CONFERENCE OF DAIRY COMPANIES.

Hawera Star, Volume XLVIII, 22 July 1924, Page 5

CONFERENCE OF DAIRY COMPANIES.

STRONG REPRESENTATIVE MEETING. FEDERATION FORMED. This question, one of the most important yet taken up. by the co-opera-tive companies, was again discussed at a strongly representative meeting of delegates of companies throughout Taranaki, which was called, as the outcome of the big meeting held on July 2 last. As a result of very considerable discussion the principle of federating was affirmed, and the meeting resolved that all co-operative companies represented combine to form a federation. - A very larger majority of the companies circularised were represented.

Mr. J. R. Corrigan, M.P., was voted to the chair, and amongst those present were Mr. O. Hawken, M.P., and Mr. A. Gray (Hawera Technical High School). in opening the proceedings, Mr. Duncan, acting secretary, read the circular sent out to all dairy factories shipping through Patea interested in this question of federation and to others interested in the scheme. The following expressed approval of and support to the'’scheme: —Alton, Ararata, Awatuna, Hawera, Joll’s, Kaupokonui, Manutahi, Mells, Melrose, Meremere, Norman by, Riverdale, Elfcliain, Stratford, Tirimoana, Pihama, Mangatoki, Whennakura and lvaponga. RESEARCH LABORATORY. The chairman said that one of the most important qisestions for consideration was the research laboratory and dairy school. He said that as long ago as sixteen years a grant had been put on the estimates for the latter, but that unless the companies took independent action they. might wait a long time for the fruition of the project. Mr. J. B. Murdoch said that research was one of the most valuable moves in dairying matters, for the need was most apparent in cheesemaking. It was sufficient to warrant the establishment of the laboratory, and this need not at once have a full staff. One qualified man would hie sufficient for a beginning, and here in Hawera was the old technical school, most suitable for the purpose, and with the Education Board very sympathetic towards the project it would go a, long way in helping the producers of cheese'. The companies must help themselves, as they were an industry lpng established, and later no doubt the Government would help them. The companies must at the outset bear the burden themselves. Every year there was more and more proof of the need of the research laboratory.

Mr. T. A. Winks agreed that it was absolutely necessary, for the quality of the New Zealand product was, according to reports from Home, undoubtedly tending to go back. New problems were being encquntered, and there was keen competition amongst factories, and they must get at the root of the trouble. There, was at present no classification of bacteria-. They must go in for research, and at present there was no man qualified to- speak authoritatively on the question of bacteria. They could start in a small way, find a competent man, and let the companies find the money necessary. He was strongly in favour of the scheme.

Mr. F. Hanford said he was wholehearted in his support, and considered the note struck was absolutely right. He was firmly of opinion that the industry could not expect spoonfeeding, and they should foot the bill themselves.

Mr. Hopcroft instanced the visit of the representative of an English rennet company, who said his firm employed bacteriologists, and where necessary sent them out to investigate He urged the scope available in. the Dominion, and be considered the industry was lacking in business methods.

Mr. Winks then read extracts from letters he had received from leading business men at Home drawing attention to irregularity in quality, and that a,s soon as quality receded there were complaints from buyers. He clrcv attention, to a. reckless use* of neutralisers in butter, and said it must be tackled. These questions, he added, were serious handicaps to the industry. FEDERATION SCHEME. The chairman said that the discussion showed the need of a federation, and hoped all would support the scheme. If they were sympathetic all the rest would follow. ile urged all to make the federation live and enthusiastic and have monthly meetings, which he hoped would be regularly attended by all delegates. He believed it would have a good influence ami be a useful adjunct to, the ControL Board. He had striven for years for the federation, which he way certain was the only way to make their influence felt M|r. Murdoch saird (that the first business was to affirm the principle of federating, and he moved: ‘‘That this meeting of co-operative dairy companies co-operate in forming a federation.” Speaking to the resolution, suul that funds would be required as was recognised by the executive committee, and he suggested that factories up to 500 tons output pay £2 2s per annum and £4 4s over 500 tons This had nothing to do with the laboratory, the whole details of which would he obtained and placed before the companies. They must be able to send men out to look into questions of interest.

. The chairman said it would be realised that when they formed the federation they would hold monthlv meetings and that the fee proposed ’ was very small.

Mr 1. .4. Winks seconded, and added that he hoped they would soon get further information in regard to the aboratory. The matters of interest to be investigated fully justified formation of the federation, which he hoped would be a real live body, Mr S. Turner said he hoped that one result would he the elimination of competition for suppliers between factories, for this made suupliers restless and unsettled. He hoped they would set a limit to each factory’s activities. Ihe chairman said that one object of the federation was to go into such questions. All factories snould work in the interests of the industry. Mr Murdoch said that uniform articles would simplify matters, and he was certain many amendments were required. Mr Richardson (Mells) hoped that the executive of the federation would not take so long to consider getting into harness as did the committee appointed some years ago. Mr Gane (Normanby) .said they must get all companies to agree to accept a uniform set of articles. The chairman agreed, and said that the old committee went out, and now they were trying to reform, and stand-

ardised balance-sheets and uniform articles were two of the main planks. They could all confer and get the best information, and later take up questions of tests, yields, etc. Mr J. Tosland said it was a splendid move, and one of the best moves would be the unified articles. They must all work together to the same end. c .^ a ' l ' inan > supporting Mr Tosland, said all must come in who belonged to this district, for the suggested amendments might not suit every area. Mr A. Gray, when called on to speak by the chairman, said lie was particularly interested in the scheme, and was sui prised no such move had been made long since, because the necessity was so obvious. He was pleased to see the movement taken up so enthusiastically. He considered dairv factorv employees should be educated' as were men' in other walks of life. At present they were forced to pick up information bv any means. He advocated a scheme for training employees and make young fellows work to attain proficiency, and then to he drafted into factories It ivas a. yery strong point to get the' host brains into the profession of farming, so that there should he nothing haphazard, hut regular training. He had been trying for years to introduce a scheme for the hoys, but lack of facilities had prevented its introduction. He hoped now there was a good prospect of a complete scheme which would revolutionise the industry. They had spent a lot of time in devising means of producing more milk, but tliey were not doing the best in the manufacturing. He considered such a scheme would he excellent for the employees and for the boys, who would be the farmers of the future.

