the value of the goods. Then if ihose goods are purcha el on the basis of other classes of goods, it stands to reason the price capnot improve, but must of necessity suffer accordingly. How much it has suffered is a problem fur the glaxo suppliers The mistake has bven made in dealing with a private company under a guarantee When a guarantee is given it may bo taken for granted that a wide margin will be allowed to cover the risk. What is really wanted is to have the hand ling of our business solely in our hands; it would be a good policy it the dairy companies had a first class ropresentativo looking after their interests in England. If tho farming community, or at lea.-t some of the younger members, could undergo a course of commercial training, much good would undoubtedly accrue ; it would qualify them for a seat on boards of directors, and make their services of value when there. They would not be ready to accept interested statements without first having fully sifted these matters, and proved their valuo for themselves The result would be to their benefit, and that of all concerned. The mistake having been made, it cannot be rectified, but ltt us profit by experience and see that we do not make it again.—l am, etc., To Knpa. E. H. JULL