OKATO DAIRY CO.

Taranaki Daily News, 27 July 1916, Page 7

OKATO DAIRY CO.

ANNUAL MEETING. The annual meeting of the Oka to Dairy Company was iheld at Okato yesterday, when Mr. Newton King (chairman of directors) presided over a good attendance of shareholder.?. RFjPORT. The eleventh annual report showed that the past season had marked a new departure by the Company making cheese, but owing to the .hesitating attitude of many of the suppliers on the cheese question and their delay in signing the required guarantees, cheese-mak-ing was not started until the end of November. As a result 01 this late start they did not get the full benefit of the high prices ruling for cheese. The. number of suppliers decreased by 23 owing to Oxford and Petone Road suppliers leaving, but the average of butter-fat per supplier shows a large increase from 7.730 to 9,490 lbs Acting on the resolution passed by the shareholders, the directors have written oft' 50 per cent, of the cost of the cheese factories. After writing off this amount of £2,»57 10s Itl., the profit and loss account showed a credit balance of £4171 14s Id. Th» directors recommended a further payment to suppliers of two pence per 11). of butter-fat supplied for both butter and cheese making, bringing the payment to 15.1-2 d per lit. of butter-fat during the butter making period, and Hid during illie cheese making period. As the year ended on .day 31, when a large portion of the cheese was unsold, they anticipated a further payment to suppliers when final account sales were in. CHAIRMAN'S ADDRESS. In moving the adoption of the annual report, the chairman said that the results of the first season's cheese making should satisfy them that the direc- ! tors had acted wisely in recommending the change to cheese. The directors had a certain amount of responsibility cast on them. Unfortunately, they had lost four Oxford Road suppliers, but he had not the slightest doubt that the two factories would remain good friends. Owing to the abnormal conditions the directors had departed from their usual practice of selling, and had consigned with eminently satisfactory results. The complete returns were not yet available, but the cheese of which returns had not been received at the time of the balance sheet had been estimated at the conservative basis of Sd. Cables had been received that 44 cases had been sold to net 9i/,d. They had yet 240 cases ex Turakina, and GOO cases ailoat and in the freezing works, the last 150 cases of i which would be shipped at the end of the month. Regarding the shipping, it wa-s thought that the congestion .would have been worse than it hud turned out. The Government had got the cheese away reasonably well, though 'had it been sent as it was made it would have realised more. Last year it was decided that the cost of the erection of the cheese factories should be paid oil in two years, the proportion to be paid off each vcar being left to the directors, who had decided to write oil' half this year and half next year. Accordingly, £2957 10s Id had been written oil'. Next year the balance 'Would be written off, when the factory would be practically free of debt, ami would then be in the strongest position of any in the Taranaki district, where there were very few that stood absolutely free of debt. When the lean years came—and though one did not expect prices to be low all would recognise thnt the present hig'h prices could not be expected to continue always—they would have no interest to pay, and he thought that in a few years all" would agree that the policy was the wisest. Referring to the prospects for (he present season, he said that whereas last year the Government had taken one third of their cheese, this year the Government had approached the dairy factories to ascertain on what terms they would sell the whole output, and a price had been asked, but though no definite decision had been arrived at, lie thought that such a price would be given as would realise a price equal to that received from what was consigned and what was taken by the Government last yea'-'.

Mr. Hunter seconded, but would like to Unow what had been the cost of manufacture. The chairman stated this was diffitult to arrive at. owing to a portion of the year only being devoted to cheese. After a little further discussion, the resolution was carried. ELECTION OK DIRECTOR.' There was only one vacancy on the di.-uctorale caused l>y the retirement, by rotation, of Mr. Newton King. Mr. A. (!. Knight proposed that Mr. King be re-elected. Mr. King stated it might he considered desirable by shareholders that some one else should be appointed, as he wis not a -supplier, and war, the agent of a company, lie pointed out that the Otaito Company had now altered its policy of selling. '

One of two shareholders expressed lire opinion that it was not advisable to have a dry shareholder on the directorate, but the meeting thought Mr. King's services as director were too valuable to the company and returned him un-oppos-ed. Mr. F<. P. Webster was're-elected audi-

