DAIRY COMPANIES.

Taranaki Daily News, 20 August 1919, Page 8

DAIRY COMPANIES.

TARIKI. TWELFTH ANNUAL MEETING. The twelfth annual meeting of the Tarllii Dairy Company was hold In the Tariki hall yesterday, when Mr. \V. V. Harkness, chairman of directors, presided over an attendance of about 50 suppliers. REPORT AND BA7.ANGE-SIIEET. The report showed that cheese made at the central factory amounted to 219 tons 14 cwt. 0 cirs. 12 lbs', and at the Rugby Road britnch to 190 tons 12 cwt. 2 qrs. 9 lbs. Total, 410 tons tl-cwt. 2 qta. 21 lbs. During July, 1918, and for two weeks in July, 11)111, the milk at Rugby Road was separated and yielded 5450 lbs. of cream. At the date of. balancing there were 829 crates of Tariki clieeso and 11CS crates of Jllro cheese hi the works. Advances bad been ma.de of Is Od per lb. of butter-fat, and the balance of the working account, viz., £6117 6s Cd. would allow oi another 4d per lb. being paid out, which would bring the total payments for the season up to Is lOd. This, however, had to be reduced by %<1 per lh., which has been placed to the reserve account, towards paying f«r the last 102 shares in the Taranakl Producers' Freezing Works Company. The special deductions of %d per lb, anii Id per lb., which aro being made from Tariki suppliers, and Rugby Road suppliers respectively, which haro been placed to'the respective sinking funds, had also to be allowed for and would reduce the actual pay out accordingly. It was proposed to pay out another 2d per lh.'on butter-fat for the season, and to make further payments as ::ig cheese is shipped.and the money comes to hand. Statistics were submitted as follows, Tariki figures being mentioned first in each instance: Lbs. of milk 4,381 195, 4,077,495; lbs. of butter-fat 188,292, 172,734; lbs. of cheese made 492,140, 427,009; average test 4.30, 4 23; lbs. of milk to 1 lb. of cheese 8.90, 9.55; lbs. of cheese to 1 lb. butter-fat 2.613, 2.512.

The balance-sheet showed receipts totalling £49,349 9s 2ii (cheese £99,630 4s, cream £lB5 13s 7d, whey cream £551 0s 7d, veils £2 10s). The principal Items of expenditure were: Wages £1795, fuel £590, requisites £2178, repairs £490, railage £199, Interest £285, Insurance £292, carting £290, sundries £139, export charges £522, local charges £l5O, fees and honorarium £59, depreciation £507; £27,059 had been advanced to suppliers, and £Oll7 remained on the surplus account. CHAIRMAN'S ADDRESS." The chairman paid a tribute to the work of tho secretary whose balance-sheet was most explicitly set out. He touched on the difficulties experienced during the epidemic, and referred to the way In which suppliers had come to the assistance of the factories, and lie thanked nil for their assistance. As showing tho difficulty they labored under, ho pointed out that at Tariki they had had five managers in three weeks, and at Rugby Eoad, three, and for six weeks had practically to pay double wages, while they had not Lweu able to leparate their whey during part of that period so had lost from £9O to £IOO. No soc6nu grade cheese had been jnadc during the year, and Tarikr" came third, and Rugby Road ilith! on the list of average grades of about 4(i factories that graded at Moluroa, a result thai spoke well for the managers, Mr. T. MeElroy at the main factory, and Messrs. Penwarden and Baker, at the branch. For about a week, the milk at Rugby Road had bene separated and the cream sent to Wanganul. Tho directors however, had decided to 'pay out for Ibis on a' ■cheese basis, as it was not considered desirable to penalise the suppliers. He was hopeful that .-hipping would be better, hut they knew as roiieh about the position as he did. Regarding the final pay-out last season it had, been said that he had wilfully misled them at the last annual meeting by stating that they would get 3d more. The balancesheet showed that there would be a final pay-out of 3'id. He had not ivilfuly milled them. He pointed out that various items had been set aside that had reduced the pay-out, notably the heavy shrinkage on the cheese held in store at the factory and at the ball. The final pay-out for Tarilii for the first period of tho year until RugbV Road came in was Is B'4d. In connection with tlie shrinkage period, they had left the alloc«lion to Tariki and Rugby Road entirely In Mr Poretval's hands •

