BUTTER OUTPUT

New Zealand Herald, Volume LXX, Issue 21560, 3 August 1933, Page 11

BUTTER OUTPUT

MORRINSVILLE COMPANY REVIEW OF OPERATIONS OUTLOOK FOR NEW SEASON [from our own correspondent] MORRINSVILLE Wednesday „ The 11th annual meeting of the Morrinsville Co-operative Dairy Company, Limited, was held to-day, Mr. J. E. Leeson, chairman of directors, presiding over a large attendance of suppliers. In reviewing the operations of the company for the last season, Mr. Leeson said that unlike the 1931-32 season the last season was an excellent one from tho point of view of production. The phenomenal increase in the output of butter by the company had been caused by the excellent work of suppliers in handling larger herds, an increased number of suppliers and tho favourable weather. The increase in output was 649 tons 7cwt., or 30 per cent more than for tho previous season. Tho amount was 2790 tons 17cwt., compared with 2141 tons lOcwt. in 1931-32. Mr. Leeson said a further reduction in the costs of manufacture had been effected. Referring to the financial results, Mr. Leeson said that with a market fluctuating from 110s per cwt., London, at the date of the previous annual meeting down to 675, London, his statement that the season had been a difficult one in which to produce satisfactory returns would not be gainsaid. The result achieved was gratifying when reviewed in the light of all the circumstances. The larger proportion of tho output had, in accordance with custom, been sold on a consignment basis. The net result was:—Average advance, all grades, including collection, 8.635 d; bonus paid on July 15, .500 d; bonus due, .200 d; dividend, .639 d; total, 9.374 d. The imposition ot quotas and tariffs by Continental countries against imports of butter restricted the markets, and helped to reduce the prices for the New Zealand product in Britain, continued Mr. Leeson. He was unable to say what the prospects were for the new season. One bright aspect was the rise in prices for sheep and wool. This would probably have the effect of checking the trend from sheepfarming to dairying and would also probably cause some dairymen to go in more for sheep. Another bright sign was the rise in the price for "bobby"' calves. All would agree with him that the introduction of a quota on New Zealand's exports would be disastrous, -said Mr. Leeson. If New Zealand showed promptitude in carrying out its part of the Ottawa agreement little more would be heard of quotas. Unless something were done in reducing tariffs on British goods there was nothing more certain than that at the end of the three years' period fixed at Ottawa a quota against New Zealand butter would be applied. Mr. Leeson said it was a matter of great regret that the enormous increase in tho quantity of butter mode by tho company this season meant only an increase of £6OOO in value compared with the previous season's revenue. The railage of the company's output from Morrinsville to Auckland cost £4378, which was greater than the amount paid by the company in wagea and salaries. The report and balance-sheet were adopted. Messrs. F. TV. Seifert, J. Gaddes and Forbes West were re-elected directors. „ . Mr. T. J. Ryan was appointed auditor.