ELTHAM DAIRY COMPANY.

Taranaki Daily News, 20 August 1917, Page 7

ELTHAM DAIRY COMPANY.

i! ANKiUAIi MEETING. , • Tlic twcnty-fa'tii annual meeting of I Hie Eltliam Hairy Cnmuauy was held fui Saturday, Mr. IL I>. Kouyth (chairman of directors) presiding over « iarg* ) attendance of shuiKlioldera. j In moving the adoption 01" th« ra- ■ port and balance-sheet Mr. I'orsyth said they had bad a very' satisfactory year. Ho compared prices -with previous yoaw mid slated, they were making excellent progress. explained In detail the j various items appearing ou the balance ! sheet, and tbeji referred to the plants I and buildings going up during xJi3 year, j l'be plants tTiey had installed were of 1 the beat, e.nd the buildings were of a j permanent nature. The future of the industry was established and they were j preparing accordingly. When they installed cheese at the Mountain Road factory they put in a plant and erected a building that was one of the most up-to-date in the Dominion. They had sustained a big los s 'by the destruction bv fire of their Jine factory at Te Roti This was destroyed on a Friday, and the directors hustled round to secure tho supply of shareholders' milk there being safeguarded. He desired to plooo oa record the generous offer of the Nornunby Company to assist in this direction, but thu several creameries of their own company were enabled to carry l , out the work, and on the Tuesday followlug they were ablu to resume separating ftt Te Koti. Since the wection of buildbigs at Mountain ftcad and Te Koti, thu directors had received a proposal to «rect a factory at the Waihapi Eoad. At the present time the Wailiapi Eoad ran parallel \v?tli the Wingrove Road, find some of the company's suppliers Were tl ' re. They were certainly entitled to consider their shareholders, but | In the same locality the Stratford Dairy I CVmpany had - a creamery (Kobson Koad). He did not desire to go right up against the Stratford Company, but It was pointed out to him and his directors that the suppliers on that road \vero desirous of having cheese plants installed. He did not desire that they should put up a factory and then find Etratford doing likewise across the road. He advised the Kobson Koad suppliers to approach their own company (Stratford) and see if they would oblige them. This was evidently abortive and ■delegates w.°ited on a directors' meeting of the Elthom Company and decided to ' abide by certain agreements wlucb h# related. In the face of this understanding tiicir oompany had agreed tc set up a cheese plant on the Waihapi Koad. It was a good district, and he believed it would prove a good 'business proposition for the suppliers there and the company. Touching on the season, prices had been good, but production showed a falling off. This win partly tho result of the dry autumn and alio the reduction of herds. Touching on cheese purchase, he said this had been a series of muddles. At the first meeting of delegates Taranaki was i poorly represented at the conference, I Mr. Powdrell and the speaker being the only cheese men from Taranaki, though I the butter companies wore well repraj sented. The Government'* idea of cheese j values wn too low, and th« Imperial Government was inclined to work too much on that estimate. A resolution was put that the output of cheese be sold to the Government at 8d per lb. This was resisted by Mr. Powdrell and the speaker, but carried, and on the priee3 subsequently ruling meant a modest loss to the company of £30,000. Their idea was the marketing should be in the vicinity of 9>/ 4 d, but the South Island delegates did not place too much reliance on the prospective! value of cheese, and the resolution ii\ood. The Taranaki delegates were prspared to accept a lesser rato f<.r half the output provided they could send the balance on consignment. Later on, the Home market showed a healthier tendency, and tho Government were a little more liberal in their payments. They were then j given to understand that the Canadian I output would be treated similarly, and Mr. Ellison at Home notified them that cheese was up, os.d they were offered 9jd. Trouble next arose with the agent-! of those firms who wanted commission on goods consigned or sold prior to tho commandeering. A test case was brought in London hut was withdrawn, th# Government compromising by paying 123j per cwt. to the agents. The company, through their agout (Mr. (Lotell), put , In a similar claim, nbd the Gorexaznent then agreed to pay 123» per cwt. for aluutto cm the water and in store. That being so, he had great pleasure In announsing that th« company 5 ! pay-out 1 worked out at Is lid p«r lb of butter-' fat. (Applause.) Negotiatieu* were mi" ponding regarding the nait Macon's output, and he wan sure would be «omploted fcatwsen tie Government and th» company before they shipped any produce, and would be paid for al the s am» rate as Canadian, less the difference in freight. According to Mr. Massey tho dilYerenco would be Jd per lb. Assuming this to be correct, it would maJks the payments next season work out at about 10% d. The Government would advance >0 per cent., and the additional 10 per cent, later on. They stipulated that the cheese would be payable against bills of lading, and that, of course, meant 'do payments until put on board. Mr. | Massey, however, believed thero would |bo no trouble in securing the mousy when needed. Th» chairman then touched oil th<; | storage question. Ilis candid opinion j fraa ttiat if they got one-half of tha j cheese output away they would b" doI ing very well. The Moturoa Freezing I Works were handling their stock, and j wero erecting new buildings in anticipation of increased storage being rej quired. This would accommodate 24,000 crates of cheese, but this might be partly used for butter, so he thought they would find it necessary to build. Kaupokonui, Jlangatokl, and others wera building. The directors were not asleep, and a report would be submitted regarding further increased storage. H» thought they might build, allowing room for three-quarters of their output. It might not be required, but he believed in being prepared, and he thought it would he better to go to this ejepenso than find their goods go bad through lack of ! storage, by which they might lose many

pounds. Ho next touched on the bu't,ter-fat tax. They had put up a big and. strenuous fight. It was nothing sliort of a class tax aud not levied tor patriotic purpose. l !. If the Government wanted to help tha people in Xew Zealand they should do so out of consolidated revenue. At tho time the levy was made tho prospects wor# til at cheesa would pay a 'big price, and tkls was not realised. Tho tax was not a fair ouo in the first place, and was hitting at one class of producer at thq expanse of another. There had been a suggestion that the tax money should be refunded, but "o far tW?i had not >#« #■*»