This year, he said, they were adopilif a new syiicm by which they would know at the end of the year what tho actual pay-out would lie, save that they did not know what refund they would get from the fiovernraont In connection with slorsgc. It was li'iv.-e-ver, anticipated that the refund on the 2812 crates that had been shlpned, would about compensate for the charges in tiie Ida? crates not shipped. During the year 1312 crates had been shifted from Tariki,' and SS-! were still in store, whilst 1472 crates had been shifted from Rugby Road, and lies crates were still in stock. Rugby Road appeared larger than Tarilci, but n large quantity of Tariki cheese had been sold locally, viz., £5405, against £2050 tho previous year. ' Those local sales were good business for the company is they gave ready money, which helped with the finance He anticipated thai tho local sales would be much larger next year, and at a higher price Ihan they were receiving from the Imperial Government.

The ' principal item regarding the working of the factory was the yield Per lb. of bnlterfut. At Tariki, with a test of 43, the yield was 2.U13. and al Riighy s»,nj, with a' t cs t nf 4 23, (he yield was 2 512. Roth these results, considering the lest, were very "ood indeed. He had asked Mr. Cuddle what yield » test of 4.3 should ghe, and Mr Cuddle staled that he considered if a manager obtained a yield of 2.5 lbs. he w»ukl do exceedingly well He then traversed the balance-sheet, claiming that the position as shown by the assets and liabillles was very creditable. There was a big likelihood of a change in the industry with tho probable development of the dried milk or sugar of milk industry, or possibly the reverting again to the manufacture of butter and casein, and the factory with sound reserves would be in a better position to take tho advantage of this Hum v.ould one eaten up with debts

Tiie Egmont Box Company's proposal to purchase 4090 acres of white pine bush would necessitate taking up another 871 shares on whicii however, the Bos Company only intended to call up 5s per share. The Box Conipanys balance-sheet this year was probably the best it had ever had, as £IO,OOO had been written off, and £r,so profit shown. The Taranaki Freezing Company had also had a satisfactory year, evidence of which was shown by the fact that they would obtain a rebate which went against their share capital The £25,090 invested in the Meat Company had returned 0 per cent, interest, and he considered the move was a good one Regarding the New Zealand Rennett Company he stated it was in a fair way to be a sac cess. Mr. Cooper had been installed as manager, and his rennett was equal to if u',t better than, the imported article. Mr ' Coonewas very anxious tor dairy farmers to preserve all the veils, and tho spea'-cr slated that the Tariki Company was prepared to ,-|ve 2s Cd each for Ihein. There was no question tnat outside rennet would come Into New SV. land shortly, and if the difference in p'rie'e between the Imported article and their own %ws too wide they would be forced to buv the outside article.

Regarding working expenses, he pointed out flint It coat 'farikl L77d per lb. of butterfat to manufacture their cheese, as compared with Kalmata 5.53 d, Lepperton 5 82d Bell Block 4.13 d, and Paiua 4.45t). Cartage was i big item, and he wanted an expression n'f opinion as to whether the company should purchnse Its own motor lorry. Thev lnd received £531 for the sale of their' whey cream, and hut for the epidemic would probably have received an additional £9O or £uo He would also ask them to consider whether the company should not instal its own wtiev butter plant. Several other companies he remarked, appeared to get double the quantity of whey butter than Tariki made, but there wis no guarantee that some of It was not maile from milk considered unsuitable for cheese Referring to the sinking fund, he pointed out that Tarikl by the payment of 14.J I)e r lb. had practically wiped out Its lliiblMv whereas Rugby Bond had also wiped out "IIV He then formally moved the adoption of the report and balance-sheet. Air. W. Langman seconded.

In reply to a shareholder, the secretary stated that Kaimata was paying out Is d Lepperton Is 10d, Bell Hlo'ck is l()4d .','i,,-i Tntua Is ll%d. '

Mr Kendrick said that while the company was gettlnu a good yield of cheese and a good grade, yet the pay-out was not satisfactory There was a loss somewhere Some people said the Jersey was responsible owlnu te the Mull test. He thought the company should skim its milk down. In dried milk, the milk was skimmed down to 3.r>, and the extra butter-fat was made into butter. Why could not their company do likewise?

