SOUTH ISLAND DAIRY ASSOCIATION.

Otago Daily Times, Issue 16709, 1 June 1916, Page 3

SOUTH ISLAND DAIRY ASSOCIATION.

ANNUAL MEETING. The annual meeting of the South Island Dairy Association was hold in the Express Company's buildings yesterday morning, Mr T. W. Foster (chairman of the executive) presiding over a very large and representative meeting of delegates from tho various dairy companies affiliated to the association. In moving the adoption of the report and balance sheet, the Chairman referred to the absence of Mr J. li. Scott, tho association's late secretary, who, h(\ stated, had been overtaken by a serious illness in December. The association had decided to grant Mr Scott threo months' leave of absenco on full pay, and Mr W. H. Bolt had been appointed acting secretary, and subsequently Mr G. Lamti liad been appointed permanent secretary. The past year had been a fairly successful one. Prices had been satisfactory, but he did not know that production had increased to the extent it might have dono. In the north tho drought had caused a restriction in production, but in the south tho factories had had a particularly good year, so far as tho weather was concerned, and the production had increased to some extent at any rate. To the end of April, 71,798 cases of cheese had been shipped through the association, and he understood that about 10,000 cases •were in the store at Uluff, and there was a good bit of tho May mako in the factories. Referring to tho action of tho Government in talHig one-third of tho cheese output from the dominion, he had no doubt that tho Government had taken tho right step— in fact, a great number of them were of opinion that the Government should have commandeered tho whole output. In a great trouble such aa tho Empire was iu at present money counted in the end, and 1 anything that tho Empire could save was bound to tell in the final issue. It had been said that tho Government this year proposed to -take • the whole of the cheese output of the dominion. If such a proposal were given effect to ho did not think they would object, if they were given a fair price. The speaker touched on the increased cost of production that had taken place within the past two years, following on tho increased cost of material and advance in wages, and in the price to be paid the Sovernment would have to take these different conditions into consideration; As regards the cool stores erected by Bluff Harbour Board, the board had assured them that it did not desire to make any profit out of the stores, and that if it found it ) had made a profit, after paying expenses, it was prepared to make a reduction in the cost to the association. —(Applause.) Taking everything into consideration he thought they could congratulate themselves on the satisfactory manner in which they had got their cheese away.—(Applause.) On one occasion only had anything like a block occurred, but'.that was soon relieved. Of the 10,000 crates lying at the Bluff he understood that some, 4000 or 5000 crates were being loaded there to-morrow. —(Applause.) They had every reason to look forward to circumstances being favourable to their business in the coming season. As far as the labour problem was concerned, he thought the shortage would tend to decrease the production for some time, because the conditions during the past year had been bad, and they must be accentuated in tho coming season. So many of their young men had left for the front, and so many must go before the war came to an 'end A deputation had already waited on the Prime Minister asking for certain exemptions for dairy employees, but they had not so far received' any definite promise. He (the speaker) thought, under the circumstances, that something should bo done to organise labour. Another thing which required consideration was a probable shortage of rennet. Arrangements had been made to secure supplies from Denmark, but the position had been quit© upset by, the fact that the export of veils—the raw material—hid been stopped from Russia to _ Denmark. Since he had come to Dunedin he had learnt that proposals had been made with regard to manufacturing rennet in the dominion. A proposal had been made that a co-operative company should be formed by the dairy companies, and a Dunedin firm had also stated that it was prepared to supply rennet if the farmers would 6upply the veils. He was of opinion that a great deal more could be done in indent business, and the executive intended to miike every effort to push on this business and make it, of some use to the factories.— (Applause.) It might be necessary, however, to ask the companies to do something in the matter of finance, to properly carrv on the indenting.—(Applause.) In answer to a question, the Chairman stated that 46 factories were taking out surance through the association, leaving 37 factories outstanding. Two other factories had since since intimatod their intention •of insuring through the association. Although 11 more factories had insured through the association as compared with last year, the fact, that the insurance cotfimissions were lower for 1916 was explained by the fact that the premiums had been reduced by 20 per cent. The motion was ®oarried unanimously. ELECTION OP DIBECTOBB.

The following candidates were nominated to fill two "vacancies on the directorate: — John Barnetfc (Canterbury Central) and James Jjumsden (Drummond), retiring directors, and George Stuart (Edendale), John M'Nanghton (Aparima), Hugh M'Call (Seaward Downs), and David Wards (Island Dairy). The ballot papers were being distributed when it was disoovered that through a mistake E. J. Stevens's name had been omitted. It was further discovered that although Mr Stevens's name had been sent to the factory managements as a candidate, Mr Ward's name had not. The dual discovery caused 6oma confusion. It was finally decided to withdraw the ballot papers, and issue fresh ones, and adjourn the meeting till the afternoon. , The voting resulted in ' Messrs Barnett and Lumsden being re-elected. Mr Hugh Mitchell was appointed auditor.

