DAIRY CONTROL

Evening Post, Volume CX, Issue 50, 27 August 1925, Page 3

DAIRY CONTROL

WHAT HAS BEEN DONE

BOARD AND ITS STEWARDSHIP

EIGHTEEN MONTHS OP WORK.

The first " annual " report of the New Zealand Dairy Produce Control. Board covers eighteen months' work. It shows that the levy of l-16d on butter and l-32d on cheese exported realised £77,----176 Is lid. Of this amount, £36,905 is invested and interest bearing. Past efforts dating back to the early 'nineties in co-operative marketing are reviewed, making a valuable contribution to the history of the movement that culminated in the setting up and functioning of the Board of Control. Reference ia made to overseas investigations made by Messrs. W. Grounds (ohairman), Thacker, and W. C. Motion, a full account of which was given out by the board on the delegates' return and then published. So far as investigations in New Zealand ara concerned, these have been made possible by the appointment of Mr. F. W. Grainger as shipping inspector. They have revealed valuable information, and incidentally factors possibly contributing to a deterioration of quality in produce. Details of these have been conveyed to the shipping companies concerned, with the result that in most cases immediate steps have been taken to rectify the deficiency. SEA CARRIAGE The report states that a classification of the ahips engaged in the trade which has been prepared shows that their speed varies from 10 to 14 knots, and that the time occupied on the journey to Great Britain varies from 36 to 52 days. Various refrigeration systems are in use upon the steamers. The transport of butter, owing to its being in a frozen state, presents very few difficulties, providing the butter is low in temperature at the- time of shipment. The carriage of cheese, however, presents difficulties not met with in butter cargoes, due to the higher temperatures at which it needs to be carried. Experience both •shore and afloat has shown that cool storage of cheese by cooled air has proved most satisfactory. It is hoped in time to gpt all carrying vessels to adopt this system as far as cheese is concerned. The shipping contract provides for the carriage of butter at a temperature of- 15 degrees Fahr., and cheese at 40 degrees to 45 degrees Fahr. To enable these temperatures to be maintained "on the voyage the board has decided to aim at getting the produce delivered at the ship's side at approximately the temperatures stated in the snipping contract for its carriage. The checking of temperatures of the produce leaving the grading stores, and when it is received alongside the carrying steamer has in many Instances disclosed considerable rise in temperature—a possible factor towards deterioration. Further checking methods are being arranged for by the board. PREVENTIVE WORK The need to eliminate all contributing factors to deterioration is being impressed upon all concerned. They stand in the way of one of the board's most important aims, that of delivering to the consumer in the same high-class condition as it is dispatched from our factories. Anything causing deterioration also adds to our insurance costs, because these risks have to be covered in the premiums charged. The need for regular arrivals in Britain (states the report) has been continuously represented to the shipping companies, who have now arranged to establish a regular fortnightly sailing of mail steamers. With our largely increased production, a regularised sailing of one steamer fortnightly will be insufficient for all our requirements, but sufficient regularised tonnage is promised to supplement these mail steamers. CALL AT MANY PORTS In view of the varying speeds of vessels and the variation in time occupied upon our coast in loading, different itineraries being necessarily followed, absolute regularity of arrival is probably unattainable, but very considerable improvements can be secured upon past experience. Representations have been made of the desirability of arranging for ships to call at fewer ports, the shipments being organised to meet dis-' trict requirements without unnecessary overlapping. This would involvo organisation of inward cargoes. In a recent shipment 37 days elapsed between the first loading at Wellington of dairy produce and its final departure from New Zealand. How far those improvements are attainable in view of the shipping companies' other obligations, experience must determine.

