FARM AND DAIRY.

Taranaki Daily News, 31 August 1916, Page 3

FARM AND DAIRY.

KAUPOKONUI DAIRY CO. ANNUAL REPORT. The nineteenth annual report and balance shoot to be presented at the annua! general mtcting of shareholders is as follows: Your directors have pleasure in reporting probably the most successful year in the company's history, owing in part to the continuance of the European war, which we all deplore, and in part to the generous season experienced, and further contributed to by the efforts of many of our shareholders to improve the butter-fat producting qualities of their herds, and owing also materially to our increasing reserves earning interest, and to the use of watei power in saving running costs. Milk shows an increase from last year of 11 per cent., butterfat an increase of 10 per cent., and cheese an increase of 11 per cent. After writing off £lo*2o,los 2d for depreciation, the appropriation account shows a surplus of £33,450 '2s Bd, out of which it is proposed to pay interest on shares at £B per cent., £1320 lis 4d, a further payment for milk of 3;} d per lb of butter-fat over the whole season, absorbing £31,121 2s, making the total payment for the season 20.38 pence per lb, and leaving a balance of £lOll 9s 4d to be carried forward. The stock of cheese on hand at June 30, 1910, which was heavy owing to the shortage of shipping space, has since been shipped by the Raupchu—l3ol cases, and the Tainui 1051 cases, and is valued at Sd per lb nett. The tw6 shipments afloat—l*2o6 cases—which sailed on June 17 and Juiy 7 respectively, are valued at the same price, and present market conditions indicate that the estimate will be more than realised.

Our pasteurisers have proved a success, showing a much improved cheese as well as a higher yield. Plant account shows an increase of £2IOO lfls Id, which is accounted for by the installation of pasteurising plants all round, and new plant necessary to cope with the increasing supply of milk. For the guidance of new or comparatively recent 'shareholders it might be pointed out that properties (including land and buildings) and machinery and plant and motor lorries have cost the company '£50,573 Gs 3d since its incep tion in ISO 7. Against this has to be set the redemption account £21,252 ss. Id, made up of the amounts written og for depreciation during the nineteen years, and sundry other amounts written off properties from time to time for water race and profit, on farms. This leaves the properties, buildings, jilant and lorries standing at £20,021 Is 4d against £28,04S 3s 4d, which is the Company's paid up capital on the 34,700 shares issued, and besides this our total accumulated reserve fund now amounts to £12,'573 14s 7d not to mention accounts owing to us and. stock in store. In addition tlie company has acquired' shares in various comps nies as set out in the balance sheet at a cost of £ll,482 Ids 9d, practically all of which are interest bearing, and at the same time given our suppliers the benefit of increased competition for pigs, sheep, and cattle by the advent of their own works. During the year's operations, this company has purchased a share in the Manaia Loan Company, the object being to financSssettlers on their cows or land, and have reduced the rate of interest to seven per cent. Eventualy this company contemplates absorbing the Manaia Loan Company and further decrease the rate of interest to its suppliers. Meantime all applications for finance will be duly considered and dealt with. Your directors have approved of the • amalgamation with Diinoek and Waikato companies to form a large Co-operative Bacon Company, and provide a better mark-it for pigs by eliminating the duplication of expenses in buying pigs and selling bacon, the new company starting operations on October 1, 1910. While mentioning amalgamation it is considered that dairy companies could greatly increase .the efliiciency of their service, and advantages to suppliers, by amalgamation, thereby cutting out overlapping and effecting a very great saving in working expenses, management, cartage, etc., and by running fewer factories, and those by water or electric power, our boards would be stronger and more economical, and wear on tear no roads avoidc-d, and we are hopeful that milk suppliers generally will soon see the advantages of amalgamation in co-opera : tive concerns, where all are working, towards one end, the greatest possible pay out with the least possible expense in management. Your directors, realising that it is the duty of every man, woman and child as well as every strong financial institution in the Dominion to help the Mother Country in jtlie appalling struggle .still raging, have decided to invest £4OOO of tilt! company's reserves in NewZealand War Bonds, and thus, while helping our Dominion to pay her war expenditure, also helping to lighten Britain's increasing financial burdens. The store business again shows a large increase in sales and a good profit, but owing to the war conditions prevailing and the difficulties of getting regular supplies through the lack of shipping facilities, it has been necessary to carry larger stocks. The accumulated profits now amount to £BB2O 10s Sd which your directors propose to carry to reserve. The operations of the Cow Testing Association have been ably conducted by Mr. D. MclCenzie who has in addition done a considerable amount of inspection in a tactful manner which does him eredit, and while your directors regret that out of a total of 10,212 cows only 71 suppliers with 2543 cows have availMi themselves of the service for the past year, they trust a a larger number will realise the advantages this year and adopt the only practical way of in. creasing their butter fat production. It Is deplorable that whilst we have herds producing 350 and even 400 lbs. of fat there are still suppliers averaging 200 lbs. and under from their herds. Statistics:—Milk, 1915-16, 00,229,198, 1914-15 54,084,813; fat, 2,298,174 (2,074,008); cheese—2o47 tons, 5,930,619 (5,312,194); butter, creamery, (Kb tons, 46,929 (41,OSS'); butter, factory, 00 tons, 59.45.8 (107,800); cheese to fat, 2.627 (2.01); milk to cheese, 9.975 (10,001); average test, 3.515 (3.53).