Mr 0. Hawken said he had been for a. long time impressed with the necessity for the scheme, for it would make everything connected with the industry concise and up to date, and make it prove more profitable. The quality of the produce must be watched very carefully. The builders of early days had done great work without assistance. A dairy school would put the industry on a proper basis, and would enable many questions to be investigated. Questions concerning quality, grading, and realised price must be the work of experts. The factories must have their own experts to lie responsible to them in their work, for the inclustry was so t valuable that it would pay them well. There was no doubt great loss from lack of knowledge. He added that the federation could be of great assistance to' the Control Board, who would work with them at all times. Mr Buckeridge referred to the many advantages to be secured, and said it was very unfortunate to see the want of knowledge amongst dairv farmers of the factory operations. He as he had on previous occasions, ’his opinion that,a great deal - could he saved by scientific knowledge, and that if they could effect a saving of only one per cent on the output that went through Patea it would more than pay tor the laboratory. He referred to the means by which co-operative concerns would be able to meet all competition if run on up-to-date and scientific hues. He also referred to the aggressive action of proprietary concerns, and said that concerted and drastic action was necessary to meet the competition, tears ago, he added, the industry was a.l run by proprietary concerns, but in course of time co-operation took their place. To-day there was another phase which had come about through want of knowledge on the part of the co-opera-tive companies. He stressed the need of all supporting the co-operative factories, which were formed to give every copper back to suppliers. If they were on up-to-date, scientific lines they would soon cut out all that were unnecessary. Mr S. Turner deprecated the formation of a combination against outside concerns, hut urged the great necessity of teaching suppliers to read anil understand tests, which would be of great value to all.

The chairman insisted on the absolute necessity of all being loyal to their own concerns, and stressed the need of teaching suppliers that their best pokey was to stick to their factories. Ihe motion was carried unanimously. CONCERTED ACTION APPROVED. The question of continuous concerted action through the federation was buefly discussed, the chairman stressing that it was wise for every company to take an active interest in all matters of common" advantage. He approved of a suggestion by Mr. Gane that the secretary . should send out notice to members of any suggestion made that appeared of value. In reply to Mr. Ranford he said that all delegates should make a point of attending federation meetings, and that a small executive of five to seven should be appointed

Mr. Tosland urged the need of intense loyalty to one another. Mr. Collins agreed, and said that a spirit of brotherhood which was not known in co-operation should be infused into their work They should stick together and unite their efforts, which would he better for the producers and better for the companies. A general discussion then ensued on the difficulties presented through suppliers drifting to a factory outside tliejr own immediate area, and also on the active inroads of the proprietary concerns.

Eventually a motion was moved by Mr. Tosland, that it he a recommendation to the committee of the federation that they endeavour to formulate a scheme amongst factories whereby the present suppliers to each factory are guaranteed, the .arrangement to operate from August 1 next. This motion was carried without opposition. EXPERTS REQUIRED. The need of expert scientists was stressed by several members, the chairman stating that inquiries were being made in reference to the matter. Mr. Hawken suggested making use of the dairy control delegation now at Home to inquire in America, Canada and Denmark, and this was generally approved. OTHER IMPORTANT MATTERS. , Four other remits suggested at the previous meeting were then discussed. These were as follow: Standardisation of .balance-sheets, to perimt of comparison one with another; uniformity in the matter of articles of association of companies; consideration of the high rates of exchange ruling in connection with the shipment of dairy produce; generally to assist in solving the problems which confront dairy companies (particularly the smaller companies) owing to increased competition in butter and cheese manufacturing. The chairman said that the sooner this standardisation came about the better lor all, and the articles must be brought up to date and made uniform. Dealing with exchange charged by the banks, he said it was too high, and that an efiort should be made to secure a reduction. Mr. Hawken, speaking on the matter of exchange, stressed that the question was one outside the banks’ power, and was really a world-wide problem. While exports were larger than imports and the Dominion was borrowing on the Home market, it was a natural thing that the question should be a difficult one for the Dominion. The remits were agreed to unanimously.

MEETINGS AND EXECUTIVE.

A suggestion was made that they wait until they see how many factories are coming into the federation before they decide on the question of executive and meetings. Mr. Winks urged that they should go ahead in South Taranaki and leave it open for the North to come in afterwards if they wished. Mr. Buckeridge said that all business should he communicated to all factories not present, and that all appoint delegates, one or more, to attend a further meeting. ■ The chairman suggested that an executive he appointed to deal with any urgent matters arising. Eventually it wa s resolved that tli'e present provisional committee, consisting of Messrs Corrigan, T. Winks, J. B. Murdoch, Buckeridge, Salmon, Lees and Duncan continue to act, and that the appointment of a. permanent executive be left over until replies are received from all South Taranaki factories.

On the motion of Mr, T. Walsh a hearty vote of thanks was passed to the provisional committee, and they were asked, to carry on until the delegates assemble.

A hearty vote of thanks to the chairman concluded a good and useful meet'ng.