TE AWAMUTU DAIRYING.

New Zealand Herald, Volume LXII, Issue 19140, 5 October 1925, Page 12

TE AWAMUTU DAIRYING.

PROPOSED NEW COMPANY.

PROGRESS OF THE SCHEME.

SUPPORT FROM FARMERS,

[Bt TEI.ECRAPH.—OWN CORRESPONDENT.] TE AWAMUTU. S*turd&y.

There was an attendance of over 50 farmers and townspeople at the public meeting convened :n the To Awamutu Town Hall last evening in connection with the project to form the Te Awamutu Oo~operative« Dairy Company, Limited. The Mayor, Mr. L» G. Armstrong, presided.

Mr. C. Parker said there wis a feeling that there should be a local co-operative dairy company, independent of any other district. With that obect in view a committee had gone into the matter and canvassed some parts of the district. The support was most encouraging, and it had warranted proceeding with the proposal. It was now definite that the company would be formed and the dairy factory would be an established fact in a very short time. A well-managed factory producing about 500 to 1000 tons of butter was the most economical, despite the fact that it had been claimed that a larger factory was the most economical of all. Figures had been investigated and the committee's opinion had been confirmed. Mr. A. J. Sinclair said that during the past few days, 45 dairy fanners had been interviewed in connection with the proposal, and 35 had signed up to supply, the number of cows represented being 1960. It was confidently anticipj-ted that the factory would open with a supply from at least 3000 cows, anc. *ns only three cartage routes had been canvassed so far, it was evident that there was a strong sentiment in favour of a genuine co-operative company, which would be owned, -controlled and run by farmers of Te Awamutu and surrounding districts. Mr. Sinclair gave a list of leading farmers who were behind the movement which had received so much support that arrangements would be immediately made to erect the factory. The site just across the railway line known as the brewery site, had been secured, and it was unexcelled in suitability. The whole cost of land, building and plant was estimated a£ £BSOO. Mr. Sinclair explained the basis of share-holding by suppliers, and gave various details regarding the management and operations of the proposed company. The prompters were not in favour of large factories, capable of manufacturing 1500 to 2500 tons of butter, and if the local scheme progressed as it was confidently hoped one section, say at Te Kawa, could separate from the Te Awamutu concern, and establish a factory in its own centre. Such a concern would be separately controlled, but it would be competent to have a federation for purchasing and selling. Mr. liennie hazarded the opinion that it would not be long before the small concern sought amalgamation. Mr, Sinclair replied that small cooperative companies were operating successfully at Hinuera, Morrinsvilie, East Tamaki and other places, and he had not heard any suggestion of amalgamation. A pljin of the factory was displayed, Mi*. Sinclair stating it was designed to enable the manufacture of 1000 tons of bntter without structural alteration.

Mr. Rennie sounded a word of caution, saying there were many townspeople present and naturally it was to their interest to have a company with headquarters at Te Awarantu. A new concern would be prejudicial to the existing factory, which latter had been provided to meet the demand.

Mr. Parker,, replying, said that the natural increase in the dairying industry, even without drawing on the suppliers from other factories, fully justified the enterprise. Mr. Sinclair said that a circular invitation would shortly be sent out, so that suppliers could elect provisional directors without delay and push ahead with the undertaking. As there were no more qnestionsj the chairman remarked that it was ev dtnt a great deal of organising had been done, for apparently every detail was thoroughly considered. That was a very happy augury.