NGAIRE DAIRY COMPANY

Taranaki Daily News, 8 September 1934, Page 5

NGAIRE DAIRY COMPANY

PAYMENT OVER 9|D PER LB. ’ IMPROVEMENT IN GRADING. FARM INSTRUCTION DISCUSSED. The 41st annual meeting of the Ngaire Co-operative Dairy Company was held yesterday, the chairman, Mr. H. C. Taylor, presiding over an attendance of 60 shareholders. The annual report stated that since the last annual meeting the company had the misfortune to lose the services through death of Mr. T. Harry Penn. Mr. Penn had been associated with the company since its inception, the first five years as auditor, and from then’until the day of his death as secretary. The average pay-out for the 1932-33 season was 9.59 d per lb. butter-fat. The average advance for this season, including the bonus paid on August 20, was 9d per . lb. butter-fat. There remained an estimated balance of £2291 Os sd’ which, as returns came to hand, would be distributed to suppliers. At the date of balance 7593 crates of cheese had been sold on consignment. Unsold cheese amounting to 3514 crates had been valued for balance-sheet purposes at 46s per cwt. Creamery butter exported was sold f.o.b. The statistics were: Milk, 17,556,5271 b.; butter-fat, 802,7741 b.; average test, 4.57; cost of manufacture at lib. butter-fat, 1.75 d; other expenses at per lb. butterfat, .69d; -total -expenses to f.o.b. at 11b. butter-fat, 2.44 d. Cheese-making: Milk, 16,695,3841 b.; but-ter-fat, . 756,5551 b.; average test, 4.53; cheese (factory, weights), 1,843,3981 b. (822 tons 18cwt. 1021 b.).

Butter-making: Milk, 861,1431 b.; cream, 8821 b.; butter-fat, 46,2191 b.; creamery butter, 54,6551 b. (24 tons 7cwt. 1111 b.); lb. creamery butter to 11b. butter-fat, 1.1825; whey butter, 50,3491 b. (22 tons 9cwt. 61 lb.); recovery of whey butter per ton of cheese, 611 b. In moving the adoption of the report the chairman said that early in the season there was an increase in supply but later this fell off and the year finished with an increase of 3 tons of cheese and one ton of butter. All cheese had been consigned through the same channels, as in-previous years. Prices had been low, but the exchange had operated all the season and had brought the returns up to the level of the previous season. One or two offers had been received, but these were not entertained. It appeared that the results might have been a lit- " tie better if the offers had been accepted; but such a thing was a very difficult matter to' determine. Very little cheese had been sold in Taranaki last season, and according to the report of the Dairy Control Board'only 7 per cent, of cheese in New Zealand had been sold f.o.b.

The grade had risen from 92.04 to 92.145, said the chairman. The effect of milk grading had been most marked on the quality of cheese,, and there had been- no complaints from Britain. There was no doubt ■ the cheese had stood up better in grade than it had ever done before.

!# ; CASEIN MANUFACTURING.

Inquiries were made in regard to casein : manufacturing, but this presented many difficulties, especially in plant, proceeded Mr. Taylor.. It involved a big depreciation on cheese vats, and if casein were made for only a short period the same return could not be expected as-if it were carried on all the season. Probably it would only show Id. It was pointed out that the casein , yield in the . late autumn was very low and operations ceased early in June, as it was difficult to produce good quality after the end of May. As it would have meant ' considerable expense in altering the''butter'plant the directors considered it was not worth while. The manager’s residence had been estimated ' to cost under £7OO and the job had been completed, including levelling and fencing for £646. A garage and wood shed would be erected, and the painting of the roof carried out under the estimate. Rumours that it was contemplated to build another house were unfounded.

Speaking on the outlook for the com- 1 ing..season, the chairman said there appeared to be no. immediate prospect of any rise in prices,, but whether there was a rise or fall ways would have to be found to carry on. The Government had given assistance by way of exchange, and without it it would have been very difficult for farmers. In future suppliers would have to help themselves, and this could be done in three directions. The first was in the improvement of the quality of the raw material. It was necessary to make only the best of produce, and a great deal could be accomplished by efficient water cooling, which would give a better milk/ for cheese or butter-making. The second thing was an improvement in methods of pasture treatment and better fanning generally, while the third was systematic herd-testing. In this latter Central Taranaki was lagging behind, but there was no doubt that herdtesting induced more keenness in farming generally and enabled farmers to determine which were the best producing cows. CARTAGE CONTRACT. Referring to cartage of produce the chairman said that the Railway Department had given good service and a three years’ contract at reduced rates had been arranged. Following a recommendation at the previous annual meeting, the services of the farm instructor had 'been dispensed with, said the chairman, but this season there had already been a considerable amount of second grade milk, and it appeared that the Dairy Division would be more strict in regard to second grade in future. With the prospect of a stiffening in this direction it was a question whether it would not pay the company to reinstate the farm instructor.

