THE DAIRY INDUSTRY.

Taranaki Daily News, 1 July 1922, Page 7

THE DAIRY INDUSTRY.

NORTH TARANAKI COMPANY. THE ANNUAL MEETING. Tlie annual meeting of shareholders of the North Taranaki Co-operative Dairy Cohipanv was held at UrentH on Thursday. Mr. H. M Purdie (chairman of directors) presided, and there was a good attendance of shareholders. The annual report said: "It is very gratifying to see such a substantial increase in the amount of milk received. Although the prices received for our produce are considerably less than during the previous season, the weather conditions have been most suitable for dairying, and the consequent substantial increase in our output will in no small measure assist in making up the deficiency in prices. The quantities of milk and cream received, and , the figures relating to production . are shown hereunder:— Cheese.—Quantity of milk received: Onaaro 1,581,4961b5., Waipapa 2,425,0561b5., totajl 4,006.55211)8. Quantity of butter-fat received; Onaero 65,1871b5.. Waipapa 102,913ib5„ total 168,101ibs. Average test of milk: Onaero 4.12 per cent., Waipapa 4.24 per cent., average for company 4.18 per cent. Quantity of whey butter made: 11,2561b5. Quantity of cheese made (factory weight) : Onaero 176,1021b5., Waipapa 266,8061b5., total 442,9081b5. Quantity of cheese made (net weight) : Onaero 171, 7001b5., Waipapa 260,1361b5., total 431,8361b5. Quantity of cheese made per lb. of butter-fat (factory-weight) : Onaero 2.701b5., Waipami 2.591 bs. Quantity of cheese made per lb. of butter-fat (net weight) : Onaero 2.631b5.,- Waipapa 2.521b5. Lbs. of milk to II;. of cheese: Onaero 8.981b5., Waipapa 9.oB|bjS. . of manufacturing lb. of cheese lit pbr llj/of butter-fat 2.92: management, ,47d; charges w f.0.b., .62d: depreciation. ,()7d. Total eofl, 4.08ci.

Butter.—Quantity of cream received, 1,600.•)301bs. : quantity of butter-fat received, 599,801 •bs.; average test of cream. 37.46 per cent.; quantity of butter made, 725,5951b5. ; over-run 2(1.97 per. cent.: lbs. of cream to lb. of butter, 2 201bs. : cost of manufacturing lb. of butter at per lb. butter-fat. 2.08 d; management, .70d: charges to f.0.b., ,57d: depreciation, ,04d. Total cost, 3.39 d.

Butter only was made by the company from May 1 to December 5. 1921. The milk suppliers then turned over to tlie manufacture of cheese until March 31, 1922, when buttermaking entirely was again reverted to. At the time of balancing all butter delivered into refrigerating store up to April 13 had been shipped, but unfortunately a very considerable portion of the cheese made is stil unshipped, und it is anticipated that a clearance will not be obtained before the end of June. The.results of our butter up to December 5, 1921. have been finalised and the average payment for that period will he 15.07(1 per lb. of butterfat. An additional payment of I l-16d on butter-fat supplied during that period lias now been authorised. The results for the remain dec of tlie season in regard to both butter and cheese will not be available for some time yet. but it is confidently anticipated they will greatly exceed the early portion of the season: CHAIRMAN’S ADDRESS. The chairman, In moving tlie adoption of the annual report and balance-sheet, congratulated i the shareholders on the progress of the company, as shown by the statement of 'accounts. Tlie year had been one of surprises and disapopintments, a pleasant, surprise In regard to production, which had been a phenomenal ' fine, and a disappointment over the unstable state of the market which had had a bad effect over prices. During August and September last, when the new season was opening, market prospects seemed to point to fair prices for their produce and it was confidently anticipated that butter would net them between Is 9d and 2s | per lb., butter-fat and cheese between lOd and Is. One or two c.i.f. offers by selling firms ■ were being made for cheese output and an occasional offer of about Is 6d to Is Sd for butter , output. Cheese offers were, however, more numerous than butter offers. The general idea of value of most companies’ boards of directors was Is for cheese and about 2s for butter. Conseqtlently comparatively few sales of output in the North Island were made, although he understood there were a considerable number of sales of cheese outputs made in i the South Island. Butter looked the better proposition of th? I two and the directors decided to keep on witli 1 butter manufacture for the major portion #nd possibly the . whole of the season, or at any rate until the cheCse market showed some signs of improvement. The first shipment of butter by the s.s. Dorset, 136 boxes, arrived In JLwniJou cii November 30, and averaged 176 s per

