CHELTENHAM’S RECORD BUTTER OUTPUT

Manawatu Times, Volume LIV, Issue 6628, 15 August 1931, Page 7

CHELTENHAM’S RECORD BUTTER OUTPUT

Directors’ Annual Report

SOME INTERESTING STATISTICS

The following is the 3Sth. annual report of the Cheltenham Co-operativo Dairy Co., Ltd.:— The Markets “ While it was generally anticipated that produce values would be somewhat lower than the previous year, it was not expected that tne market for New Zealand butter would decline to the extraordinarily low level of 98/ per cwt., which actually occurred in November, 1930, and which is the lowest price recorded on the London market since the 1908-09 season. The earlier part of each season is usually the strongest part in our market, and consequently the industry was wholly unprepared for this unprecedented drop at that time. The recovery to the present value of about 1.13/ per cwt. has been slow and uncertain.

“In view of these circumstances it was generally estimated that further payments on the season’s buttor-fat would be depicted, and it is therefore gratifying to report that there is a substantial surplus of £95,990 12/3 for distribution to the company’s shareholders and suppliers. Allocation of Surplus “It has been decided by the directors to recommend a dividend of 5 per cent, on share capital, and to distribute the balance by way of a bonus over the full season’s supply of butterfat. The allocation of the surplus is as follows: Dividend of 5 per cent, on all .share capital, £IOS7 6/11; payment of 1.35 d. per lb. on butter-fat supplied during the full season, £24,859 6/6; to be carried forward, £l3 18/10; total, £25,990 12/3. Total Pay-out 12 l-16d. per lb.

“The amount advanced against but-ter-fat during the season totals £195,52G 3/9, and this gives a strict average for such advances of 10.713 d. per lb. The further payment of 1.35 d. per lb. will bring the season’s average up to 12 l-16d. on the butter-fat qualified for shareholders’ rates; the interest on share money equals approximately another l-16d. per lb. of butter-fat. Arrangements will be made for the bonus and dividend cheques to bo paid out as early as possible after the annual meeting. Eecord Output “The output of 2410 tons of butter coutsitutcs a record not only for Mukino factory, but also l'or the Wellington, Taranaki and neighbouring districts. Consequently, manufacturing costs have again been lowered, whilo at the same time the quality of the butter has been maintained, as may be seen by the export grading figures. Iu view of the lower values prevailing for our produce, the maintaining of quality and the attaining of still lower manufacturing costs must be continually our objective. Pig Parm “The company’s pig farm, after making adequate provision far depreciation on property and plant, shows a small profit for last season. Unfortunately, the market for baconers and porkers declined in common with other commodities, and in view of those low prices a larger profit was not expected for this season. A striking illustration of lower values is disclosed in the pig farm stiles account, which show's, notwithstanding that the company sold a greater number of pigs this season, that the actual cash return is £lO6l less than last year’s figures. Cow Testing “The cost of the Cheltenham Cow Testing Association for the past season has worked out at 1/9 per cow, towards which cost the company has contributed 1/ per cow', making the net cost to each individual member testing with the. association 9d. per cow. Ward System

“In accordance with the resolution passed at the last annual meeting, the proposed alterations to the company’s articles of association to deal with the ward system were drawn up in legal form and submitted to a general meeting of shareholders for consideration. The special meeting of suppliers decided against the ward system. Other minor amendments were made to the articles, due notice of which has been given to shareholders. “During the year considerable financial assistance has been given to a number of the company’s suppliers for the purchase of manures, etc., in order to assist them through their lean period. “The directors to retire by rotation are Messrs. N. C. Jensen and C. G. C. Dcrmer, As no other nominations have been received, there will bo no election for directors this year. Mr. S. M. llobbs, the company’s auditor, again offers himself for election. Statistics

“Tables of quantities and averages: Number of suppliers, 880; cream received, 10,5G3,8751b. (4849 tons 14cwt. 471 b.); average test, 41 per cent.; quantity of butter-fat received, 4,447,4051 b.: quantity of butter made, 5,397,9311 b. (2409 tons locwt. 911 b.); over-run, 21.37 per cent.; average grade of butter, 93.559 points; percentages of cream grades, finest 85.557 per cent., first 10.335 per cent., second .10S per cent. “Cost per lb. of butter manufactured: Cream collection, ,27Gd.; manufacture and packing, .754 d.; transport, storage and grading, ,304 d.; overhead expenses, .IGGd.; total, farm to f.0.b., 1.500 d.; cost from farm to f.o.b. per ton of butter, 1929-30 £l4 5/7, 1930-31 £l4 0/3; reduction in cost per ton, 5/4. “Pig farm stock summary: Stock at July 1, 1929, 307; purchased to June 30, 1931, 835; weaned, 545; total, 1687. Sales to June 30, 1931, 1120; deaths, 177; stock at June 30, 1931, 354; total, IGS7.

“Monthly advances on butter-fat, 1930-31; July, 1/3 per lb.; August, 1/; September lid.; October, 10d.; November, 9d.; December, 10d.; January, February, March, April, May, June, lid. “Summary of Cheltenham Herd Testing Association results, 1930-31: Total cow's tested, 1909; cows tested in milk 100 days and over, 1712; average yield peT cow, 262.721 b. butterfat for 234 days; production, under 1001 b. butterfat, 37 cows; 100-1501 b., 129; 150-2001 b., 274; 200-2501 b., 372; 250-3001 b, 37G; 300-35011)., 282; 350-4001 b„ 158; 4004501 b., 62; 450-5001 b., 17; 500-5501 b., 3; 550-GOOlb., 2. . lu addition to the above, 1653 - cows supplying the Makino factory were tested under the Manawatu Herd Testing Association.”