. Touching upon the balance-sheet figures, the chairman pointed out that on the recommendation of the .auditor more had been allowed for depreciation, as the amount of the previous year was considered, to be on the low side. Wages were lower on account of the wages reductions, while fuel costs were also as low as possible, these being 12s 6d per ton as against 14s the year before. Most of the other items on the manufacturing account were similar to the previous year’s. In renewals two new vats, a whey tank and boiler plating accounted for nearly half the amount. The average test was the same as the previous year. In f.o.b. costs there had been a reduction of .02d. The amount received as exchange was £7784, which meant well over 2d per lb. on the season. The amount of second grade milk was 1.4 per cent, and the deductions amounted to £24. There were 60 crates of second grade cheese, most of this being made during a difficult period when there was non-acid milk. The chairman thanked the directors for their assistance in dealing with many difficult problems, also the manager and staff, who had worked loyally to produce a good article, and the secretary and office staff, who had given the best of service.

The manager, Mr. Pedersen, reported that there had been a fair amount of second grade milk this week, but he could give no indication of its cause. He was unable to go round the farms and give the assistance asked for. .

Mr. Harrison said it was sometimes difficult to discover the cause of second grade milk, and it was not always due to dirt. The chairman said the directors had received regular reports from the instructor, and there was no doubt the bulk of the trouble was due to machines; in only a few cases was it impossible to trace the cause of the Sometimes it was found that the milk from a particular cow was at fault. Mr. Tecofsky suggested the use of too much Caustic soda was a cause of trouble as it was often improperly washed off • the utensils. The chairman said the department recommended caustic but advised using double the quantity of boiling water for rinsing. If the machines were properly flushed he' did not think there would be much trouble in this respect. The chairman referred to the position of reserves and explained that these were composed of moneys used in the business. Replying to a question concerning the value of shares in subsidiary companies the chairman said these companies were all improving their position and he did not think there was any chance of losing unpaid capital. In the past it had been the policy to write off a certain proportion of these values, but he did not think it would be necessary to write off any more. Mr. J. H. Thomas moved and Mr. Taylor seconded a motion concerning the election of the Dairy Control Board as follows: “That in the opinion of this meeting the Dairy Control Board Act should be amended so that in regard to the election of members thereof the tonnage votes pertaining to each factory shall be allocated to the candidates pro rata according to the individual votes each has polled.” | Mr. Thomas considered the present method of allocating the tonnage vote to the candidate who polled the most individual votes was unfair and enabled a candidate who concentrated on a few big factories to be elected to the exclusion of the interests of smaller com- ' panies. The motion was carried. j Notices of motion were then consid- ■ ered. Mr. L. C. Harrison moved that the articles of the company be altered to the effect that in alternate years three and four directors retire in rotation. The, motion was lost. I Another motion by Mr. Harrison was [ to the effect that the articles be altered to enable directors to be nominated at the annual meeting without previous notice. This was lost. Mr. W. Wickham moved an alteration

to the articles to prevent block voting, but this also was lost. It was resolved to convene a supplementary meeting of suppliers shortly after the receipt of the N.D.A. remits. There were seven candidates for the three vacancies, the voting resulting: Messrs. W. Martin 151, G. Addenbrooke 97, P. Thomson 94 (elected), A. D. Walker 92, J. Faulkner 84, H. H. Clough 83, F. E. Bocock 66. For the extraordinary vacancy caused by the retirement of Mr. Coleman the election resulted in the return of Mr. A. D. Walker. Mr. J. H. Thomas was reappointed auditor. A vote of thanks moved by Mr. Addenbrooke was accorded the • ladies for providing lunch. Appreciation was recorded of the services of the retiring directors, Messrs. Coleman and Bocock. Thanks were also accorded the chairman, directors, manager and staff. The chairman’s honorarium and directors’ fees were fixed at the same as last year. Mr. Taylor was re-elected chairman at a subsequent meeting of directors.