GENERAL. Mr Wards, on behalf of the Mataura Island Dairy Factory, moved as follows:— (1) " That a super grade class for cheeso be ' established."—The mover stated that factories did not receive payment commensurate with the quality of the cheese. For instance, if a cheese was graded 92 it would not be of greater value than one which was graded points.—Mr Bolt seconded the motion pro forma. Speaking from his knowledge of what had been done as regards butter, he said that the commissioner (Mr Cuddie) always objected to butter being traded, as it penalised butters just below particular grade.—-A delegate maintained that if the motion were carried the smaller factories would be handicapped.—Mr Jas. Sawere said he thought values should he differentiated as regards cheese grades, but he did not think the time had yet arrived to establish a super grade. What they wanted first was direct shipments from Bluff so that this cheese could be delivered on the London market in practically the same condition as when it was delivered at Bluff. —(" Hear, hear.") —Another delegate said he considered that a super grade would encourage factories to put in pasteurising plants. —Mr H. J. Middleton said a super grade would be called first grade on the London market and other grades would be called second grade. Tho proposal would not advance their prices in Europe at all. — {" Hear, hear.") —Mr Wards then said he ■would withdraw his motion.

Mr Wards moved: "That arrangements bo made by tho association tor monthly sales of choeso at shipping ports or else where, as may be most convenient"; and "That a committee be set up to revise the sales contract note."—Tho mover asked that both of these motions be also withdrawn, and this was agreed to. ■Mr W. A. Saunders moved on bAhalf of the Tisbury 00-operative Dairy Factory Company—'; That owing to the volume of shipping business" now transacted by the dairy factories in Southland from Bluff, and the lucrative indent and commission business which might be obtained 'by the association with a r&idont agent in Invercargill, an agent in Invercargill be appointed to look after the general interests of the association's business in Southland, and as a convenience to the factories in the south." The mover said there was no ulterior intention to removo the headquarters of the association from Dunodin to Invercargill, eo long as the southern dairy factories received the attention they doserved. The bulk of the cheese was Bhipped from BlufT, and 6urely they had the right to have an agent in Invercargill.— Mr J. Campbell seconded tho motion. — Mr Lumsdcn moved as an amendment— "That 110 action be taken, and that any appointment bo left in the hands of tho executive to deal with when it thinks neces-

6ary." Mr Lumsdcn quoted figures showing that tho exports of buttet and cheese from Ota go and Canterbury were greater than those from Bluff, .over a period of two or three years, with the exception of tho la6t year.—Mr Lumsdcn explained that he had no objection to an agent at Bluff—ho believed in such an appointment—but he wanted consideration deferred.—The Chairman said he was also against the appointment in the meantime. —The mover said Mr Lumsden's figures had been twisted. He (the speaker) had mentioned cheese, but ho did not speak of butter. Ho went on to criticise the work of the directorate, and referred to them as a "lethargic" body.— On a show of hands being taken, tho motion was defeated by a fair number.

RENNET. The meeting was addressed by Mr Brash, assistant secretary of tho North Island Dairy Association, on the matter of getting future supplies of rennet. During Hie course of his remarks, Mr Brash stated that enough calves were killed in NewZealand to supply both New Zealand and Australia with rennet. The Chairman said that if anything could be done to promote a co-operative company, as outlined by Mr Brash, he thought it would be a good thing, and that factories should take ufti shares. —A letter was rerrived from Mrssrs'A. Murdoch and Co., laying out proposals under which they Would take up the manufacture of rennet. -It was decided to leave the matter in the hands of the executive to take steps to meet the North Island Dairy Association in conferenco to discuss the question of lorming a co-operative company. NEXT ANNUAL MEETING. _Mr Campbell moved as a recommendation to the directors that" the next annual meeting of tho association bo held in Dunedin.—Mr M'Call seconded tho motion. lie said he thought all meetings of tho association should be held at its headquarters.— Mr Buckenham moved as an amendment; I that the meeting he held at Invercargill.— Mr Monson seconded the amendment, which was lost. VOTE OP THANKS. Several delegates spoke in highly complimentary terms of the good work done by the chairman of the association (Mr Foster), and a motion conveying tho feelings of the meeting was thereupon carried unanimously. A vote of thanks to the directors closed the meeting.