THE DAIRY INDUSTRY.

New Zealand Herald, Volume XXXVI, Issue 11060, 11 May 1899, Page 3

THE DAIRY INDUSTRY.

INTERVIEW WITH MR. R. R. HUNT. THE TROUBLE ABOUT PRICES. The great interest taken in the correspondence which has appeared in our columns anent the troublo in the Waikato over tho prices of dairy produco led 0110 of tho Herald staff to wait on Mr. R. R. Hunt, tho agent of the Wuikato Milk Suppliers' Union, yesterday, to ascertain tho present position of affairs. .Mr. Hunt consented tc givo all the information he could.

, "You arc T the agent of the Wuikato Milk Suppliers' Union, I think, Mr. Hunt!" asked the reporter. "Yes," was t\u icply; "I am tho agent, and my appointment was confirmed at a second meeting in consequence of doubts having been thrown out that I was not the duly-authorised agent." "And how do matters stand now?" "You are probably uwarc that the milksuppliers in the Waikato formed a union,'in order to secure to themselves higher rates than have been paid for sune time, namely. 2id per gallon for 0.6 milk. The, Dairy Association refused to recognise the union, and would only deal with the suppliers as suppliers and 11 it as a union, It was at this sligo of alfsirs that I came 011 the scene, and offered to find them what m'.ney they required to go into cooperation tor'themselves. 1 sec ured an advance of £5000 cash for them. and afterwards had tha! increased to £11,500, in order that they mii'ht buy out the Dairy Adoration's property and plant in' erect for themselves. This project- was approved by tho executive and delegates of the union, but unfortunately wan not approved by the bull; of the suppliers, who were frightened of the "joint and several bom?' which it was necessary to get in order to secure the alliance. This joint and several bond lias been most serviceable in the Taratv.ki district, for when offers were made of higher rates for milk than the cooperative company wore paying its members, the suppliers, found that tliev could not leave their own company without fear of the bond being called up. It thus virtually kept them together, and thus acted as the proverbial bundle of sticks, which means union, and so was the means of making all loose companies in Taranaki a huge success. The Waikato suppliers, however, rejected Hie co-operative principle on these lines, but expressed a very strong desira to join; a limited liability company." " 1 believe that you hen made furlhat efforts to assist the suppliers, Mr Hunt?" Yes. 1 arranged with Messrs. Ambury, English, and Co. to form their business into a company, the condition being that 10 of the creameries would join. Messrs. Ambury and Co. were not to have any cash down, but simply paid-up shares, for their business, and were to give the suppliers three years' credit, in order to pay up the shares which to find capital to erect the necessary new creameries in the Waikato. This schema also passed the executive and delegates of the union, hut again the suppliers 'jibbed,' and this offer, which was a very excellent one for the suppliers, was rejected, which is to be regretted, because it is an offer which will never be repeated, and would, like the co-operativa scheme, have enabled the suppliers to have one strong company controlling the butter business in the Waikato, with a brand of its own, known 011 the London market. Tho only way out of the difficulty then was to sell the butter-fat from the creameries to a firm for a term of years, and on my suggestion Messrs. Ambury and Co. were invited up to Te Awamutu, where they at nnca made a written contract with the suppliers to purchase their butter-fat for three years at 7jd per lb. The action of the To Awamutu people has been followed at Te Aroha V. est (to be called Manawaru in future), and a new creamery is 'o be erected under tho same conditions at Waihou. It is also possible that some of the other creameries in the Waikato may fall in with the same arrangement. However, be that as it may, the suppliers now claim that their union has been victorious all along the line. A rough forecast indicates that the increased prices will, in the case of creameries giving a largo supply (and thus minimising cost of working) average for the seaon B]d per lb of butterfat, 7jd being the minimum to be paid at the smallest creamery for any month's supply. It will bo thus seen that the result of llio whole agitation lias been to secure these "unplitrs that higher price which they have been all along clamouring for, tint which they believe they would not have got if they had not formed a union. Now, there will ho competition in the district, and the monopoly has fairly been broken up. Great credit i"a due to the chairman of the union (Mr. John Fisher) and also to tho executive and delegates for the way they have stuck to their guns in the midst of discouragements. Personally, you may be sure that as tho agent of the union and friend of many years' standing of a great number of farmers in the Waikato, I rejoice that the action of the union and my help to it has been the means of securing the higher price, which will in the near future give a great stimulus to tho production of butter, and afford better remuneration to the suppliers, a very hardworked class, than whom 110 men in Ihe province are more entitled to better remuneration for their labour, in that all days are alike-Saturdays, Sundays, and holidayscows have to be milked.

MR. SPRAGG'S TOUR. [FROM OCR OWN' CORRESPONDENT.] Hamilton", Wednesday. Mr. Spragg, manager of the New Zealand Dairy Association, is touring the district in the interests of his association. At Te Awamutu, at the time appointed, only three suppliers were present. It was decided, therefore, not to elect a chairman. Eventually about 20 people turned up. Mr. Spragg said he was we'll aware of the feeling in that district, and attributed it to mis-, statements and blundering. He saw in the newspapers that he had only given a fraction over 2\A per gallon during last season. This was incorrect, and ho had gone to tho trouble of having the Te Awamutu accounts made up separately, which showed that they had paid a fraction over 2Jd . for the milk. The amount of money paid to Te Awamutu was £3414 9s lid. Mr. Jones: 11 1 did not get an average of 2Jd for my milk." Mr. Spragg: "Oh, yes, you did.'" As to this season's prices, Mr. Spragg said ho was at a disadvantage, as the season had not yet closed. lie had, however, made an estimato sufficiently near, which showed roughly that with id bonus, the price would be 3d per gallon, or 7 15-16 d per lb of butter fat. He was a, bit in difficulties with To Awamutu. He had practically been blamed for paying too much, as he understood suppliers had arranged to take 7Jd. The prices for the coming season would be 3jd for butter fat for creameries supplying 900 C gallons per week; 8d per lb when the supply is 'iDOO gallons; 7|rl per lb when the supply is 3300 gallons, and 7jd per lb the minimum price. In tho case of Te Awamutu, in consequence of some of the suppliers having left him, he would deal with those who had remained loyal to him as if the supply bad reached 9000 gallons. He had been charged with dishonesty over the testing, and lie would charge the suppliers with being unfair, since they did not bother to tome and see the books, as he wanted them to do. He fully intended working on, and said opposition was ft good thing. He considered Messrs, Ambury and English good and honourable men. Mr. J. H. Mandeno and Mr. Wallace Jones said that had Mr. Spragg recognised the union all the present hothe: would have been avoided. They did not agree with many of Mr. Spragg's remarks. The suppliers had been badly treated. A vote of thanks was accorded to the speaker. At Kihikihi Mr. Spragg met a good many suppliers on Tuesday afternoon. Beyond stating the prices proposed for the coming season, no business of importance wa« transacted.

At Pukekura Mr. Spragg met a large number of supplier? on Monday evening in the Public Hal!, Cambridge West, Mr. T. W. Hicks in the chair. Mr. Spragg said that up to the present suppliers had hen paid 2jd per gallon for 3.6 milk, and they would receive in addition to this a bonus of 5-16 th, bringing the price to within a fraction nf 3d per gallon, equal to 7?d per 11) of butler fat. He then gave the prices foi the next season, A number of question** were asked and answered. The feeling of the meeting war favourable to Mr. Spragg.