The chairman: Would, you recommend us to break the law?

Mr. Kendrick considered that the tbilry farmer should work tooth and nail to hnye lli'e law altered.

Mr. .lell.vman nuked whether the manager could not explain the lass? The manager: We made perfect cheese. ;f our lest was 3 S we could pay-out 15, ilie same as the others do.

After Home further remarks on tile subject the motion was carried.

ELECTION OP DIRECTORS. For the two vacancies on the directorate for Ihe Tarlkl dairy factory, caused by the retirement of Messrs. .1. .lemison and J. Hucler. who retired by rotation, Messrs. .1. Jemison anil A. E. Laurence were elected unopposed; several declining nomination. For Ihe one vacancy to represent Rugby Road uu . the directorate, owing to the retirement of Mr. W. Langman by rotation, there were three nominations, and the election resulted: W. Langmaii 50 (re-elected), W. 3. Kendrick 212, A. West 14. Mr. Geo. Pullen was re-elected auditor, the <M Intae lucreaasd from £4 1$ to «; it.

GENERAL. Mr. Cowley brought up the question of closing down the factories for a few weeks In the winter to save expense. The general opinion was that this was not advisable. The chairman pointed out that the manager and assistant had to he kept through the winter so that there via. oniy the cost of the fuel once every three days. After a brief discussion It was resolved not to lust.il a ivliey bulter plant in the factory this year. The chairman referred to the unsightly appearance of the old Rugby lload creamery, which was also, he considered, dangerous, a wooden building. The directors had an estimate of £7OO for erecting a concrete building, and a boiler-house, coal shed, etc. Air. Kemball favored the matter being held over pending the return of the delegates from America, which might neccsb.iate considerable alterations In the building. No action was tulien. Tlie question of purchasing a lorry was brought U]). The chairman stated that a new two-ton truck would cost £951), and a secondhand one £SOO.

Members generally were opposed to the purchase of a lorry, pointing out that li would not pay to Interfere with the present contract. A supplier urged the company to petition for a siding at Rugby Road.

The chairman said that it would not pay to Instnl the siding. Mr. Laurence asked whether tho company's! tram line to the station was ever used, and on being informed th.it it was not, he moved that tho lino be taken up and the rails sold, j This was seconded and carried. A supplier suggested that the company pay for veils the monthly following after delivery, and that th? veils be classed as received. The chairman stated that Use money could be obtained on application to the manager. Mr. W. Reed moved that the Rugby Road testing should be done at the Rugby Road factory, by the manager there. Mr. West seconded. Tho chairman stated that this would entail tho expense of testing room, etc., and he did not see that that was any advantage in having two testers in one small company. The molion was lost. Mr. Gllibs suggested that the company should obtain its butter from Maketawa oit Midhirst tills year. Tho chairman stated that the directors were making other arrangements this season. A vote of thanks was accorded Mr. Hucker, the retiring director, for his past services, and tho hope was expressed that he would soon be restored to health, he being at present in the hospital. A vote of thanks was accorded the chairman, manager (Mr. T.'MeElroy), secretary (Mr. N. E. Perclval), and staff. v CHAIRMAN OP DIRECTORS. At a subsequent meeting of directors, Mr. W. V. Harlmess was re-elected chairman. TUNA. At the annual meeting of .shareholders of the Tuna Co-operative Dairy Company, held on Saturday, Mr. W. Skedgwell (chairman of directors), presided. The second annual report showed that suppliers had received Is 7d per lb. for butter-fat on the whole season's supply, and that on the balance-sheet figures, there should be nearly .'!'/4d more to allocate when the shipment of tho large quantity of cheese now In store is efrectcil. Milk received, 3,278,084 lbs.; average lost, 4.03; butter-fat, 132,370 lbs ; cheese (factory weight), .142,119 lbs.; whey butter, 10,625 lbs ; milk to 11!). cheese, 9.58 lbs.; cheese to lib butterfat, 2.58 lbs. Mr. Klrby was elected to (HI the vacancy on the directorate caused by (he retirement of Mr. Richter, and Mr. J. H. Thomas was re-appointed auditor. Votes of thanks were accorded the manager and staff, the chairman, directors, and secretary. At the usual meeting o* directors, Mr. Skedgwell was re-elected chairman.