Ho next reviewed the by-prodtiete The j dairy industry had wade grwt »tride«, but tliny had a lot yet to icarn. Ossein and sngar-of-mllk we.o TJusbls byproducts, but and not been experinteitifid with to any gTeet extent, Oweto was mannfticturcd In tlie Dominion and sold in the crude stage. They posßcssnii tlio plani, irat to rn&ko the lutMt erf it ;it should he refined. Thay -wore offarad £4O to £46 per ton for casein, but »t I Home he understood it went to £BO. The production oI sugar-of-milk was rather expensive, but it wan worthy of'coaaldemtioii. They had done a lot for c»oporatioa, and there was nothing to pr»- , vent thein liiing up a plant in the province and getting the be.it result?, j Tunes would not always he so good, and I they should leave nothing undone, hub i always endeavor to get the mo3t from ith« land. Coming to the bacon industry, he said he had always believed in this part of , farming, but never thought they would bo in such a large way and on such a fcound footing as their company was today. He always held that the bigger' and stronger a company the better tho results. By amalgamation they were ablo to safeguard the farmer. On tha new company were directors who would *eo that th# farmer* received iusti»e. tha great saving effected Vr the amalgamation of several faotori## with Wellington, he instanced where competition compeiled the various agents to purchase pigs that wero not desirabls, and full prices had to be paid; The expense of collecting stock wag heavy, and a lorry might visit a district Mid return with only a portion of a load. Again, the agents of each factory -would "cut" against eaoh other, with disastrous results to tho companies. The company's works at Eit'aam were in fidl swing and killing cattle as well as pigs, and wlitn the supply was beyond the accommodation the stock could be railad to Wellington. There liad been a great surplus of pigs this season, and th«ir offer to supply tho Imperial Government with 20,000 pigs had been accepted, and this prevented a slump iu the market and good prices were iiaintained. The by-products were then reviewed, and what was previously a source of expense in removal) etc., was now rovenue•producing. Finances were next touched upon, •Usually farmers were not keen on pitting money into anything without seeing •prospects ahead. This <Spncern was.onc of the biggest in tho Dominion. He then ■moved the adoption of the report and ■balance-sheet. Seconded bv Mr, J. Clever.

Mr Efcwes (HavrhiHroa) congraWiiUd. the. chairman on hl3 excellent report. However, he wished to know if the payments for milk iu July and August could not be a little more. The chairman said the company paid out on the murEet value of the mill; at till' time it was received, Mr. W. Cleaver desired information regarding the co«> of manufacture. In previous years thu item usually appear ed in th« bfiance-sheet. The chairman remarked that when Mr. Cleaver was on the directorate they were making butter only, and the prices wcra steady. Now, for some month# they made cheeio, and then butter, aui •gain bock to cheese, and whey-ljufctar w*s also manufactured. It was dlAcult to got th# exact amount, but those Interested could work it out irom the balance-sheet, which showed the amount of milk received and the butter and cheese made. The over-run was a very 'jma.ll item, the greater proportion of tho butter they manufactured being whey butter. Last year the manufactured article cost 2 l-3d, and this year Veil over 3d. This wa3 brought- about iby increased wages, requisites, etc.

ELECTION OF DIRECTORS. ■ Messrs ICnuckey, Carter, Phillips (re- ; •tiring directors), Haverbier, and Whito .were nominated for three of tha vacancies. The voting resulted: Carter 937, Knuckey 707, White 6CI, Haverbier 542, 'Phillips 5132. All the candidates returned thanks. AUDITOR. Mr. W. J. Tristram was re-clected auditor. PATRIOTIC CONATIONS, The chairman read a letter from tho Eltham Patriotic Committee stating that ■a combined effort was about to bt launched to raise funds on behalf of the Taranaki War Relief Association, and hoping the company would make a donation towards the pWpoaa. Mr. ilJ&wfej said he understood th* company had contributed in tha p%sb and were doing nft,

The «hetrmai» stated % had ma<4 •o donation* in cMh, but tad contributed chew* 'Mr. Carbon said b* lad ao Kmo fat 4hf Patriotic OonunlfcUe. H» mlatcd aa tnst»-«c« where » rctnrned soMier, mfaim# nn nrin, h*d iippealnd far Metatance, bul witi (tlsmmted at the number «f quo*' 1 tkrM «.Bk«d, Ksd finally l»ft. A business* anio fiad paid him £8 and tia man, had gone to Auckland. Mr, W. Cleaver said tha letter sliould hj« meraly received. The cliainwm usiid they desired a di: rectioa froia the wsutiug as to what to Ao in the matter. He 'was not quite sur« whether it. was legal. Mr. J. Cleaver then moved: "That it be a direction to tho directors to make a donation at a lr ter date if they think fit."—Seconded by Mr. J. Walsh and carried. After a little discussion on veils and also pasteurisation plants at all factories, tho meeting adjourned.