ARGENTINE DAIRYING.

Waikato Times, Volume 104, Issue 17589, 19 December 1928, Page 12

ARGENTINE DAIRYING.

"INDUSTRY IN BAD WAY." PRIMITIVE METHODS USED. The opinion that the dairying industry in the Argentine is in a "very bad way," and that it is likely to be worse before it can be better, is expressed by a leading English authority, who recently, spent over two months investigating daiflying conditions in the South American republic. A full statement of the position as he found it has been made available to interested circles in New Zealand, as containing disclosures of more than ordinary concern to a country engaged in direct competition. "You must remember the dairying industry in Argentina was for all practical purposes a war-time innovation and was built on foundations of expediency and false values, the investigator says "It did not develop in any way from this stage, and as a result it is rapidly losing ground in competition with other dairying countries. "Its retrogression has made itself felt seriously only during the last 12 months, the chief reason for this being that the industry for the past two years has been dominated by speculative interests, which aspect benefited the manufacturer, but resulted in tremendous losses to the speculative buyers of cream and butter. This phase, however, has not passed and with nothing to take its place a rapid decline has made itself apparent, especially during the last six months."

Quarter Decline In Output.

Owing to the limited dairying areas in the Argentine, and in view of the close control over the local market, which was exercised by no more than three persnns, it was possible for the investigator to obtain reliable information concerning the decline in production. This was estimated at not less than 23 per cent during the last season, or, in other words, 25 per cent of those engaged in dairying reverted to the raising of cattle. It is suggested the position is not surprising since Argentinian dairying is carried on in a most primitive manner. Cows are milked only once a day and calves are allowed to run continuously with the mothers. In recent years casein production had been of more importance to the producer than butter and, in fact, had been the only means by .which many concerns were able to keep going. Probably 80 per cent of the factories in the country were located in the city of Buenos Aires and cream supplies were borne from the country by train, the journey taking anything up to 24 hours and imposing the severest physical disadvantages. Consequently large quantities of bad cream were received into the factories.

Transport Difficulties,

The introduction of pasteurisation two years ago had certainly achieved a considerable improvement in the quality of the finished article, but this bad not been reflected in better prices. "Owing to the complete absence of roads transport difficulties are well night insuperable and this is one of the most difficult problems which the industry has to overcome," the investigator says. "Nevertheless, I feel these difficulties will be met, because from the very nature of the province of Buenos Aires and the Argentine generally, it must be a dairying country. "The costs of production so far as I can estimate should be 15 per cent to 20 per cent cheaper than those in New Zealand or Australia. The geographical advantage which they have in being only 19 days from the English market is very considerable; and although the transition stage will be a long and costly one to the Argentine, nevertheless the republic is bound to develop into a really serious competitor with the colonies."