ADJUSTMENT OF SHARES. It was resolved that the directors bo authorised to charge a premium of us per share on any shares taken up by a new supplier. It was also resolved to recommend the directors to purchase shares from dry shareholders at 12s lid in the £. paid up if submitted within the next three months. After that 10s will be paid. If any present shareholder wishes to retire, the directors were authorised to pay 12s (id per share on the old shares, and also to refund :>ll pel cent, of the money paid in since the installation of the cheese plant. CHEESE MAKING. The chairman asked for an expression of opinion as to when it would be advisable lo start cheese making. C»i>t. Knight proposed and Mr. Hunter seconded that cheese making lie commenced at once and carried right through. Some discussion ensued as to the relative value of whey and skim milk for calf feeding, some of the suppliers being of opinion that it would be advisable to manufacture butter for a few weeks on this account. The manager stated he had engaged a staff on the underbuilding that cheese making would be commenced when all the branches opened on August 1. It would either mean losing the men or paying them wages until cheese wa3 i started. Four men would be affected. . iDip. resolution was carried J

THE GRADING OF MILK. Considerable discussion ensued oven tile grading of milk, and especially regarding the effects of feeding- turnips. Mr. Grant opened the discussion by asking- why turnip tainted milk was taken at tlie factory. He considered that it was in the interests of all the suppliers that the best article should be manufactured, so that suppliers could obtain the last fraction out of it.

The chairman urged on suppliers the need for paying attention to the quality of the milk supplied. Captain Knight said he understood that farmers on the Plains fed on soft turnips without any deleterious effect. Tiie resuit was that their autumn supply kept up. He had understood that when the pasteuriser was installed any feed flavors would he overcome. Mr. Binnie said he had fed his stock on white turnips last autumn for three hours each morning and had brought the milk to the main factory, where it came under the personal supervision of the manager, who could find nothing wrong with it. By feeding on white turnips his milk supply had doubled. At the show conference in New Plymouth it had been agreed that judicious feeding did. no harm.

The manager (Mr. McLeod) said the whole question hinged on the word judicious.

Mr. Grant strongly objected to turnips being allowed. This accounted for the butter being badly flavored. It was pointed out that whey butter realised as high as 157s at Home.

After further discussion it was resolved, on the motion of Messrs Wooldridge and Gray, that the manager grade the milk, and that all milk not fit to make first grade cheese be put through the whey tank and paid second grade price.

It was pointed out that on last year's basis this meant a difference of 4d per lb on butter-fat. It was further resolved that milk be not received after 9.30 a.m. in August and September, instead of 10 a.m. as at present.

TARANAKI AGRICULTURAL SOCIETY

Mr. .T. S. Connett, president of the Taranaki Agricultural Society, addressed the meeting at some length and asked for continued support from the suppliers to the scheme adopted last year of paying subscriptions through the factory. The success accomplished last year had been wonderful, the membership increasing from 350 to 1000. The appointment of district representatives had proved successful. The donations had increased from £248 to over £SOO. The Society had extended its usefulness in many ways, and he instanced the holding of the conference re turnips at the Winter Show. This would bo. extended. The profit at the autumn show had been about .£7O, and so unqualified had been its success that the committee had felt justified in going on with the new showgrounds. Over £3OOO was necessary.to finance these and that was forthcoming. The overdraft of about £OOO had been turned into a credit of about £350. lie then briefly touched on the feeding of turnips, and the need for saving calf veils in view of the shortage of rennet. Mr. King referred to the great work that had been done by Mr. Connett in connection with the Society. On the motion of Messrs. Henry and Knight, it was resolved to again support the scheme.

TECHNICAL AND AGRICULTURAL EDUCATION.

Mr. A. Gray, technical organiser, briefly addressed the meeting in connection with technical agricultural education and asked for continued support to the payment of an agricultural expert, whose services would he available to farmers. Oil the motion of Messrs Hunter and Greenway it was decided to again pay a subsidy of lid per ton on cheese or Is per ton on butter manufactured. The mover remarked that he considered the expert (Mr. Sergei) was doing good work. GENERAL. On the motion of Messrs P. Carey and Trimble the directors were recommended to procure milk cards for the suppliers, and at. the suggestion of Mr. A. G. Knight the directors were voted the usual honorarium. CHAIR MAX.

At a subsequent meeting of directors Mr. Xewton King was re-elected chairman.