FARMERS' FREEZING WORKS.

Auckland Star, Volume LVI, Issue 233, 2 October 1925, Page 4

FARMERS' FREEZING WORKS.

TAIHAPE BIFFIC TTLTIES. AGREEMENT WITH FEILDING. (From Our Own Correspondent.) TAIIIATE, Thursday. The ailjourr.ad annual general meeting of shareholders in tlie Otaihape Farmers' Meat and Produce Company, Ltd., was h'ld yesterday, when the chairman of directors, Mr. F>. . . Gordon, presided over an attendance ol" about forty shareholders. The meeting was adjourned from September 3 to enable a canvass to be made for stock, and a notice of motion to the effect that the company go into liquidation was held over pending the result of the canvass. The canvassers reported tbat they had experienced some difficulty in inducing the farmers to sign guarantees regarding the supply of stock, but all were willing to put the whole of their stock through, though few could give a definite guarantee as to the amount. The guarantees represented about 40.000 freight carcases, which was regarded as satisfactory hy the meeting, in view of the fact that when 30,000 were promised the season before last the freezings totalled G4.000 freight carcases. By leave of the meeting the motion to go into liquidation was withdrawn, and it was decided that the canvassing committee continue to work throughout the season for the purpose of influencing ps much stock as possible in the direction of the Feilding works. The decision that the Taihape Company continue operations does not involve the re-opening of the Taihapt works. The companv 7 has an agreement with tlie Feilding Farmers' Freezing Company, made last season, under which all the stock which can be secured in the Taihape district is frozen at the Feilding works. This arrangement still stands, though it resulted in a loss of over £1000 to the Taihape Company last year, on account of only 34,000 carcases being put through, as compared with (.4,000 dealt with at Taihape in the previous year. It is estimated that 00,000 freight carcases from Taihapa would result in a substantial profit to the Taihape Company, and enable it to carry on until conditions are favourable for the opening of the Taihape works. It was pointed out that it is essential for the company to make a profit, instead of accumulating losses, which the guarantors would have to meet, and that it was desirable to avoid going into liquidation, which would result in loss of the share capital, and in. a call being made on the guarantors as well. The shareholders are optimistic regarding the prospects, and it is estimated that the guarantee of 40,000 freight carcases will result in about CO.OOO being supplied, as the guarantees were made on a very conservative estimate of the amount of stock available for freezing.