THE MILK REPORT

Dominion, Volume 11, Issue 262, 24 July 1918, Page 6

THE MILK REPORT

PRESENTED TO THE CITY COUNCIL

RECEIVING STATIONS IN THE COUJNTBY BLOCK SYSTEM OF DISTRIBUTION A CITY STATION ACQUIRED. After some months' deliberation tho special Milk Committee set up by the City Council subsequent to the breakdown of the clearing station at Thorndon presented a report to tho City Council at a special meeting held yesterday afternoon. The report, wliich was presented by Councillor C. B. Norwood (chairman of tho Milk Committee), was read and discussed in committee, subsequent to which copies were handed to the Press with the information that it had been adopted. The report is as follows:— Country Station, • "Tho committee recommend the erection of a/receiving'station, or, if found necessary, two stations, one on each line —Wairarnpo. and Mnnawatu—in the largest inilk-producing centre. The station should be adjacent to the railway and beside a plentiful water supply. This station to take all the available milk which can be produced within tho economic radius of supply. The purposes of this station will be:— 1. To act as a governor upon tho supply of milk to tlie city, that is to say, the near milk raised in the area, on tne city side of JfneknJcariKi unit Kuiutaka ranges, including Wai-nui-o-mata Valley, will 'bo known from aay 'to day, and the surplus to make up the total required daily for the city purposes only, will bo made up irom the counSy station. The balance, of the milk not .equired for city purposes will be niado up into butter, cheese, and cream, which will have its commercial value, and can bo sold at tbo City Council's milk shops.. The committeo Deilovo that the city rounds-niau may be allowed to sell these products to the householders on the commission basis, and 'thus make His. own position more attractive for him.

2. As the milk coining from a distance will require more careful treatment than the near.milk, on account of the unavoidable increase in time between the cow and the' con- • suiner, the milk must be clarified' and, if necessary, pasteurised before the growth of bacteria can get any way on. From data collected by the committee as the result of experiments in other parts of the world,, it is shown that milk clarified nnd cooled balow 40 degrees immediately after milking can be kerjt almost indefinitely without material growth of bacteria, so long as it is kept at a temperature of irorn 32 to -10 degrees. It is, therefore, intended that tlio milk should be treated in 'this way at the country receiving etation ami hold in coM store until it is placed in the insulated' trucks for transport to the city. It is calculated that this work can be performed without actually increasing the length of time in transit between the farmer and tho consumer. 3. As the council's receiving etation is in the midst of tho farmers, its management will be in closer touch ■with them. The committee has in mind a way by which a premium can bo given to the farmer to bring hie herds, milking-ynrds, dairy, and methods up to a state of efficiency which is recojnisul to be pure and healthy. '* ■. "Negotiations are now proceeding reWtivo to the above scheme and subject to confirmation by the council. Tho council, however, is not .asked to do more at tho prescnta'tion of this report than to approve the principle, and no commitments will be inade without the full concurrence of tho council. City Station.

' "The committee recommend (he erection of a central city station designed and fitted with the most up-to-date machinery to reduce labour to a minimum, and largo enough to servo tho city for many .years to come. The committee, however, recognise that this cannot be economically carried out until after the war, and as tho present milk situation requires prompt action, they recommend the purchaso of the Fresh Food and Ice Company's property in Dixon Street. The property has been carefully examined, and the committee does not regard it as suitable for a permanent station, but believe it will, with slight alterations, fuliil the immediate requirements. Negotiations between the committee and the liquidator of the Fresh Food and Ice Company have !>een completed, and the council is now asked to sanction tho purchase. The figure asked is regarded by the committee is » i very favourable price, and even if it is discarded as a milk station in two years' time, there will be no loss to the city, as their scheme for distribution provides a small reserve to meet contingencies of this kind. Distribution. "The committee recommend the ultimate distribution of milk for the citizens of Wellington by the council's own employees, and their scheme provides and works as follows:— 1. Tho city to be "blocked into rounds in such a way as to prevent any possibility of duplication, and lo prevent the necessity for two or more carU> in any locality at the same time. 2. The introduction of tb» coupon system, with the object of eliminating bad debts. 3. To relievo congestion at Ihe central station, and for Ihe more economic distribution of the city's milk supply, the committee's' scheme provides for a seriee of sub-stations, probably seven or eight, al convenient points of the city. As the milk arriving in the city has already been prepared at the council's country Btation, for distribution, it can be run by motor lorry direct to the substations for immediate delivery, and : save the expense of taking it to Ihe council's city etation. No milk will be stortd at theso stations, and no manager other than the rounds-fore-man, whoso house forms part of Iho building, will be kept at these substations. The rounds-foreman will himself act as a spilvc man to take the place of any man who should fail to turn up from illness or other causes.'

