MEETING OF MILK SUPPLIERS.

Te Aroha News, Volume XII, Issue 1754, 27 July 1895, Page 2

MEETING OF MILK SUPPLIERS.

The annual meeting of the supporters to the creameries of Messrs Reynolds and Co., was held in the Volunteer Hall, Hamilton, on Wednesday last. The meeting was a very representative one. Messrs Hicks (3), and Comer (Waihou), and Messrs Stanley and McKenzie (Te Aroha West), were present on behalf of the milk suppliers in.this district.

Mr Reynolds addressed the meeting at length, and explained that the cause' of the collapse of the butter market in London last season was the effect of holding stocks over from the previous season, in the hopes of realising prices that would pay ; but the new season’s supply coming in, it was found necessary to sell at any price. The consequence was a loss to the company, -colonial butter being retailed in London at 8d per lb. Mr Reynolds also went on to show how the colonial trade in butter was rapidly increasing, there being imported into Great Britain 50, 000 tons of butter during the first four months of 1895, 10,000 of which came from the colonies. In January, 1892, the price of the Anchor brand butter in London was 1303; in January, 1895, it was 98s, or a drop of nearly 25 per cent., whilst the price of milk remained unaltered. The effect of this disastrous season of 1894-5 has been beneficial to the tiade in many ways. It has enabled colonial butter to replace many instances, and it has almost destroyed the trade in -mixtures and margarine. It must, however, be remembered, said Mr Reynolds, that most of the colonial butter sold in London last season was at loss so the shipper, and this, ®f course, cannot continue. The price of milk must come down with the price of butter if we are to hold our own with foreign competition in British markets. There is no reason to suppose that prices will be any better next season, and may bo considerably lower. It is now necessary for both supplier and manufacturer to face a most unpleasant situation in a reasonable manner. If the price of milk is kept low enough to enable us to hold our own against foreign competition the success of the colonial dairy industry is I intend making an entirely new departure in the manner of : placing our dairy produce on the home markets. Mr Reynolds then asked Mr Farley to address the meeting on the question of butter fat, and explain the system to be adopted in the future. Mr Farley said that the conditions would remain the same as before, with the exception of the prices, which would be as follows :—Payment on butter fat basis. 6pi per lb, provided the London price for butter is 100 s per . cwt, and for each 2s per cwt advance additional, and for each 2s per cwt fall id to be deducted; id per lb to be held by the company as a reserve fund, which is to be operative after the monthly average price i 3 cabled from England; any creamery failing to supply au average of 1601 b of butter a day to be paid pi a lb less than the above price ; any creamery failimg to supply an average of ! 1201 bof butter per day the company reservo to themselves the right of closing such creamery at any time-; all milk tests be made at the factory daily with the Babcock tester. s

After a long discussion amongst the suppliers, in which Mr Reynolds and Mr Farley also took part. Mr Shepherd proposed that the plan of taking the milk for testing by a tube he adopted. This was put to the meeting and carried unanimously. Mr Farley said that Mr MncEwan, dairy expert, would soon be in the neighdourliood, when some independent testing of various systems would be tried.

Mr Shepherd then moved, ‘‘That Mojsrs Reynolds -and Co.’s offer of 6£d for the coming season be accepted. Captain Runciman seconded. Mr Stanley moved as an amendment, ‘ that they do not accept the terms.’ Mr o‘Donoghue seconded. It was moved as a further amendment, * That'the meeting be adjourned to allow the delegates to lay the prices before the suppliers.’ = •

" This was carried on the understanding that instead of holding another meeting, the suppliers from the various creameries should communicate with Messrs Reynolds and Co. direct, and it is to be hoped that this will be done with as little delay as possible, so that if the industry is to be continued Messrs. Reynolds and Co. will he able to get things into working order as soon as possible. •’ A vote of thanks to the chair closed the meeting.