THE MANUFACTURE OF BUTTER.

Otago Witness, Issue 1917, 17 August 1888, Page 10

THE MANUFACTURE OF BUTTER.

At the beginning of last season (says the Auckland Star) the New Zealand Frozen Meat Company started the manufacture of butter themselves, contracting with farmers throughout the country for a regular supply of milk. Branch establishments were started in various places for receiving the milk and forwarding it to the chief depot. Everything gave promise of a continued success. It turns out, however, that these favourable anticipations have not been realised, and the company have given up the business. Fortunately for Auckland, an enterprise of so much promise is not to be abandoned— a private company, which is neither connected as a body or individually with the Frozen Meat Company, having taken the business up* ' Mr W, Spragg, manager of the buttei department of the Frozen Meat Company, in a report to be furnished to the Government on the working of his department, gives some very interesting information regarding the butter business of the company. As the season was a late one the creameries established by the company in the Waikato did nob generally come into operation until the end of December, and in consequence of bad winter roads the farmers refused to convey their milk to the creamery after May. The season was thus actually limited to only five months. During that time the total quantity of milk purchased at all their stations was 5,000,0001bs weight, the price averaging for the term for whole milk 3d for each 10£lb. He continues : " In the glut of the season the output of the dairy was about 25001bs daily, the total quantity manufactured during the five months being 200,0001b5. Of this quantity, over 100,0001bs were sent to England in bulk boxes or kegs, and about 34001bs were packed in lib and 21b tins, and shipped chiefly as sample parcels to almost every portof importance to this business throughout the world. The business of the company for the season has not been a financial success, the reasons being : (1) Losses in general expensiveness of the work owing to the experimental character of the season's undertaking. (2) Excessive prices (as compared with afterwards ascertained value) paid for milk. (3) Heavy railage charges on cream carried to the central dairy in Auckland, considerably exceeding the amount which would have been payable on butter produced from the same cream, (i) Expensive packages for which no allowances are made. (5) Possible faulty carriage in the refrigerating space on the steamer. Imperfect method of marketing the dairy produce in England — the system now existing appearing to show altogether to the advantage oi the English middleman."

In his report Mr Spragg goes on to show how these defects can and will be remedied, and he states that, notwithstanding the unfortunate financial result of the season's trading, the " creamery system " with a central dairy, supplied artificially with cold air, has by common consent on the part of all who have investigated its operations been acknowledged to be the system for New Zealand, or at least for the northern portion of ifc. He has obtained offers of assistance from 'outside amounting to a capital of several thousands of pounds to carry on the work. His new principals are substantial merchants. Mr Spragg will continue to manage fche new business, which will be called the New Zealand Dairy Association, and will have no connection whatever with the JNew Zealand Frozen Meat Company. It will, however, be carried on in the same building, and with the same appliances that the former department used. As far as possible, the proposed engagements of the Frozen Meat Company will be taken up, all the arrangements being carried on at the point where the company leave off.

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