DAIRY COMPANIES.

Hawera Star, Volume XLV, 13 August 1925, Page 6

DAIRY COMPANIES.

OPUNA.K E. 26TH ANNUAL MEETING. The 26th annual general meeting ofc shareholders of the Opunake <*£VDairy Co., Ltd., was held m the Opn nake Town Hall yesterday, Mi. 1 ■ O'Sullivan (retiring chairman) presuling over cV fair aHeiuLunco. CHAIRMAN’S ADiDiIKSS.

In moving the adoption of the annual report (previously published) and balance-sheet, the chalnuan expired bis pleasure m again eongiatidatin shareholders on a most ■successful eason and the manager ami staff on tne keen interest they had taken in promoting the interests of - The manufacturing. costs m d s ou decrease representing .old per butter-lait. There had also been a ivmg in the cost from factory door to f.0.b., although the export lev> had been paid on all produce shipped tins season, whereas ior the pieiiaus son it had been paid during a slant period onlv. The increase m repans and renewals had been, bea vy ;aiid 02d, or nearly id per lb buttei-lat, more than for the previous season Ihe total costs iu depreciation and aU charges to f.0.b., were 3.82 d l«r Jj butter-fat, .showing a .saving oi -ldd per lb The installation of moitois , u t the facfcoiy and creamery had been responsible for a substantial saving in operating costs, the economy m fuel amounting to £169 8s 10d The motors had also pifwed an ideal pouei loi separatons, better results having been reflected in the increase iu over-run. The satisfactory cartage contract entered into last season had been renewed for the forthcoming season with the exception that the company reserved the right to forward casein Ly rail if a satisfactory service were provided Arrangements had also been made’ for cartage of farmers' requirements from the Opunake station to their farms at rates of 5s per ton for one ton and over, within a tuo-nules radius, 8s 6d up to 2 tons, and <s 6cl per ton over 2 tons, outside the twomiles radius. Mr. O’Sullivan uade reference to the manufacture of casein, which had not come up to expectations. The advances received had been slightly less than for Hie previous season, and it was expected that a further pay-out would be forthcoming. The quality of the curd sent forward from the main factory had been of a nigh .standard throughout the year. Unfortunately this had not 'been so with the curd from the creamery which, during the flush months, was- very indifferent. From March 1 a highly satisfactory curd was sent in. Had equal results to that Obtained at the factory been secured at the creamery, he thought, it would be sale to say that a further id per lb of butter-fat over the casein period would have been available. The report and 'balance-sheet were adopted without discussion. In reply to a question concerning the probable disposal of the coining season’s output, the chairman said ah’ otter liau been made for the company’s butter to the end of December, but it was doubtful whether it would not be better to follow the consignment policy. The secretary (Mr. T. 11. tl. Sinclair) further explained that the oiler received was Is 7d. This had been made that .morning and wasl subject to confirmation. The price offered would be equivalent to about 200 s at London. Last year the price received in December had been a.s low a>s 160 s. On the conclusion of a brief discussion regarding the matter, it was left to the directors' to take such action as was deemed advisable. DIRECTORATE. Mr. D. \Y. Hickey, one of the retiring directors, was elected unopposed as the creamery representative on the board of directors. Seven nominations were received for the other six appointments, the ballot resulting as fallow: —Messrs. G. J„ Griffiths, 179 votes, \V. L. F. Chambers, 173; E. G. Baylis, 156; 11. J. Campbell, 148; J. S. Hickey, 122; D. I). O’Sullivan, 109; and Morto Hickey, 90. The first six were -therefore declared elected. With the exception of Mr. Campbell, all nominees were members of the retiring directorate. Mr. John Humphreys de cl in ed no mi nat io n. Jib was decided that the chairman’s honorarium be" £3O.

Mr. H. J. Newmsm was re-appodsited auditor at a: fee of 15 guineas as previously. Mr. Griffiths, at a later stage of the meeting, said he did. not think it a wise plan, that the whole of the directorate should be called upon to retire annually. Me pointed out that in accordance with the procedure it would be possible for the whole of the retiring directors to be voted out, and in that event the company’s interests might be prejudiced, as an entirely new board could hardly be expected to have an intimate knowledge and thorough grasp of the administrative work and the policy followed by its predecessors, and would be handicapped if compelled to carry on without the counsel of experienced members. He suggested that the system of requiring only a certain number of directors to retire annually would be safer than the present method. The chairman said the questipn cropped up annually, but suggestions for .altering the present system had never been given sufficient support to have them effected. The system had always worked .siatiusl'actorily. and a case had not yet occurred in which none of the retiring directora had been re-elected. Mo appreciated, however, the possibility o;f that happening and the wisdom underlying Mr. Griffiths’ suggestion, and would like consideration to. he glive.n to any proposal made. No notion, was taken. CASEIN MANUFACTDUE.

