MARKETING OF HONEY

New Zealand Herald, Volume LXIX, Issue 21263, 17 August 1932, Page 12

MARKETING OF HONEY

DECISION OF PRODUCERS

NEW COMPANY

[from our own correspondent]

HAMILTON, Tuesday

Shareholders in the New Zealand Honey Producers' Association, at a meeting held in Hamilton to-day, unanimously decided to confirm a resolution passed in Wellington on July 26 to .go into voluntary liquidation. The meeting also confirmed a resolution to form a new company named New Zealand Honey, Limited. Mr. «T. Eentoul presided over the meeting, those present representing one-third of New Zealand's output of honey.

In giving the reasons for the reconstruction of fcfie company, the provisional directors of tho new company stated that the Honey Producers' Association failed because it did not give efficient service. This was due to the lack of support given by its members. Further, members entered into competition with the association by packing and selling their own honey with a view to saving packing and selling charges. The weakness of the association, it was stated, .was that its constitution did not secure the organisation against any action detrimental to the association an individual jn ei nber might take. The new company, which will conduct business on a co-operative basis, will have a share capital of £12,000, the basis of subscription to be five,£l shares per ton over a producer's whole crop, estimated on the average of three years* production. It has power to call upon shareholders/to supply it with up to 50 per cent of their crop. Shareholders selling on the local market must do so at a price -not less than that determined by the company. Competition will be eliminated within the epinpany by a bom] requiring all members to adhere to the regulations of the c.ompany. It was stated after the meeting to-day that heavy. losses on tlie 1928-29 crop of honey oii the overseas market contributed to the failure of the association.