A FERTILISER WAR.

Evening Post, Volume CXIII, Issue 32, 8 February 1927, Page 11

A FERTILISER WAR.

A sequel, to the. formation of" a-new company to .take "over fertiliser works'^ ' Otahuhu,' 'Auckland;- is the adoption"';6f-T cutting tactics oh the part of" the" Varii " ous firms. . Considerable 'reductions- :irt price have been made. In this, connection tfca Morrinsville correspondent of the Auckland Star" writes as follows: Farmers have been clamouring for a long time for cheaper manures—now they have them, for a short tune at least. A war is being waged between rival fertiliser companies and is responsible for marked" reductions on $few manufactured manures. The reductions- during the; past- - two weeks are close to £1 lpsa.ton and"bring the price... down to' below pre-war' cost. ■ In two days this week there 'wereT reductions, to the extent of 15s per toni'Speaking on the subject,- Mr. F. Colbeck, of the Farmers' Union, viewed the- present events with much misgiving. ■ ;With, the cost of production 100 per cent, higher 'than' pre-war level and -the selling- price ■ now below that of 1914, the manure com- V panics, he thought,.must be losing heav- " ily. He estimated that loss at at .least ■ 10s a ton. This/-he said,"--yould-eventu*'; ally be borneby thei farmers; some "manY ure companies being, carried on by: i arm": '•' ers' capital. . -.. ■ -.-.-.-.- -... - ;^..

In connection with the formation.of the Challenge Phosphate Company, the ''Star" also states that the. terms of registration stipulate that bo long as; Messrs. Wright. Stephenson hold 45 per cent. o£ the ordinary shares, they shall, have the right to- appoint two -. members -to theBoard of Directors, so_- long as-Mr* Wm. Goodfellow has 45 per "cent, of tho-shares he shall have the right .to' appoint one. So lonpf as the New Zealand Co-operative Dairy Company holds at least 25,00()"A preference shares, and -25,000. B preference shares in the 1 company/it shall have the rights to appoint one director. ■ if j however, the company should not possess this qualification, then" so'" long as Wm. Goodfellow. and Wright, Stephenson and' Company each retain 45 per cent." of the" ordinary shares; the former will- tjs entitled to nominate two members' to the> directorate. ■ . -• • ,- . ... -. '