DAIRY PRODUCTION

New Zealand Herald, Volume LXXV, Issue 23058, 8 June 1938, Page 16

DAIRY PRODUCTION

THE HIKURANGI COMPANY EFFECT OF ZONING SYSTEM [by telegraph—own correspondent] . WHANGAREI, Tuesday The output of the Hikurangi Dairy Company for the •year ended May 31 was 2081 tons, compared with 2122 tons the previous season. Suppliers decreased to 553 from 691 Zoning was I responsible for some loss in supply, but a number of large suppliers gave up dairying in favour of 1 sheep farming, owing to the difficulty of obtaining suitable labour. Tho value of the company's produco last year was £257,130, the unsold portion being valued at the guaranteed price dependent on grade. In the 193637 season the realisation for 41 tons less butter was £249,562. After paying the recommended deferred payment, the net return- to producers will be £227,868, compared With £218,245. The final payment in cash over all grades this year will be 14.315 d, against 13.511 d. With dividend (0.29 d per lb.) and cartage costs borno by tho compnny (.392d per lb.) added, the total value per lb, of butter-fat this year will .be 14.736 d. On .July 20 it is proposed to make a further, payment on each grade of butter-fat of 2Jd for .Tune and July supplv, and for the remaining ten months of tho season I'd per lb., making tho total cash payments per lb: Finest, Is 2£d; first. Is 2Jd; second grade, l»s lid. Tho actual cost from farm gate to ocean steamer, of handling one pound of butter-fat increased from 1.945 d in 1936-37 to 1.976 d. Owing to an increase of 10 per cent in wages and reduction in working hours, factory wages increased by 31.1 per cent.