Dairying in the Union. 83 



Tlie somewhat alarming increase in 1919 in the importation of 

 margarine, viz., 82,911 lb., was largely due to the scarcity of butter 

 during certain months in the period under review, and also the 

 prohibitive price of butter at that time. The decrease in ghee is 

 explained in a measure by the fact that a quantity of this commodity 

 was manufactured locally. 



With regard to the export of cheese from the Union, the bulk 

 of cheese exported was, no doubt, that purchased by the Imperial 

 Government in 1918, but not shipped until about February or Marcli, 

 1919. 



Farm Butter. 



Large quantities of farm butter still continue to be produced, 

 but individual effort is of no assistance to the dairy industry, and had 

 the several millions of pounds manufactured by farmers been handled 

 by the various creameries, a uniform article with far superior keep- 

 ing qualities would have resulted. It is difficult from a business 

 point of view to understand what advantage the farmer gains by 

 going to the expense and trouble of converting his own cream into 

 butter, and then selling same on the open market at a very unremu- 

 nerative price as compared with that offered by the creameries for 

 the butter-fat content of his cream. Further, the farmer has to 

 provide his butter-making utensils, butter-boxes,' paper, etc., pay 

 railage on his butter as well as market dues, expenses which could all 

 have been avoided if his cream were dispatched to a creamery, which, 

 in addition, pays railage on same. In the pioneer stages of dairy- 

 ing in South Africa farm butter was a necessity, as the creamery 

 movement was at that time in its infancy and practically unorganized, 

 but to-day it is quite different. It is only by co-operation and 

 combined effort that we can possibly hope to hold our own in the open 

 markets of the world. 



Milk and Cream Producers' Unions. 



There is a general tendency throughout this country for pro- 

 ducers of both milk and cream to form themselves into Unions, with 

 the object of controlling the prices of these commodities. There is 

 no reason why such unions should not exist in the same spirit as 

 chambers of comiiierce, which are highly organized and useful institu- 

 tions, but I would utter the warning that producers' unions miist be 

 conducted not only on sound business principles, but also on reason- 

 able lines. I am not so concerned with milk producers' unions 

 regarding prices paid for milk for retail purposes as I am with the 

 fixing of definite prices for milk and cream for purposes of cheese 

 and butter. The war being now over, milk and cream producers 

 must realize that prices paid for their raw material are governed 

 entirely by those obtained in the world's markets, and if they insist 

 upon being paid higher prices than the finished article realizes in 

 open competition, it simply means that the dairy industry will be 

 brought to a complete standstill and this country will be flooded with 

 dairy products from overseas ; indeed, this, to a certain extent, is 

 now happening. Another point which producers should bear in mind 

 is that the consuming public are only kept supplied all the year round 

 with cheese and t utter, owing to factories and creameries conserving 

 large stocks of these commodities for distribution in the " off season," 

 and these stocks have to be paid for at the time of purchase, a big 

 financial strain on the factories and creameries concerned. 



