CO-OPERATIVE DAIRYING IN DENMARK

Shannon News, 16 January 1925, Page 1

CO-OPERATIVE DAIRYING IN DENMARK

Dairy farming in Denmark dates back to about 1830-1840, but it was not until 1850 .that the peasants on small sized farms started to milk cows and make butter and cheese for commercial purposes. These dairy products were made in small batches, generally being 1 of a very inferior quality. The methods of production and marketing jn those days very much resembled the New Zealand methods of days' gone by, when the butter was: made at the houses'of the farmers and uoid or bartered at the village store.

Even in those days, however, the Danish dairy farmer had the advantage of an export trade, as much of his, butter went to -Norway. Kiel and Hamburg, hence it became known as • Kiel” butter, a .name under which it is stiil being sold throughout England and Germany. Hack of Uniformity. Butter produced in such small quantities in hundreds of homes, was of course, completely lacking in uni. formity, and it was quickly realised that if satisfactory prices were to be obtained, butter had to be marketed in larger quantities and had to be more-uniform m quality. Grading and standardising was apparently essential before putting the “farmers’ butter" on the English market. * The first step taken to bring this about was the formation of “Butter packing” establishments, several of which were formed in villages or centrally situated market towns. To these places, the farmer, large and small, could bring his butter, and by sorting, blending and packing an attempt was made to ■ produce a uniform article as far as circumstances and local conditions would make this possible. Apart from causing a considerable wasle in blending and pack, ing, this system heped the farmers very little with the manufacturing part of the butter, which before the introduction of the separator was extremely primitive an'd wasteful. Futile Attempts at Co-operation.

, As early as the seventies, several ■ attempt were made to establish what were then called "Community Creameries,” but the results were most discouraging, as the creameries- either failed completely or the ownership passed into the ham is of individuals or proprietory companies. The first successful co-operative creamery (established in Denmark, was the Hjedding creamery, started by a few farmers in iiS2 which is still in existence to-day. The sound co - operative principles upon which this creamery was founded in 1882 arc the same as may be found in the 1500 cooperative creameries operating in Denmark today. First Co-operative Creamery. The success of the Hjedding creamery had such a wonderful effect on the co-operative movement in the Danish dairy industry, that by 1890eight years after the formation of the first facto vy —Denmark possessed 676 co-operative butter factories. In 1922, 90 per cent of the whole of the coun. try’s milk production passed through co-operative channels, and out of the 1661 creameries, 1335 were owned by co-operative companies. Importance of Separator. The first separator was introduced into Denmark in 1878 by the inventor, L. C. Nielsen, which was followede by Doctor De Laval’s now famous cream separator the following year. In Denmark, like in New Zealand and every other dairying country, the introduction of the cream* separator marked a new epoch in the dairy Industry, as it entirely revolutionised the methods of manufacture. By eliminating waste and reducing labour, it made mass.production possible, on a scale never dreamt of in tht oldeii daj’s. * . Constitution of Danish Co-operation Creameries.

The formation of co-operative dairy companies, by issuing shares ,to suppliers and forming limited liability companies is entirely unknown m Denmark. The constitution of Danish creameries is baked on two important factors. The signing of a contract by which each supplier undertakes, to de. liver the whole of his milk (excluding home consumption) to the creamery for a certain period, 5, 10, or even 20 years, and the signing of a joint and several guarantee wherewith the company arranges for the necessary finance. Apart from this there are no fe6s or no outlay of capital on the part of the members of the company.