THE DAIRY INDUSTRY.

Waipa Post, Volume II, Issue 71, 19 December 1911, Page 4

THE DAIRY INDUSTRY.

THE SEASON AND THE OUTLOOK. In reviewing the present dairying season, so far as it has progressed the phenomenal features of the position present a striking contrast to previous years, and these are the points which call for particular attention. The following ideas are reproduced after consultation with an expert who has his finger on the dairy pulse of New Zealand. THE ALL-IMPORTANT CONSIDERATION.

To the producer the all-impor-tant consideration is the financial result. Will it be best for the produce to be sold f.o.b. or would it be more advantageous to consign. This is the question that has to be settled by the factory directors each year, because of the want of any clear and definite policy as to the disposal of the goods. Naturally without a policy this difficulty is an annually recurring obstacle, and to the board of a factory is a problem that frequently occasions much anxious thought and sometimes many sleepless hours. As a rule the producer, whichever plan he elects to . follow, usually obtains something within the region of the full value of the produce. In commenting on the season's operations so far, there is no intention of advocating either one system or the other, but to state > actual facts. When the time arrived for arrangements to be made, it was generally assumed by those who are supposed to know what dairy produce would be worth eight months ahead (a somewhat speculative problem to say the least of it), that would turn out a "consignment year." Indications were not wanting that this opinion was basedonreliable information. However, within a short period the unexpected happened. The Northern Hemisphere was visited by a serious drought, and supplies were consequently materially decreased and a considerable shortage anticipated. Offers to buy were then made by a few firms for butter at lo%d. f.o.b. At this price some business was effected. Prices gradually advanced until high-water mark Avas reached at ll%d. f.o.b. Cheese was also in demand, and contracts were made at 5%d, until the highest figure reached was 6%d f.o.b. To-day the New Zealand dairy farmer stands in the enviable position of receiving the highest value for his produce in the history of the industry. A striking commentary on the pessimistic utterances of some of the leading public men 15 years ago, that in ten years' time the United Kingdom would be unable to take the surplus of the Dominion's export if it developed to any extent. BRIGHT, HOPEFUL, PROMISING. To-day the prospect has never been brighter, more hopeful, or more full of promise. Notwithstanding the high prices accepted several factories decided to risk the market on their account, and are shipping to London on open consignment. The results, as shown by account sales, will be eagerly looked forward to. Judging from present returns to hand, the s.s. Rotorua's shipment of butter, realised from 133 s to 1345. per cwt. This means for butter rather more than is id f.o.b. net, and cheese nearly 6%d. There is a bright side to the picture, but it has also its compensating balance. This consists of its adverse conditions, some of which are beyond ou~ control.

THE DARKER SIDE. To complete the review a brief reference to the darker side may not be out of place. To-day we are within a fortnight of the longest day of our year, practically midsummer, and up to the present there has been no summer and no real spring weather. Probably for the last fifteen years there has been no spring similar to that experienced this year. Throughout the dairying districts of the southern portion of the North Island, and to a great extent in the South Island also, the climatic conditions have been wet, cold and boisterous. The pastures have suffered in consequence, and the growth has been retarded. Naturally, the milk supply shows a considerable shrinkage, and this is confirmed by the total exports to the United Kingdom. Taking the season's exports, and comparing them with the corresponding period of last year, the decrease is 56,000 boxes of butter, equal to 1400 tons. From this shrinkage there must, of course, be deducted the quantity sent to the West Coast of America, but even when that is taken into account it does not materially effect the point at at issue. Cheese, on the other hand, has increased by nearly 15,000 crates. Now, if lib. of butter be allowed for 2% of cheese, there is still a decrease on our total shipments. Supposing there could have been recorded a normal increase of from 15 per cen£ v to 20 per cent., it would Jhave meant an increase of j capital to the Dominion of from £750,600 to £1,000,060. QUESTION OF WINTER FEED. j j However, blame is'not alto-N gether attributable for this short- jj ige to climate conditions, thcreVa s an important lesson to be a<|i M

duced therefrom for the dairy farmer. May he take it to heart at once, and amend in the future. It is this: The mortality this year amongst dairy herds coming into profit has been far above the average. Cows have perished this year by the hundreds through sheer inability to fulfill the demands required of them. If Nature unassisted failed to provide sufficient nutriment at a critical period to keep the machinery working, then the owner should have provided under such conditions ample food to give to give him a profit and not a dead loss. The question of supplying winter feed for cows becomes, year by year, one of paramount importanae to the dairy farmer. It is without doubt the question of an hour. Not only is it incumbent upon him to provide a plentiful supply of food to carry his herd through the winter in good condition, but also a reserve stock to tide over that period of the year, such as we have had this season, viz., an early growth with a set back, until the grass comes forward in ample supply to meet all demands. If the losses incurred this year through want of fore sight drive home this lesson alone, the financial loss will be money well spent.