The freight rates in the present contract are 4s per box for butter, compared with 4a 6d in the preceding contract. Cheese under the last contract waa charged Id per lb. The present charge is 29-32 d per lb until 31st October, 1926, and from thence onward until the termination of the contract on 31st July, 1927, a furthor reduction of l-32d of a penny per lb is given, making the charge for cheese' Id per lb. On the present volume of production thess reductions approximate £120,000 for each of the first two years of tho contract, ■with nearly €20,000 additional for the third year. The industry will appreciate these reductions, although we think that the largely increased earning capacity of ships owing to the greatly increased proportion of dairy produce carried compared with pre-war times has not yet been fully acknowledged. SPEEDY CARRIAGE The possibility of establishing a specialised service for the speedy carriage of dairy produce has beon frequently discussed by the industry. Such a service of fully refrigerated steamers was found to be quite practicable. Tho institution of such' a service will not, however, be. contemplated until a full opportunity has been given to test the reorganised service promised under the present contract. Every assistance will be given by the board in an endeavour to cut out unnecessary movements about tho coast. The detail work in connection with shipping, the preparation of documents, etc., has been done under arrangement .with the board by the National Dairy Association and the South Island Dairy Association. This has been done in a very satisfactory manner, as was pxpeoted from officers who have- been for yours associated with the work. The report also has detailed reference to new arrangements made for insurance cover, as already published in. "The Post." Statistics are given showing the average production and regulation of shipmenls'of butter and cheese nnd the percentages of tentative shipments for the coming season are given. j OTHER MARKETS Butter iilir) 'jJitsaflß (ixpnrteri to coun[ititt other than Gve«t Britain {or year*

ended 31»t March, 1924, and 1925, were as follows— 1924. 1925. Butter— Boxes. , Boxes. U.S.A. and Honolulu 84,977 92,538 Canada 25,214 491 Australia 101,616 831 South Sea Islands ... 3,502 3,164 China 40 — Japan 9,113 4,892 France — 6,629 Germany — 28,788 Various (not stated) — 7,160 Cheese— Crates. Crate*. U.S.A. and Honolulu 4,060 4,168 Canada 83 — Australia 9,796 121 South Sea Islands ... 138 108 Various — 165 With the phenomenal season experienced in Australia, exportation to that country nearly reached the vanishing point. Exportation to Canada decreased in almost like manner, while trade with Japan was nearly reduced by half. These two experiences are doubtless closely related ; the large increase in production in the Canadian' western provinces probably accounting for both. The other noticeable feature of these returns is the increased export to Germany. PRICE VARIATIONS "Comparisons of the High Commissioner* cabled prices for the year disclose the same extraordinary variation in price between the New Zealand and Danish butter that has been experienced in several preceding years. Taking the figures as they stand for the year, tho average difference in price was between 26s and 275. It varied from 2s on 6th September, 1924, to 58s on 7th February and 14th March, 1925. Early in September last some brands of New Zealand were actually quoted higher than Danish. It must also be borne in mind that the average difference is really greater than this summary of cabled quo-' tations discloses, as the volume of our supplies were much greater when there was the greatest disparity between the market prices. The butter market lias been subject to several extraordinary fluctuations since Christmas, falling from 204s on 20th December to 156s on 17th January. It is understood that it fell over 20s in three days. This decline in the middle of the British winter, extraordinary as it may seem, proved to be its lowest point. The highest point was touched during the concluding weeks of October last, when 228s was reached. Cheese prices have kept remarkably stable throughout the year. Moving on a gradually ascending scale during the past few months, it reached its highest point recently at 110s." A comparison of New Zealand and Canadian cheese prices as far as figure are available, and only making comparisons over the periods when both were quoted, indicate that for the season 1923----24 New Zealand coloured cheese averagely secured a premium of more than 5s per cwt over coloured Canadian, while the premium paid for New Zealand white was over 3s. The fieures for 1924-25 indicate the tables turned, Canada securing aversely a premium of 3d per cwt for coloured and a premium of 2s 5d for white. PUBLICITY WORK A full account is given of the successful publicity display at. Wembley and elsewhere. As to advertising, steps will be taken, to familiarise the public with this national brand as a" hall mark of quality, plans being finally determined when London representatives have conferred with British distributors. RECOGNITION The valuable work done by the Dairy Division in the establishment of our preeminent position is generally recognised and we wish to acknowledge the cordial assistance we have at all times received from them. They recognise with us the necessity that will arißf» under the proposed new system for a careful check to be made at the British end, that the grading as conducted here accurately represents tha quality on arrival in Great Britain. That this has, 'generally speaking, been the case, was proved by the opinions expressed by the British ! importers and large buyers in London. j They warmly commended the work of | our graders. Absolute perfection can scarcely be reached, but aiming at the elimination of preventable deterioration, it is necessary that the two endß of the business shoujd be kept closely in touch with each other. Arrangements have now been finalised by the Dairy Division to secure connected effort. 1' The report is accompanied by tables of great interest and value to the trade as a whole.