AMALGAMATION OF KAUPOKONUI AND JOLL'S.

Hawera & Normanby Star, Volume LXXI, Issue LXII, 18 June 1912, Page 5

AMALGAMATION OF KAUPOKONUI AND JOLL'S.

MILK SUGAR FROM WHEY.

(By D. J. H.)

whey, milk sugar, casein, or other at present to us unknown commodities produced from milk. Until the manufacture of by-produts came on the scene. ]t eZri£°i m? ch > in opinion, ?» be gained by having mammoth concernstor cheese and butter production. But a chance has come over the scene; the. Ci rmi Will be at a tage and costly expense when it embarks on the production of sugar of milk from whey. Although it is early m the day to predict the future commercial sucess of this production in New Zealand ,1 think it will yet cometo pass.

Any information I ma y give your readers here in regard to milk sugar comes from enquiries I have made front the Agricultural Department, who write thus: 'From the information we have about the subject, the preparatio* ot milk *ugar for the market is of a highly technical nature, and would mean the employment by the dairy companies of a specially-trained clie»isfc. A man would have to be engaged from outside the dominion to take upthis work, as there is no one m New Zealand at present who has the necessary experience. Shortly described fehe method employed is as follows: ihe whey has to be mixed with milk of lime I^o neutralise acidity and preve»t fermentation. The mixture is thea forced through a filter press and passed oo an evaporator, which works under a vacuum^. It has then to pass through crystallises, a centrifugal mackin*, and then be fored through bone charcoal. The material is then treated in granulators, dried, and put through a pebble mill. The process of getting rid of the surplus moisture entails considerable expense, more especially -when fuel is of a costly nature. None of tk» above plant is in the country at present, therefore it would be impossible for ytra to make a start next Angisst, as suggested. At the present time a milk sugar factory is being established in Ireland, and the cost is running into something like £9000. T» erect a factory here to deal with a reasonably large quantity of wher: such as might be obtained in your district, an exDenditure of from' £10,000 to £12,000 would probably be required. At an early date we hope to be able to. supply more definite information about the making of milk sugar, fmd as soon as this comes to hand we shall be glad to acquaint you with the particulars. I might say our Mr Pedersen is now visiting England, Germany and Denmark, and ha s been instructed to make specifX enquiries about this matter.—D. Cu«ldie."

Those in+^restec! shareholders of •Toll's and Kaupokonui, some 500 in number, can nt once read from tn© above that facilities for the production of milk suo;ar are eoing to cost each comnany about £12,000, or a total of £24,000 for both companies. Therefore, hv amalgamation, something like* £12,000 will be saved in installation alone. On a roua:h estimate, I havemade working on a basis of 9d per lbfor milk sugar on a 4.8 test of sugar, after allowing for cost of manufature, the net gain to butter-fat would Tm something like 5d per lb. Thus, roughly, on to-day's prices, the butter-fat, barometer would read: Cheese, Is 3d.----starter and whey butter. Id; sugar of milk, 5d ; net total. Is 9d per lb butterfat. Mr Ouddie informed me, when chatting with him at the Hawera- Show, that the consumption of milk sugar is increasing. Hitherto it has been used mainly for the rearing of infants, but the adult who suffers from age or a dellcat constitution, is now becoming a consumer on medical advice.

Quite apart from reasons given in the foregoing as an argument for amalgamation of Joll's and Kaupokonui, thereare the early and late portions of the season when the supply is small. With the two companies joined, it would pay much better to produce, or rather manufacture, by-products, a\, it could be done for a more lengthy season. Then we have the overlapping trouble whereby loads of milk are carted day after day past one factory to another, which means double cartage to and fro, double time lost, extra roads worn out, etc. May I go a step further afield and touoh on the present outlook of both, companies ? I do not wish to do thie 5i a critical ysiu> my object bein the betterment of all concerned. A glance at last year's balance-sheets of both companies will at once tell the tale that one company is increasing its milk supply and the other is losing it. I am inclined to attempt a prophecy that this will be repeated this season. To put the matter bluntly, every supplying shareholder leaving the Joll Company makes it harder on those who remain; for their shares, computed on the 120 lbs nf butter-fat to a share, will not purchase their business. They, when their shares are fully paid un, will b« some thousands of pounds sho^fc, and a-re-allocation of butter-fat basis may hereto take place. lam quite convmceathe pooling pp^pn is on ojopor'time fr?£ the joining of hands of W el]%*V me to ■'ay that I have not written*'tin's ar-nW at the request of th» Kampokonui Company. Many shrewd men of the Joll Company are inclined to think merging would be advantageous The perpetuation of the name or that splendid man, tt* late Tom JolT would still be in existence b^ the Jolt .Park, Okaiawa, which was dedicated to his memory.