CREAM CARTAGE

Rotorua Morning Post, Volume 2, Issue 266, 4 July 1932, Page 7

CREAM CARTAGE

ANJMATED qiSCUSSION OPOTIKI DAIRY AS£N. MEMRERS J^FFIRM CO-OPfeRATfYiEf * CARTAGE SCHEME. PROPRIETARY FACTORIES An extraordinary general meeting of the Opotiki Dairy Association was held in the Regent Tlaeatre on Saturday, at 11.30 a.m., to discuss the question of co-operative eream cartage. The directofs present were : W. Connor (chairman), J. Wilson, W. Rose, Reid, Parkinson, W. Gault, Sinclair (secretary) . The chairman explained that the reason for the" meeting ; was that a fortnight ago a deputation had waited on the Board of Directors with a request that a meeting of suppliers be held to discuss the whole matter of cream cartage, Pfeviously the directors had decided that they should adopt cooperative cream cartage, but as it was a rule of the assOciation that a certain number of suppliers had the right to ask the directors to call a meeting at any time, and this deputation represented more than the required number, they had called the meeting. The directors proposed that tenders be called for cream cartage over various route, the factory to decide the starting time at the farthest poin on each run, the type of eovers for lorries, etc.,. Payment for "cream cartage to be treated as a manufacturing cost and to be paid from manufacturing expenses which would mean that approximately the same would be paid for every 11b of butterfat carted whether it- came from near or far. The probability is that, in most cases the routes would be as at present. Suppliers near the factory to continue to cart their own cream as at present, and to be made an allowance. In the case of isolated suppliers or scattered areas it was suggested that a subsidy be paid to these suppliers for carting their cream to the factory. If the cream was delivered to the nearest point on a lorry route the subsidy would not be paid. The directors thought that the suppliers should sign a guaraiatee for a period. Three years and iive years had been suggested. This would enable them to give approximate figures in each area to be tendered for and thus get cheaper priees for cartage than could otherwise be done. (Applause.) Costs Reduced. Mr. R. Reid said that he was an enthusiastic supporter of the scheme. After quoting figures showing that manufacturing costs were being reduced by the Opotiki factoi-y year by year, Mr. Reid said that he was satisfied that organised cream cartage would save several hundred pounds per year. He said that the factory controlled the handling of cream on the farm and after its arrival at the factory. He saw no reason why they should not control it during its transport to the factory. (Applause.) Proprietary factories might say that they would pay the same as the co-operative factories and would give free cream carting. "We can also give free cream cartage," said Mr. Reid. "It is a peculiar fact that while we all know that we have to pay for cream cartage we do not mind so much if we do not see it on the statement at the end of the month. / Competition Dangers. He pointed out the dangers of allowing concerns to win suppliers from co-operative factories. He elaimed that every pound of butterfat bore its fair share of mahufacturing costs and got a fair share of profits, and it seemed to be only business-like that the same should dpply to cartage. The only thing needed for the continued success of the factory was whole-hearted cooperation. With regard to a question of a guarantee he thought that this was quite fair, and he, personally, would be prepared to give it, but if it was likely to eause friction among a number of suppliers he thought they should be very careful. (Applause.) The chairman then read a letter of apology for absence, from Mr. J. G. Murray, in which he stated that he was thoroughly in accord with the directors' scheme. Mr. W. Rowe said that the directors had been able to take advantage of a considerable amount of experience of other factories on this question, and this led them to believe that co-operative cartage was essential. He said that with the passage of time one must alter one's system to keep up to date. Mr. E. J. Parkinson then appealed to the meeting to consider the matter not from a personal point- of view, but from the point of view of the good it would do to the company as a whole. Mr. J. Wilsqn then rose amid loud applause and ci'ies of "Come on Jimmy," and made a short speech in favour of the scheme. Re-organisation Favoured. Mr. W. Gault, who was sitting in the auditorium'/ theh spbke and said that whilst he had voted against the scheme he was quite in favour of reorganising a system of cream cartage, but he contended that each unit or route should pay its own share of the costs, ■ In reply to a question as to back cartage the chairman said that it had been suggested that there be free cartage up to 281bs, for each suppliei\ This would allow of the cartage of bread, meat, and similar household requirements. With regard to the cartage of manure it was suggested that each tenderer be asked to quote for this when tendering. It was, however, not intended to bind suppliers in the matter of back cartage. Mr. Martin asked the chairman if he was aware that iix the event of a

co-operative system of cream . cartage being brought in that certain suppliers practically next door. to the factqry had expressed. their inteiition of going over to proprietary concerns. The chairman repliecf that he was aware of certain isolated. cases. Mr. Gault's Suggeston • Mr. J. Armstrong _ a£ked if . the directors would consider Mr. Gault's suggestion. He personally had opposed the scheme merely because he thought there was , dissatisfaetion amongst the suppliers althottgh * it would have been of benefit to hjin. He thought that Mr. Gault's suggestion might provide a solution. Mr^JCartin agreed with him. ; * The Hon. J. B. Gow spoke ,at some length to the effect that he. had . always had the interests of ' the- Opotiki co-operative association at heart. He thought that rnueh of- the opposition was due to people taking, a Short sighted view of the question and he warned suppliers against allowing cooperation to go out. He cqnsidered that he had no shadow of .right to vote against co-operative cartage although he was better situated" than some in that he was near the fa?tory. It was his conviction that they^.ffiould all share and share alike. (proiqhged applause). - Mr. A. Dickinson thought thgt baclc cartage might be cheapened by arranging for goods to be picked up at the factory instead of in tpyrn. Lorries' Double Run Ma*. Martin asked. a question about some lorries having to do" a double run. He for one did not propose to rise at 3 a.m. in order to catch the first lorry nor be given second grade as the result of catching the second. The chairman replied that there was no fear of either of these contingencies arising. In reply to a question about lorries going down side roads Mr. Reid said that they would go wherever business warranted. The Hon. J. B. Gow then moved that the whole matter be lfeft in the hands of the Directors in accordance to the desire of the suppliers as shown at the meeting. Mr. Martin moved an amendment that a postal ballot be taken "as there are a lot of people present who are not here." (Laughter). Mr J. Armstrong moved an .amendment that it be a recommendation from this meeting that instead of every run being charged the same each run should be charged proportionately on that run. * The amendment by Mr. Armstrong was lost by 49 votes to 112 votes. Mr. Gow's motion was "earried by 109 votes to 37 votes.