FARMERS' FREEZING COMPANY.

Wairarapa Age, Volume XXXII, Issue 3192, 18 May 1909, Page 5

FARMERS' FREEZING COMPANY.

HOW THE CANVASS IS PROGRESSING. VERY SATISFACTORY RESULTS TO DATE. INTERESTING FACTS GLEANED BY A REPORTER. Considering the very great importance to this district of the probable establishment of the Farmers' Cooperative Freezing Company—a movement now in energetic progress —some observations made to and facts gleaned by a Wairarapa Age reporter yesterday may be of interest at the present time. The steps taken by the Maryborough branch ot the Farmers' Union leading up to the conferences at Masterton, Woociville, Palmerston andFeilding in connection with the project,'are already ,wellknown to the public. The later developments are not so well known, and few are aware that already practically the whole amount agreed upon by the provisional directors as the minimum subscription upon which they may proceed to. allotment—the large amount of £lo,ooo—has already been* guaranteed. This must be considered very satisfactory progress indeed, more especially in view of the fact that this substantial sum has been secured before even the prospectus has been issued.

A member of tha company in a position to speak with authority, told the reporter that the directors had met with enthusiasm in every part of the extensive territory in which they were operating, and it was confidently anticipated that the company would be floated well within the statutory ptriod of 90 days, and if that were done the primest obstacle to. success would,be 6vercome. . v . S Conversing earlier in.the day with a group of farmers, who discussed the matter of the establishment of the Co-operative Freezing Company, the pressman heard echoes of complaints which were fully discussed at the first conference of .banners' Union x delegates at Masterton.

"I*l3 never take a share in the company," said one, "for lhe*reason that the other companies have been made strong. If the present companies offer an advance in price of, say, sixpence per sheep, there would simply be a rush on the part of farmers to sell to these companies, and. where would the cooperative concern be then? "But," replied another, "there is, as you know, a suggestion that shareholders should be bound to support the company in preference to outside concerns. This was submitted to the first meeting of promoters, and was, in my opinion, rejected by them on a mistaken apprehension of the probable outcome of a binding agreement with the company on the part of shareholders. Mr Corrigan, the late chairman of directors of the Nelson Co-operative Freezing Company, who acted in somewhat of an advisory, position by request at this meeting, stated that he was against recommending the company to insist en bin Jing the shareholders to support the company, as that might b2 a source of trouble in enroliiag members. He probably/did not sufficiently compare the difference between form-

ing a company at Nelson,.where'" there was practically no .opposition,, and forming a company in this and the Manawatu districts, where thera is keen opposition, and where farmers who had any real business instincts at all would see the weakness of a company which had not its members bound by contract. I believe that instead of being detri-v mental to' the enrolling of shareholders the agreement under bond would have materially assisted the shareholders."

This view of an important question affecting.the company's welfare, present and prospective, ad infinitum, as it were, was put before the aforesaid member of the company by the reporter, and the reply was undoubtedly interesting. "To talk about binding shareholders in the manner suggested must appeal to any farmer who views the question carefully as quite illogical. The whole proposal is "flattened out" in one query. What is there to prevent a farmer selling his "fats" as "stores?" I might , mention, however, that a sub-corn-mittee "of the provisional directors I has now before it a scheme which 1 believe it intends to recommend the adoption of, and on 3 which should I just about settle the matter of pre- j ference to the company. This scheme, in short, is to bar all shareholders who do not give the company first refusal of their stock from participating in either bonuses or dividends. This should be drastic enough to meet the case, surely." "Is there anything fresh to report regarding the matter of venue?" asked the pressman. At the mention of this probable source of doubt and difference, the company man smiled and shook his head. "There are a lot of matters of a cognate nature which must be left in abeyance meanwhile," he replied. ■