i. Tho plan submitted shows a milk eliop attached !o each eub-sialion. This idea is tnken from Mt:.wrs. Ambnry's, Limited, Aiicklnnd. The shop, though small, should be designed and flnished to siiffsci't clennlincss of a high degree. The shop is run entirely separately from the sub-sta-tion, with a Rirl in charge. This shop will sell coupons, butter, cheese, cream and milk over the counter. These shops are necessary to supply milk to those who may run out and want an extra supply of milk during the day. The committee have Mr. Ambury's assurance that similar shops in Auckland pay the expense of the sub-station and show profit in addition. Position of .Present Vendors, "Tho committee have found it difficult to decide upon a workable scheme mutually satisfactory to the council and the vendors. While the coiircil have no power to directly compensate '.he vendor, the committee are of opinion that it would l>o unjust to proceed with the council's scheme without some consideration to the vendor. With a view to overcome this ami to facilitate an immediate commencement,' , , the commit! "e recommend that the vendors should have surety of '.enure for two years on the following terms:— > 1. Each vendor to receive .n block on the new system, requiring milk equivalent in volume to that amount which he is supplying to the public at the tiaio the council take over tho control. 2. Tho vendor to eccure the advantage of the coupon system. 3. Tho vendor to purchns? his milk from tho council at a price which allows him a living profit and allows

tlfe council a euro profit after all expenses aro accounted for. ■i. At tho end of oach year, when the balance is found after allowing for all charges, including sinking fund, interest, depreciation, and tho provision of a reserve of, say, 2J per cent., upon the turnover (the latter is a provision for any loss that may ariso in taking up tho temporary milk station), the wholo of tho balance- standing to profit, to be distri-

buted equally among "tho vendors in proportion to the amount of milk delivered to tho public by oach respectivo vendor. 5. It is estimated that the economy caused by "blocking:," elimination of bad debts, and profit on by-products

will rcaliso at least one penny per gallon, and in the course of two years the vendor will, if the above estimates are realised, receive bonuses equal to the full compensation recognised by tho trade at the present timo for the purchase and sale of milk rounds, including plant. 6. The council will bo under no obligation to the vendor at the end of two years, but may purchase at valuation, such part of his plant as the council may require.

"The merits of this system He in the fact that the vendor relies for his profit and compensation upon the economic running of the Department, but lie v ill be asked to sign an agreement requiring him to live up to a high standard. Tho violation of any of the clauses will render him liable to the loss of his round and his bonus. The nearer he gets to the end of the year, the greater will bo his sacrifice in the event of cancellation for any cause whatever. ]3y this system, the committee feel that it will bo possible lo get the loyal support of the vendor even though at the end of two years the council may determine to embark upon the larger scheme. "The committee feel that it is highly probable that in two years when the present arrangement with tho vendors runs out there may be many changes which will bring entirely new ideas into tho supply and distribution of milk in the city. They have been in treaty with the Canadian paper manufacturers, and they are assured that immediately after tho war there will bo nothing to prevent the proper pulp from being imported for the manufacture of paper containers. A machine for stamping out 500(1 per hour could be obtained at approximate ••'ost of ,£3(KIO, and as theso articles are not handled by any means other than bj; steel fingers right throughout the whole process, tho committee believe that they give promise of the most sanitary p.nd satisfactory method of distributing milk. In the meantime, fuller information upon this subject is being sought after.

The General Managor. "The committee are of opinion that; a general manager and an assistant manager will be required to successfully run the major scheme. "Tho general manager should be a com» tnercial man, preferably with engineering experience. The committee, however, do not think it essential that he should necessarily be an expert ia the milk business or Itnow much ■ about it. If applications are called for tho position of general manager, and it is stipulated that a knowledge of milk is necessary, the number entitled to reply will necessarily bo limited. If, on tho other hand, commercial knowledge and organising ability are accepted by the council as the qualifications for tho office, there will be a much wider range of applicants to select from.

"The assistant general manager should have an intimate knowledge of tho milk business and the treatment of by-pro-ducts. The committee recommend the immediate appointment of an assistant general manager at a ealary of not loss than .£SOO per annum. General Matters. "The committee wish councillors to know that the above .schenie has not received the full consideration of tho Advisory Committee set up to assist them in thoir deliberations on account of tho chairman of that body being out of town through illness, and also of tho absence from the city, of other members of that committee. "However, the Advisory Committee will be asked to consult with the committee upon tho main features of tho scheme, and the committee will acquaint the council with the result of such deliberations." Councillor C. B. Norwood moved the adoption of the report, which, after a discussion (during which the Mayor opposed its adoption) was carried. The effect of adopting the report carries with it the sanction of the council to the acquisition of the premises of the Fresh Food and Ice Company in Dixon Street, which, it is understood, will be .taken over ae soon as the council is in a position to take over tho milk in bulk as it reaches the city. "As the officials have to bo engaged! and the scheme worked out in detail, this will probably not take- placo for some little time yet.