MANGOREI DAIRY COMPANY.

Taranaki Daily News, 5 August 1916, Page 8

MANGOREI DAIRY COMPANY.

AXXUAL MEETING* ' Tho annual mooting of tlio l'an;;nrei Dairy Company was hold at tho lament Village Hall yesterday afternoon, "Mr. A. Morton, chairman of directors, presiding over an attendance of about 100 shareholders. REPORT AND BALANCE-SHEET. The twenty-first annual report congratulated the supplieis on the highly satisfactory result of the year's operalions. The quantity of milk received and the figures relating to production as compared with the' last year are shown a s follows (last year's figures being shown in parentheses): .Milk, 18.fi:i7,0421b (17,!)08,5321b); butter-fat. 7.18,41i01h (li!)R,u43lb); butter made, 80S.4731b (SnS.fijSlb); over-run 17.H1 per cent. (15.70 pcv.eent.): lbs milk to each lb butter, 21881b (22.141b); average test. :j.8!» (3.00). During the year £43.508 10s 7(1 has been paid to su;.- ; liers, being equal to 14.103 d per lb of butter-fat. After providing £4(10 7s lOd Tor depreciation, and £2OO for donations to patriotic funds there remained ii: hand a balance of £oS23 13s lOd, which would allow of a further payment to suppliers, bringing the total paymev/ for the year equal to 10.134 d. The outlook for the coming season indicated lhat big prices will rule. The following statement shows the comparative list of runnin; creameries: Egmont Village 159,1081b of butter-fat were rece'ved. costing 2s 7%d per lOO'.b; Kaimiro, > .">9,S2«lb, 2s 113 d; Kent Road 103,3221b, 4s Old; Albert Road, 08,!)71lb. 5s 2d; Mangorci Road, 102,0401b, 42; Smart Road, ii7,2791b, 0s ll}d.

The balance-sheet -bowed revenue fnnv butter sales as £59.'JU>, and buttermilk sales £2O. Working expenses amounted to £2401, salaries and wages £IBOO, and milk payments £13,.">35, leaving a balance of £12,571 carried to profit and loss. The assets stand at £13,712 am' the liabilities at £7GS9.

CHAIRMAN'? ADDRF.39I 'Die chairman, in moving the adoption of the report and balance-sheet, said that the output exceeded that of any previous record, although they had been working with one supplier less than previously. At the conclusion of last season the directors considered that they were not justified in continuing the Hnrworth creamery on the small supply. The season had been favorable for production, though the excessive dry weather in the latter part considerably decreased the autumn supply. The output of the factory had been 357 tons, which was in excess of any previous year. When this was contrasted with the output of 100 tons in the first year of the. company's operation, when, with the exception of Smart Road, the same district supplied the factory, some idea would be obtained of the enormous strides made by the Mangorei district. In addition to the increased output, high prices were realised, and as a result tlse year's returns were £59,910 as against £48,923 the previous year. As long as the war continued the prices for Xew Zealand produce would be high, and he thought that for some years after its termination high prices would be realised for butter. Referring to the shortage of labor owing to the war, he said the directors had decided to make provision to employ married men, and an extra dwelling had been erected at the main factory. Apart from its being forced upon them, he thought this system would be found a good one, because married men were more likely to remain permanently in n position. Besides the increased production, the overrun showed a considerable difference, namely, 17.19, as against 1.1.70 and 15.95 in the two previous years. This was partly due to the fact that they were now receiving a considerable quantity of home separated cream, in which they only paid for butter-fat actually retained, whereas

in milk a certain portion of the fat went back with the sihin milk. They Jiad also been particular to regularly test For moisture, and the butter "had been kept at one uniform moisture content, and that as high as possible consistent with good management. The butter had also been graded high, obtaining third p] lU ;n with a grade of D3.U3 out of about <io factories grading at Moturoa. The previous year it was fifth, with ji slightly higher gm'dc. Hither the standard of grading had been raised or the quality throughout was not quite as good. It had also taken less mdk to make a pound of butter. The higher working expenses were accounted for by the higher cost of boxes, salt, parchment, and everything that was used. Export charges had also increased very much and bore a higher proportion to the gross sales than ever heforc. This year the amount was £3304 against £2(130 last year. Considering the good year, the directors had wisely decided to make better provision for depreciation—though lie thought that they had never written off less than should have been —and had increased the depreciation on the buildings 50 per cent. Of the authorised capital of SOOO shares. 725fi had been allotted, and it was probable that in two or three years the share capital would have to be increased to provide for new suppliers. The legislation that had been passed regarding the war tax would not, he thought, affect the dairy suppliers in the least, but only people in receipt of large incomes or making profits from primary industries. In conclusion he urged suppliers to endeavor to increase their output by improved methods of farming, when he felt certain that the ultimate output from the district would increase to GOO tons per annum. Mr. W. G. Shoemavk seconded the motion. A short discussion ensued.

In reply to questions, the chairman said that home separated cream suppliers did not receive a higher price for their butter-fat than creamery suppliers, except where they lived more than 2y» miles from a creamery, when they were paid an additional farthing per lh for butter-fat. This was done to encourage farmers at a distance to supply-

The Hurworth creamery building liad been removed to Smart Road and erected as a creamery manager's residence. The house, had been moved as a butter-maker'., residence at Mangorei. The hoilei and other parts of the machinery had also been utilised.

That it was necessary to run Smart Road during the season, whereas Albert Road was closed during the winter. In conclusion, the chairman remarked that the whole principle of co-operation was that one should help the other. If suppliers of one creamery had to pay because their creamery cost a little more to run, that would destroy the whole principle, of co-operation. The report was then adopted. ELECTION OF DIRECTORS: After a ballot, the three retiring directors— Messrs W. CI. Shoemark, 0. A. C'olson, ajul E. Gopperth—were re-elected, the other candidate being Mr. A. Bailey. Mr. J. C. Davies was re-elected auditor, at a fee of £l2 12s. GENERAL,' Reference-; were made by suppliers to Egmont Village and Kent Road creameries to the splendid work done by Mr. i'ercy Olson, a late creamery manager, and a vote of appreciation of his services was passed. A motion by Mr. A. J. Bailey, seconded by Mr. E. Chatterton, to amplify future balance-sheets, was lost. At last annual meeting a resolution was passed giving aulhority_to purchase dry shares from shareholders. This was not confirmed, owing to the absence of a quorum at the meeting called fo r the purpose. The matter was mentioned at yesterday's meeting, but, as it required notice of motion, nothing was clone.