NGAERE DAIRY PAYMENT

Taranaki Daily News, 7 September 1935, Page 5

NGAERE DAIRY PAYMENT

SMALL BALANCES DUE RECORD OUTPUT ACHIEVED. ANNUAL MEETING OF COMPANY. One of the best payments among cheese companies in Taranaki will have been made over this season when tire Ngaere Dairy Company completes the sale of 1934-35 produce. It was reported to the annual meeting yesterday that lOd had been paid with another ’Ad due on September 20 and small surpluses still in hand. Mr. H. C. Taylor, chairman of directors, presided over an attendance of about 50 shareholders. He took an optimistic view of prospects for the coming season. The average payment for 1933-34 season was 9.94 d per lb, the report stated. Notwithstanding the dry spell at mid-sea-son the output of cheese constituted a record for the company. The average advance to the date of balance was 9’/ 2 d per lb of butterfat and a further payment of ’Ad on the August-May months inclusive was paid on August 20. At date of balance unsold produce totalled 786 crates of cheese. The statistics, with the figures for last season given in parentheses: were:— Total pounds milk received, 18,202,0231 b (17,556.5271 b pounds butterfat received, 813,9841 b (892,7741 b average test, 4.47 per cent. (4.57 per cent.); cost of manufacture at per lb butterfat. 1.82 d (1.75 d other expenses at per lb butterfat, .65d (.69d); total expenses to f.o.b. at per lb butterfat, 2.47 d (2.44 d Used for cheese-making: Pounds of milk, 17,539,3501 b (16,695.3841 b pounds of butterfat, 778,3051 b (756,5551 b cheese made (factory weight), 854 tons Bcwt 161 b (822 tons 18cwt 1021 b); average test,. 4.44 per cent. (4.53 per cent.). Used for butter-making: Founds of butterfat, 35,6791 b (46.2191 b butter made, 18 tons 13cwt 881fi~(24 tons 7cwt 1111 b); whey butter made, 23 tons 17cwt 151 b (22 tons 9cwt 611 b). INCREASED PRODUCTION. The chairman remarked that unlike the position with other companies the output increased and was a record for ‘the company, showing that farmers of the district were striving to maintain output. Quality was well maintained for 31 per cent, graded finest and tire balance first, no second grade being made. The payment was a little better and the best for two years. With the high average test it was not possible to get as high a yield as other companies with lower average tests. The directors maintained a fairly steady selling policy and the payment of lOVid or perhaps a little better endorsed the policy, because analysis of the market prices over the season, showed that selling on consignment would not have shown such a good return. Effecting sales was a matter for sudden decisions that had to be made at the right moment as prices fluctuated within a few hours. On one occasion a sale was made at 514 d per lb of cheese and a few hours later it was impossible to sell at all.

Prospects for the coming season could not be forecast but conditions were improving in Great Britain and that should create a better demand and prices, r very care should be taken to maintain quality, and it was noticeable that since milk grading was introduced complaints regarding the quality of' New Zealand cheese had been very rare. Care should be taken to see that water did not get into milk. On one day of heavy rain it was noticed that some suppliers’ milk increased by as much as 3001 b each, yet 11 fewer cheeses were made that day. On the following day when there was no rain the amount of cheese made returned to normal. That example showed what the effect would be over a season, and suppliers should cover stands and take every care that no water was added to milk. The apparent failure of British fac-tory-made cheese was an argument in favour of the New Zealand regulations and pasteurising, and he understood that many of these British cheese factories were turning to the manufacture of butter so that it might be found that the amount of produce going on to the cheese market would decrease with benefit to New Zealand. The new pasteuriser was a wonderful machine, and whereas before 80001 b of water had to be pumped through the old pasteuriser the new one used no water.. SHARE CAPITAL. It was suggested last year that the entry of new suppliers might necessitate an increase in share capital but the company obtained 273 shares from “dry” shareholders, and as it was not advisable to increase the share capital the directors had taken no action. As long as the company was seeking shares the price of the shares held by shareholders was maintained but in the event of the capital being increased the value of each share would decrease—that was unavoidable. The auditor, Mr. J. H. Thomas, announced that he would sever his connection with the company. He had been auditor over the past 23 years. He said the company was in a very sound position. Had the work of rebuilding the factory in 1914 been delayed a few years the cost would have been doubled and the capital overdraft to-day would have been much higher. The management of the company’s affairs had been most efficient. Mr. Thomas referred to his association with the late Mr. T. Harry Penn, who was secretary to the company for many years, characterising him as having been one of the cleverest men connected with the dairy industry. His son, z Mr. T. L. Penn, present secretary of the company, was proving himself a very efficient secretary also. Mr. Thomas criticised the action taken in reducing the commissions of merchants. It was natural to expect that the more a man was paid the better he would work, and though he did not know what the Continental competitors paid the agents he thought the matter should be carefu’ .y considered. Denmark had made overtures of a serious nature in respect to marketing and if New Zealand acquiesced the Dominion would have everything to lose and nothing to gain. New Zealand had been pushing its produce on to the market in which the Danes sold their produce, and should continue to do so. He criticised the Rt. Hon. J. G. Coates’ proposal for the disposal of surplusses and urged a policy of selling even at a reduced price; some return would be received and the fact that the produce was on the market would keep competitors out. The retiring directors were Messrs. H. C. Taylor and A. D. Walker. Mr. Walker did not seek re-election and Messrs. J. Faulkner, L. C. Harrison, M. H. Perry, H. C. Taylor and J. H. Young were nominated. The ballot returned Messrs. Taylor and Young, the voting being Messrs. Faulkner 60, Harrison 35, Perry 90, Taylor 175 and Young 96. Mr. E. K. Camcron was appointed auditor. The directors reappointed Mr. Taylor chairman. On the motion of Mr. P. Thomson the directors were asked to keep in touch with Massey College on the matter of payment on butterfat and casein and if desirable to call a general meeting at which the point could be discussed. Mr. J. H. Thomas gave notice to move that article 18 of the rules be altered to read: “On a show of hands every member present in person shall have one

vote and upon .a poll every member present in person shal have one vote only, irrespective of the number of shares held by him.” Lunch and afternoon tea were distributed by women of the district. *