*■ The Waver ley Factory

Wanganui Herald, Volume XXXIX, Issue 11643, 22 August 1905, Page 7

*■ The Waver ley Factory

TO THE EDITOR.

Sir, — I have read with interest the reports of the new venture of "the Waverley people and their dairy factory -arrang-o-jncnts with Mr Blake, and would like to lay before the Waverley people another side of the matter. Much credit lias been given to the owner for starting the factory in the face of past experiences in that district, and credit must be given for smartness of management also, and so he must get credit for the logical conclusions to be deduced in respect of this year's terms. The offer is to manufacture the output for per Ib and the over-run, provided that the total output reaches one hundred tons. Let us now see how this works out. According to newspaper reports, one thousand four hundred cows at the least must be guaranteed. A very low estimate per ■cow would be 150 lbs butter fat. In fact, cows should not be kept in any dairy herd that failed to do considerably better. Taking tne return at 1501bs per cow, it means that 1400 cows produce 210,0001bs butter fat, producing 239,4001ba butter. I have taken the over-run at lOOlbs butter fat and 1141bs butter, or, in other words, that lOOlbs •of butter-fat will produce 114lbs of commercial butter. These figures give a total of lU6 tons 7 cwt. It is generally considered that $d per Ib, or J6ll 4s per ton, is a high price for manufacturing butter. The price asked, and ■granted, evidently with every sign of approval, is most conveniently represented thus: — id per Ib produces ,£498 15s; overrun, 29,4001b5, at 10£ d, ss; making a total of I have given the selling price at 10£ d because ordinary factory outputs have been sold this season for lOgd, and clever management should secure one-eighth of a penny more than common farmers, as directors of co-opera-tive \ concerns, can expect. The cost for producing butter, all charges included, should not exceed dfill 4s per ton. The owner of the factory, under the terms of his offer, will realise .£l7 13s 4d per ton, which tots out as pocket money to the amount of £6 9s 4d per ton, or a total sum for the output of .£690 17s. It is a wonder to me that protest was not made instead of approval being given. Farmers are just now in front of a good season, yet by the arrangements made they will get no more for their work than was got in a poor season. The profit beforementioned can be further increased by reckoning" working expenses at the ordin■ary average of per ton, which is an ample allowance. Yet the charge for the skilfully managed model dairy factory at Waverley is set down as ,£ll 4s, the difference between which and the ordinary average of .£lO gives a clear increment of £817 17s to .the owner. Some may consider that to be but a fair return for responsibilities undertaken, but it will help to show that the average farmer has a rather rough time of it between high land values and the middlemen. Both scoop big slices out of dairy farmers. Quite likely suppliers will buck at my sentiments and figires, but I would simuly counsel them to go into the matter before condemning the writer. I may conclude by saying that I am in a position which has made me more familiar with the working of dairy factories than any of the suppliers at Waverley, and could doubtless give even the owner' a point or two on these matters. — I am, etc.,

FACTORY SECRETARY.