FARMERS' CO-OPERATION.

Taranaki Daily News, Volume LVI, Issue 187, 6 February 1914, Page 6

FARMERS' CO-OPERATION.

THE NEW SOCIETY. ! STATUTORY MEETING. Tli« statutory meeting of shareholders of the Farmers' 'Co-operative Organisa-' lion Society of New Zealand, Ltd., was licltl at the Oddfellows' Hall, Uawera, on .Saturday. There was a large attendauci! of share-holding fanners, over 120 being present. Mr. Geo. JI. Buckcridge occupied the chair. STATUTORY REPORT. The chairman gave the following brief statutory report:— The total number of shares allotted is 2001. The receipts of the company on capital account are: Application fees, £200); allotment fees, £71o; total £271(1. The payments are nil. The following is an estimate of the preliminary expenses of the society: I'rintiiig, advertising, stationery, etc., £120; registration £■so; solicitor's charges (approximate), £100; total, £270.

in reply to a question the chairman said that the shares of the company were divided into three issues. The "A" issue of 10,000 shares was set aside for the purpose of enabling the company lo purchase businesses which it might' desirable to acquire and whose owners might be willing to sell, and "who would be prepared to take payment in paidup shares instead of cash. In order to enable that to be done it was nccessaary to make provision for it in the articles' of association. The "A" issue, of which he might say no shares of which had so far been allotted, had the right to elect live directors*, but that would not be an issue for the present meeting. The "1!" issue of 5000, was reserved for the purpose of enabling kindred co-operative bacon companies, Ijee-kecpers' associations, co-operative bacon companies, or j any similar organisation to all'iliate. j Provision was made for the election of j directors to represent this issue of I shares, but sufficient had not yet been j [subscribed to \vavvstnt the appointment! 'of these directors. The '•'('" Was the iv | sue to ordinary shareholder?, who had 1 the right to elect lo directors. Eleven companies had paid their application fees and some their allotments as well. A number had written saying they would take shares, but had not yet sent in their proper applications. In order to faciliate business it was resolved to proceed with the nomination of directors prior to discussing the report. On the motion of Messrs Taylor and Todd it was resolved that the number of directors be fifteen, the maximum allowed. It was pointed out that the 'district was a scattered and growing one, ~ and that the directorate would rcquir" j all the strength it could get. , Some discussion ensuciT over the qucs- ; tion of proxies, it being mentioned that some had been shut out because they did not reach the secretary within the prescribed time. A motion that the meeting be adjourned for a fortnight to allow all the proxies to !>.■ put in proper form was- lost. It was pointed out that only 50 out of 00.) had neglected to comply with the official notice and were cut out.

In moving the adoption of the report, the chairman gave a brief history of the formation of the company. It was, lie said, two and a-half years since the first meeting was held, when the opinion was freely expressed that they were aiming at an impossibility. They, however, gained strength as they went along, ami at

I the meeting of delegates twelve months later, astonishment was expressed that . so much enthusiasm could bo raised in Taranaki fanners. In order to demonstrate how successful the movement diad been, ho made comparison with concerns of a similar nature. Taking the New Zealand Farmers' Co-operative Association, with headquarters iu Christchurch, the biggest co-operative company, doing business in New Zealand, they found that this company in its first vwir had 800 shareholders, with a subscribed eapi- ' tal of £17,500, and the total amount of business done by them in their firstyear was £15,234. The Taranaki Company went to allotment with T.iO shareholders, representing 2001 shares, or £20,010 subscribed capital. The company had now nearly i) 00 shareholders, having

