DRIED MILK.

Taranaki Daily News, 29 September 1921, Page 7

DRIED MILK.

PROSPECTS AT WAITOA. Te Aroha. Sept. 24. Waitoa farmers are jubilant at the improved prospects for milk-powder on the English market, as indicated in a cablegam from Mr. \V. Goodfellow, who is visiting England at p-esent. The Waitoa fact< ry is the largest and most substantial of its kind in the Dominion, the whole outlay for buildings and plant being in the neighborhood of £200.000. When the undertaking was commenced prospects were very bright for a permanent demand for the output,ibut more recently there had been grave doubts os to whether it would pay to manufacture the powder. However, latest reports place the market value of the product (which is the powdered skim milk, after the butter-fat has been r. ade into gutter), at from £BO to £lob per ton. with an unsatisfied demand. Yesterday powder-making wa<s commenced with the whole, or practically the whole, of the plant but a slight hitch occurred, and some of the machinery had to be idle while adjustments' were made. The stoppage was not a serious one. and very soon now the Waitoa dried-milk factory will be in full operation.

Mr. Welle, chairman of the Cambridge Dairy Company, States that the price of spray milk powder on tlie world's marker has reached £7O per ton. Should the Cambridge Company’s estimate of cost of production be correct, there will

be enough profit, at £7O, to pay interest and sinking fund on rhe new factory, to reduce present mdebtedeaa, and leave a profit to the suppliers. This is great news for Cambridge sup pliens (says the Waikato Independent) a<s if the market holds, it will probably mean the distribution of about £20.0(M) in ths district, additional to tlie price of butter-fat. Mr. Wells further states that, as money i<s short everywhere at present, it has been decided to make a pay-out to suppliers at the rate of 2s. This figure is above what’the market warrants, but the directorate are. endeavoring to conduct all tlie company’s business to suit the needs and convenience of suppliers.