cwt. The market had been showing signs of breaking for some weeks and when the s.s. Port Lyttelton, shipment of 732 boxes arrived on December 9 it only averaged them 141 s per cwt. The cause of the serious drop in prices was due primarily to the large stocks of Imperial stored butter being suddenly pushed on to the market. The Port Lyttelton was followed by the Corinthic on December 7, 1921, 342 boxes realising 121 s per cwt., Remuera, December 28, 968 boxes realising 118 s per cwt. Then the market began to recover and the Talnui shipment of 1157 boxes which reached London on January 5, 1922, realised 134 s for salted and 162 s for unsalted. They had been advised by their London agents early in the season to make a considerable portion of their output unsalted, and this had paid them very well during the first part of the. season. The Tainui was followed by the Piako on January 24, 1144 boxes realising 140 s, salted and unsalted, Matakana, February 8, 47(1 boxes. February 8,138 s salted, 142 s unsalted, Walmate March 13, 788 boxes, 172 s salted, 178 s unsalted, and since then the market had shown a strong upward tendency, whilst to-day it stood at 240 s firm.

When the butter market was at its lowest state the directors, who were carefully watching tlie position day by day, decided that it would bs best for the milk supplying section of the shareholders to turn over to the manufacture of cheese, which would help to ease the butter position and on December 5 last they made their first line of cheese for ths season. Most factories which had dual plants had been making butter entirely up to that time. Their first shipment of cheese, 80 cases, was made by the lonic early in January, and it arrived in London on February 31, realising 84s for white and 96s for colored. By the time this shipment reached Home the directors had some misglivngs as to whether the cheese .market was going to remain firm and since then their fears had materialised and a few weeks ago the price fell so low on the London market that our Kia Ora and Athenic shipments, which left here in March, barely netted the company 6d per lb. f.o.b. ocean steamer, and they now realised that it would have been a much better policy to have stuck to buttermaking entirely. The position of the butter market during December last seemed so desperate that many of the Eng lish produce houses advised factories in New Zealand to turn over to cheese as quickly as possible. At the end of March the company went back to butter-making entirely, .which as far as he could see at pn ~' i nt, It was likely to continue for some time aud possibly during the whole of next season. At this juncture it was impossible for him to forecast what tlie average payment for both butter and cheese would do for the season, but he thought tliat butter would undoubtedly beat cheese by a considerable margin. The prospects for next season, particularly in regard to butter, seemed much brighter than last year and lie trusted their hopes in that direction would be fully realised and also that their experience would be a bumper season for production quite equal to tlie one just closed. Mr. A. H. Halconibe seconded the motion, which was carried. ELECTION OF DIRECTORS. There were three vacancies on the directorate, and the following nominations were received: Messrs. G. H. Herbert, G. W. Rog- j ers, A. D. Lucas (retiring directors), W. T. i .Toll, J. Cole; T. N. Skelton, and L. G. Newton. A ballot resulted in the retiring directors being re-elected. . Mr. A. J. Tunbridge was re-elected auditor at a fee ofls 155.. GENERAL. Tn reply to a question as to why a tester had not been installed at Waipapa as mended at tlie last annual meeting, the chairirtan said the question had had the careful | consideration of the directors and that they had come to the conclusion that no useful purpose would be served and therefore nothing was done. Mr. Halcombe referred in appreciative terras to the services of the directors during the past year, and on his motion they were accorded a hearty vote of thanks. The chairman was voted the usual honorarium. A hearty vote of thanks was accorded the secretary (Mr. E. D. Garner) and manager and staff for their work during the past season. At a special meeting following the annual general meeting, it was decided to amend the articles of association in order to provide th:i. suppliers of either milk or cream hold one share for every 100 lb of butter-fat’ supplied during the year. At a subsequent meeting of directors Mr. Furdia was re-sleeted chalrmaa. i