FRANKLEY ROAD DAIRY CO.

Taranaki Daily News, 1 September 1921, Page 5

FRANKLEY ROAD DAIRY CO.

THE ANNUAL MEETING. The twenty-fourth annual meeting of the Frankiey Road Dairy Factory Company wu held at the factory last night, the chairman (Mr. A. Goodup) presiding over an attendance of about 40 shareholders. THE ANNUAL REPORT. The annual report stated: In submitting the twenty-fourth annual report of the company, your directors have to cougratulsu the shareholders on a record pay-out, but regret a decrease of 425,0511 he. of milk, caused by the late spring and the dry autumn. During the year the factory dealt with 3,323,7 lOlbs. of milk. Butter-fat contents, 134,2991b5., making 340,5001 b«. of chteac (factory weight). Tt© average test was 4.04 The lbs. of milk per lb. of cheese, 9.76 (f»e tory weights), and yield 2.53 (footer) weights). After writing off £55 5s 6d foi depreciation, and setting aside £133 6s 8« for reserve, your profit and loss account shows a credit balance of £448 10s Bd, which your directors recommend be allocated to suppliers, bringing the total psymont for the year to 2s 7d per lb. of butler-fat. Although a good quantity of your cheese graded well, bringing the average grade higher than last year, we regret that 11 per cent, of the output graded second. Statisi es.—Following are Lhe statistics for the season, the figures for 1920 being given in parentheses Number of suppliers. 39 (45) ; milk received, 3,323,7101b5. (3,748461 lbs.) ; butter-fat, 134,2991b5. (148,458!b».); cheese made, 340,5001b5. (374,00Mb5J ; average test, 4.04 J 3.95) ; lbs. milk to lb. of cheese, 9.76 (9.89) ; average grade, 89.06 per cent. (89.76 per cent.) ; average pay-out, 2» 7d (2s). Cleese sales amounted to £199 9s Gd, and butter sales to £l3BB 4s 3d. CHAIRMAN’S ADDRESS.

In moving the adoption of the report and balance-sheet, the chairman Mid he had again to congratulate the shareholders on a record pay-out. Although' the pay-out was not an high as was expected, 2s 7d wn a very substantial price. In view of the prices realised by consigning, this proved to be an oxs cellent sale?. Th© forward buyers of Neto Zealand cheese must have lost very heavtiyWhile the market opened well, reaching about IGOs, It fell to 100 s, and then rose again to

130 s and 140 s, which was the market price to-day. So far this season the offers received did not appear to represent the market value of the cheese, basing it upon preoont prices and future prospects. No doubt buyers would this year be very careful in buying forward. In view of their experiences last year.

The shipping prospects were brighter than they had been since the war commenced. By July 31 practically all the last season's cheese was shipped, so that the season was started with ompty stores. Shipments last year were • ery irregular, and this meant high storage and freezing charges. It would be noticed that there was & falling off in the milk supply of 425,05Ub5., due, no doubt, to the very late spring and dry autumn, which made the season a very short one. The test, however, was higher than last year. The qublm Ity of some of the cheese was, as shown bs the grading, not very satisfactory, while MM was higher than last year, and thus the &var< age was maintained. There were 2M eases of second grade cheese, equal to about 111 per cent, of the export output, and 18 cases were rejected from the works as third grade, while several eases of the early make were a total loss. The cost of manufacture wm 1.98 d per lb. of cheese and butter, against l.Md last year. The total cost f.o.b. was 2.44<L against 1.82 d last year. The total receipts per lb. of butter-fat was 37.88 d; cost f.0.b.. 6.41 d of butter-fat; depreciation and reserve.

.33d; debit balance and water rights, .14d, leaving 31d pay-out. The cost appeared high, but It was quite on a par with most factories this year. During the year a new freezer had been put in at the factory at a cat of £330. Salaries and wages showed an increase of £lOO owing to the higher rates of wages ruling. Interest increased from £7B last year to £2ll this year, caused by the delay in shipments. Suppliers insisted on

having a hlgl: pay-out, and they had to pay for it. Requisites showed a high increase in cost again; all materials ruling veiy high, and, it was hoped, reaching their highest. The financial position of the company was very satisfactory. When all accounts and bonus and cheques were paid and accounts collected, the debt to the bankers would be £6B*. which was more than covered by stocks >n hand. Referring again to grading, the chairman said he would like to point out that cheese was again on the open market and In competition with other brands, and that the question of quality was of great importance. Quality could • only be secured by the suppliers doing their own part and sending the best quality milk to Hi© factory. The report and balance-sheet were adopted. ELECTION OF OFFICERS. An election of directors to fill the places of tie four retiring directors <Messrs. F. Baker, G. Burkett, P. Gilbert and E. J. Pepperell) resulted as follows; F. Baker 45, A. Goodup 44, W. Adlam 42 (elected). Messrs. F. King and H. G. Farmer drew for fourth place, with 40 yotes each, and on another ballot being taken, H. G. Farmer was elected by 44 votes to 39. At a subsequent meeting of directors Mr. Goodup was re-elected chairman. Mr. C. H. Wynyard was re-elected auernor. GENERAL. In reply to a shareholder, the secretary said that up tTTI last year the dairy factories had been exempt from income tax, but a clause had been inserted in the Act making any income not paid out to suppliers liable to taxation. In regard to a movement at the last annual meeting in the direction of estabHahing a phosphate grinding plant, t) o secretary said that since the Farmers’ Union had taken the matter up, it was not necessary for the factories to pursue It further.

Votes of thanks wen* accorded to the chairman and directors, arid to the secretary. At the conclusion of the meeting supper was dispensed.