The question of casein manufacture came up for discussion, and the chairman, replying to questions, stated that during an interview with the Wellington merchants dealing in casein ho had been informed that at this time last year they had stocks amounting to between 300 and 500 tons on hand, but it had since been disposed of at favourable prices. While they could not, of course, foretell definitely whether a good market would rule this year, it was anticipated that prices would not he below those obtaining last season. Mr Rayliss favoured .a continuance of the- manufacture of casein. He suggested that if suppliers considered the skim ‘milk to be worth more, to them than the Is 6d per can, estimated at its approximate worth in casein, they could he allowed to take the milk. Mr J. Hickey moved that the manufacture of casein be continued. He thought it was at present rather late to decide otherwise, as probably many suppliers, in anticipation of the milk being used for casein, had mot arranged to rear calves and pigs, and

consequently would not require the milk.

Mr Bayliss seconded, and the motion was carried, it_ being further decided to commence in September, and that suppliers be allowed to take up to two cans of milk daily for. the season at Is 6d per can, the price to be adjusted should the value realised through casein so warrant. CLEAN MILK REQUIRED.

The manager (Mr W. O. Webby), during the course of some remarks concerning the quality of the company’s produce, made an urgent appeal to suppliers to use every endeavour to ensure that milk reached the factories in the cleanest condition possible. Shareholders spoke in support of the managers’ appeal and, on the motion of Messrs Chambers and J. Sinclair, it was decided to give support to the manager during the season in any action taken in refusing milk with the object of maintaining the standard 1 of the company’s produce. NEW BUILDINGS. The question of the new buildings was opened, but consideration was deferred to a special meeting to be held not later than September 1. APPRECIATION. The chairman made eulogistic reference to the services rendered as a director by Mr Morto Hickey, whom, he said, had been a. valuable member of the board for many years. He expressed personal appreciation and thanks, and moved a. vote of thanks to Mr Hickey. Mr Chambers seconded, and the motion was carried by acclamation. Bonuses in appreciation of officers’ services were granted as follow: Manager (Mr W. O. Webby), £2-5; secretary (Mr T. H. H. Sinclair), £2O; buttermaker (Mr A. Lnngton), £ls; creamery manager (Mr D. Smith), £lO.

PIHAMA. ANNUAL MEETING. The annual meeting of the Pihama Dairy Company was held) in the’public hall, Pihama, on Saturday. Mr. J. Pettigrew (chairman) presided. About 40 suppliers were present. ANNUAL REPORT. The 28th annual report and balance sheet states : —The quantity of milk handled and cheese made shows a sub_ stantial increase on the previous year, and the prices realised: for the season are also well above the previous one. Advances, during the year have been made to suppliers as follows: —JulySeptember, 1924, Is 6d; October, 1924, to April, 1925, Is 4d; May and June Is 4Jd. Since the closing of the books a further payment of Id per lb. has been made over the period October, 1924, to June. 1925, and in addition to interest on Shares it is proposed to pay a further-Id per lb. butterfat over the period October to June at the annual meeting, leaving a balance which will be paid out as account sales and surpluses come to hand. There are still 1303 crates of cheese unsold, and this should show a good credit over the estimate made for balance purposes. The company’s plantation at Taungatara has been extended during the year and the- earlier plantings are mak. ing good progress. .Statistics for 1924-25: —Milk received for butter making 995,760 lbs. butter made 49,831 lbs, over-run 18.25, average test 4.23, milk received for cheese, making 15,563,170 lbs., butterfat received for cheese making 619,261.1 lbs., cheese made 1,680,526 lbs., lbs milk to lbs. cheese 9.26, lbs. of cheese to lbs. butterfat 2.71, average test 3.97, total milk received 16,558,930 lbs, total bntterfat received 661,399.9 lbs.. manufac. luring cost !per lb. butterfat 3.14, other costs to f.o.b. 1.75.