added upwards of 150 sinci" going to allotment. Tlie position of the Canterbury Farmers' Co-operative Association in their second year was thut they had , 1076 shareliolders and 20,000 subscribed capital, and tho value of the business they transacted for that year was £02,700. The Tarauaki Company were in almost as good a position iu their lirst year as the Canterbury farmers were iu their second. He also instanced the Farmers' Co-operative Auctioneering Company, with headquarters in the Waikato. They commenced operations six years ago by taking over a big bu-diicss in the Waikato, and the lirst report i''Showed that the number of shares held [ at the end of the lirst year was 3000, of £5 each, which represented fI3,WHI subscribed capital. The Tarauaki Company's capital already stood at between'£23,ooo i and £2J.000. It took the Waikato Company till the end of the third year before it got into tlie same position as regards subscribed capital. (Shareholders iu the Tarauaki Company would be pleased to know that although their company had not yet any permanent officers appointment they had already secured a sufficient amount of busiiiW to put through which would place them on mi equality with the Canterbury Farmers' Company in their second year's business. (Applause.) That was- an achievement they had every reason to be proud of, and it was only accomplished after u great deali of bard work, lie expressed his thanks and gratitude to those who had worked with him for tlie very able assistance they had given him in bringing tho company to its present state of clliciency. He' felt confident that as soon as the present meeting was concluded and the history ur what had been. accomplished went forth, their would be increased two and three-fold. While recognising that it was invidious to make distinctions, lie eulogised the splendid work performed uy Mr. dames Barkla, who bad placed so'nieth'uiL: like (100 shares, and also by .Mr. A. K. l!ullock, who had secured wery farmer .it his district, Tarata, which was mil our of the richest districts iu Tarauaki. lie regretted that Mr. Bullock's name had been omitted from lhe list of candidates for the dictornte. In conclusion, he emphasised the fact that the gentlemen elected to tlie board of directors were going to have some hard work to do. Any fool cyuld start a thing, but it took clever men and energetic men to make a success of it. This company hud had a successful start, but that was not all that, was wanted—they wanted a sueI cessful history to follow that start. I That, however, now depended entirely ' upon lhe directors. Mr. Jones seconded the adoption of I the report. Considerable discussion ensued. Mr.

Corrigau said that as it was evident the farmers were capable ot doing their own business throughout Taranaki, be would like to see the company purchase some 'business along the coast, so as to have one I great business concern involving auctioneering and the trade and business generally of farmers' requisites. At present a great many farmers were reticent, thinking the company would never be started, but it was now an accomplished fact, and he trusted the directors would approach the owners of sellable businesses with a view to their purchase and establish branches from Waitara to \ew Plymouth. Tho chairman, referring to the purchase of a proprietary concern by the Waikato Association, said that no proprietary could have, stood up against the organised farmers. Tim fanners, tsaitl Mr. Jiuckeridge, have the hall ai their feet, and if they don't kick it it i> I heir own fault if they don't make auv progress. ' A shareholder complained that they bad hicn told that operations would not be commenced with less than £30,000 capital, and now it was proposed to start will! £20,000. 'lf they could not start all over the district there'would be trouble. It was no use just starl'm/ i iu New Plymouth and Ilav.cra. The chairman said that the capital of the company should be every penny they could get into it. rf branches were started all over the district, much larger capital would be required. Possibly, he added, when businesses were offered to the company, vendors might take a large \ proportion of paid up share; in payment, , and so increase the capital. In the course of further discussion the chairman said that they did not know what trade they might have. That had to be decided by the directors, who would be guided entirely by the amount subscribed and available to'run the businesses. No doubt if they found they had sull'icieiit finance for two or three places they -would conduct two or three; if sufficient funds were in hand ti enable them to deal with five or six, he took it that they would be very foolish if they did not open in five or -i\ olaees, P.ut that was a matter entirely for tlic directors. Mr. Duncan Scott said that lie was quite content to leave everything in the hands of the directors. (Applause.) He thought a lot of the nonsensical questions which had been asked should be put down and let them get on with the business. ((Hear. hear). They could not have all the stores at their back doors, but iu helping this company they were (helping along Taranaki. U>t all give the directors a free hand. (Applause). The chairman said he had no desire to kurk any discussion; he was desirous of having everything as free and open as possible, but he was an.'.ious to get on with the business.

After furtlit'i- discussion tile report was adopted. Twenty-three nominations were received for tlie directorate, and the following fifteen were elected :--G. H. I'.uckevidge (Eltham) 201, C. D. Dickie (Waverley) 178, J. IJnrkla (Hawcra) 170, A. V. Symes (Patea) 172, \V. F. Coonibridgc (Te Kiri) 157, K. A. Cray (Lowgarth) 150, D. Todd (Inglewood) 149, A. K. Death (Hawcra) 147, A. Hunter (ll.i--wera) 14(i, J. 1!. Corrigan (Ilawera) 14'), T. Foreman (Alton) 144, U. Gwyime (Kaponga) 12!), W, .Tones (Kainmta) 127, \Y. Itichanls (Cardiii) 124, \V, Skedgwcl! 110. Mr. -I. A. Tun on was fleeted auditor. The matter of living the secretary's salary, and nf reeogni-iii" Mr. Baker's service* was left to the directors. Votes of thanks were accorded Messrs Iluekeridge, Barkla and It. W. Baker. At a subsequent meeting of directors Mr. 0. 11. Buckridge was elected chairman, Mr. A. Hunter dcmity-chairman. and Messrs Grey, Death, Barkla, Corrigan and the chairman an executiveAbridged from the Hawv.a Star.