Central factory:—Milk 7,788,890, butterfat 316,091.3, cheese 860,227, lbs. milk to lb. of cheese 9.05, lbs cheese to lb. butterfat 2.72, average test 4.05, average grade 92.24. Sheet Road factory : Milk 4,588,160, butterfat 181,180.5, cheese 489,983, lbs. milk to lb. cheese 9.36, lbs. cheese to lb. of butterfat 2.70, average test 3.94, average grade 92.19. Waiteika. factory :—Milk 3.186,120, butterfat 121,989.3, cheese 330,316, llis. milk to lb. cheese 9.64, lbs. cheese to lb. butterfat 2.70, average test 3.83. average grade 91.27. General statistics: —Detailed costs per lb. butterfat 1924,25. Export charges .54d, boxes and crates .67, cartage .26, fuel .57, repairs .22, stores and requisites .78, salaries and wages I.OS, trade expenses 0.1, fire insurance, rent and rates .06, interest .25, depreciation. .18, electric power .04, control Ivoard levy .09, income tax .05. The chairman in reviewing the past season stated it was the best results achieved for some years. There were 742 new shares alloted; the reserve fund had inerased by £llO, and £3l had been written off the Rennet Co., shares; in addition to depreciation. £ISOO had been written off buildings and machinery. Freezing and 1 port charges had increased a little. Fuel was a bigger charge this season, due to various reasons. Since balancing time, a number of shipments have been sold at prices above the estimate anticipated, giving £llOO more for distribution. The actual cash payments will be Is 6-ij-d per lb. butterfat, and the payment made on the building fund is equal to another Jd. He moved the adoption of the balance-sheet. Mr. J. S. Tosland in seconding the motion said the season’s return was equal to Is 7id. In reply to Air. McHnrdy the chairman said they were, prepared to take in cream.

SALE OR CONSIGN. Air. Tosland spoke in favour of soiling. The prices offered were too tempting to puss, and if they could get a good firm price over the whole season he would iccommend accepting it. It was the last season they would have control over their own stuff. He moved it be offered for sale through their agents over the whole season at a firm oiler :>.t Is 9id. This was seconded by Air. Alulligan. who said anyone who wanted more than that was greedy. Air. Shepherd spoke in favour of consigning, even those who had sold now admit they believe they could do better by consigning. There are only 32 factories in Taranaki who have not sold and their agents advice is to consign. The chairman seconded Air. Shepherd’s motion. He said that it was th e one year they should consign and* their agents strongly advise them to do so. On a show of hands that the directors sell the motion was lost by 2 to 1. ELECTION OF, DIRECTORS. Five were nominated ami four were required. The following were nominated: Messrs. Petty, Tosland, F. Julian, E. S. Forsyth and S. Richards. The ballot resulted . Petty 297, Forsyth 273, Julian 226, Richards 216, Tosland 174. The chairman declined to stand. Mr. H. J. Newman was re-appointed auditor.

Mr. J. D. Conaglen, jr.„ moved that Mr. Tosland’s services to the company be recognised, on the minutes, particn. larly in regard to the bush section. They would not get another man to do the same work. Motion carried unanimously. HERD TESTING.

Mr F. Julian brought up the question of herd testing. Out of CO suppliers only 12 herds were testing and he would like to see more interest taken iu herd testing. It is remarkable how an improvement can be affected in the increase of butterfat by systematic testing. If the present percentage could be increased to SOOlbs it would mean £5 5s increase per cow or a total increase of £IO,OOO. Mr. Shepherd pointed out that testin<>- was also valuable when it comes to° selling the herd. Buyers give a better price for animals that have been tested than is the case for herds not tested. The chairman endorsed th e remarks of the speakers. Ho had been testing his herd for many years and it has paid him well to do so. The Department will require a little more support to can-y on. Nothing pays you _ better, said the chairman, than testing. Mr. McHardv said herd testing was a troublesome matter to the dairymen. If it could be worked somthing like on the Waikato methods, taken off tiie farm it would ho' better. . Mr. Allan pointed out that the \\ ai_ kato system was three or four shillings clearer* per cow than under the herd testing association and that made it dear for the small farmer. In reply to a question regarding the laboratory the chairman said it- was now established at Hawera, but Pihama had stuck out for the whole of the dairy companies joining in. Votes of thanks were accorded to the retiring chairman and to the staff, and the ladies were also accorded a vote of thanks for providing afternoon tea. At a subsequent meeting of directors Mr. J. D. Conaglen was appointed chairman. —Opunake Times.