BUTTER

Butter Factory

A butter factory was opened at the old Piesse winery on Friday 12 July, 1935

It’s a little hard trying research the history of Katanning’s butter factories. Sometime around 1910 the Manjimup butter factory had discussions with Harold Piesse about establishing a butter factory at the old Piesse winery buildings. However, it wasn’t until 1935 that this venture got off the ground.

The next reference I have been able to find relates to the amalgamation of the Katanning Butter Factory with the Narrogin Butter Factory and the Beverley cream collection centre in 1924. This venture was to be called The Great Southern Butter Factory and Katanning shareholders would have equal rights and equity. The story also indicated that if the shareholders accepted the amalgamation then a butter factory would be built in Katanning and be operational by 1 July, 1925.

The Narrogin based Great Southern Butter Co-operative erected a new butter factory in Katanning in July of 1935.

It appears that the amalgamation failed to go ahead as the Great Southern Butter Co-operative erected a new building to the south of Katanning at the same time the Katanning Butter Factory commenced operations.

It was not until around ten years later that the Katanning Butter Factory was opened in Katanning at the old Piesse winery buildings. It was opened by the Minister for Agriculture , the Hon. F. J. S. Wise, M.L.A., accompanied by Mr G. L. Sutton, and Mr J. D. Moloney, M.L.A., Member for Subiaco. The function took place near the main entrance, those who assisted being the Hon. H. V. Piesse, M.L.C., Mr Alex Prosser, Chairman of the Katanning Road Board, Mr R. G. Lock, Managing Director of the Katanning Butter Factory Company, and Mr Gus Mengler, Mayor of Claremont and a director of the company.

Two trial consignments of butter from the Katanning Butter Factory had been despatched to Perth, and the product had proved one of the best quality ever, manufactured in the State.

Both butter factories advertised in the Southern Districts Advocate on 15 July, 1935, that they would be receiving cream from local suppliers. As the Great Southern Butter Co-operative’s building was still under construction suppliers were invited to leave cream at Rogers’ Central Stores in Clive Street.

NEWSPAPER REPORTS

Katanning Butter Factory and Cool Stores Ltd
PROPOSED AMALGAMATION – 1924.

 Great Southern Herald
13 March, 1924

A special meeting of subscribers of the Katanning Butter Factory and Cool Stores Limited was held in the Town Hall buildings on Thursday last, to consider the proposed amalgamation with the Great Southern Co-operative Butter Company. Limited, when it was Resolved to form such amalgamation, conditionally on cool stores being erected by January 1st next; and a butter factory being equipped and placed in operation by July 1^st 1925.

The chairman of provisional directors, Mr. W. J. Rogers, occupied the chair, and explained the projected amalgamation. He stated that the scheme had emanated from the Narrogin Butter Factory Company for the amalgamation of the Beverley, Narrogin, and Katanning concerns in one company to be known as the Great Southern Co-operative Butter Company Limited. Already the amalgamation had occurred between the Beverley and Narrogin companies, and it now remained for Katanning to come in and form one large business.

A factory had been established at Narrogin for the past five years and was in a flourishing condition and had declared a net profit of nearly £1,000 for the financial year just closed. It had been able to pay a dividend of 7 1/2 per cent, on paid up capital in addition to distributing a bonus of 1d. per lb. on all butter fat supplied, and its accumulated profits amounted to £2,000, with which it was intended to liquidate in full the advance received from the Government at the commencement of operations.

The full plans of amalgamation included the provision of receiving depot at Beverley and the erection of a cool stores and receiving depot at Katanning practically immediately, with the addition of a butter making plant to commence operations by July 1st, 1925. The provisional directors had considered the matter fully and were convinced it was a good business proposition, and had no hesitation in recommending its adoption.

After discussion, Mr. Synott proposed:
“That the provisional directors of the Katanning Butter Factory and Cool Stores Limited take steps and are hereby authorised to amalgamate with and transfer the shares and assets of the Katanning Butter Factory and Cool Stores Limited subject to the following being included in the arrangements:

(1) The Katanning shareholders to have two members on the directorate;
(2) That arrangements be drawn up in a written agreement which shall provide among other things for equipment and putting into operation of a Butter Factory at Katanning by the 1st July, 1925, and Cool Stores in time for next summer (January, 1925).

The provisional directors of the Katanning Butter Factory and Cool Stores Limited to have full discretion and authority and all arrangements to be left in their hands.” Mr. A. F. Watts seconded the motion, which was carried.

Shareholders in the Great Southern Co-operative Butter Factory will be interested to learn that one of the stipulations under which the proposed amalgamation is to be effected is that a butter factory shall be established at Katanning on the 1st July, 1925.

Those present at the last annual meeting of the company will certainly have no recollection of a proposal of this nature. It was understood that the basis of the arrangement to be made with the Katanning shareholders in the event of their turning down the proposed Company in favour of amalgamation with Narrogin, was the nomination of one director and the erection of a receiving depot at that centre.

Seeing that the residents of Katanning are being offered the chance of participating in the profits of a going concern by accepting shares at par, we do not think they should attempt to push too hard a bargain in connection with the proposed scheme of amalgamation. The position is clear enough.

The dairying industry has not reached that degree of stability which warrants a number of butter factories in the Great Southern. Beverley realised this and willingly fell in with the sensible suggestion of the Narrogin butter Company to amalgamate, provided that representation was given that district on the directorate, and a receiving depot for cream was established at Beverley. Similar overtures were made to Katanning, and the meeting, as reported above, was the outcome.

It is absurd to suggest that a butter factory should be established in 1915 at Katanning by the joint assistance of Beverley and Narrogin. Beverley shareholders might have agreed to come in under a similar arrangement, and so killed the scheme in its initial stages, but they were content with the fair offer made them, and have since concluded that they were very wise in having done so.

Katanning residents are offered £1 shares at par, in the Narrogin Company, or as it is now termed “The Great Southern Co-operative Butter Co., Ltd.” Those shares are really worth 30/- and they are not available to anyone outside the present shareholders in the Company which was to be established at Katanning. Local shareholders have created a company and borne all the responsibilities and now they cheerfully afford an opportunity to their neighbours to participate in the profits of their labour simply in order to stabilise the dairying industry.
(What more does Katanning want in all fairness? -Ed.)

New Industry for District.
Opening of Katanning Butter Factory.
By Mr J. S. F. Wise, Minister for Agriculture.

Southern Districts Advocate
15 July 1935

The same report featured in the Great Southern Herald on 17 July, 1935

An important event in the annals of the town was the official opening of the Katanning Butter Factory, which took place on Friday (12 July) afternoon in the presence of a large gathering of townspeople and farmers from all parts of the surrounding districts.

The opening ceremony was performed by the Minister for Agriculture, the Hon. F. J. S. Wise, M.L.A., who arrived by train on Friday morning with the Director of Agriculture, Mr G. L. Sutton, and Mr J. D. Moloney, M.L.A., Member for Subiaco. The function took place near the main entrance, those who assisted being the Hon. H. V. Piesse, M.L.C., Mr Alex Prosser, Chairman of the Katanning Road Board, Mr R. G. Lock, Managing Director of the Katanning Butter Factory Company, and Mr Gus Mengler, Mayor of Claremont, a director of the firm.

Introducing the Minister for Agriculture, the Hon. H. V. Piesse, said he was the youngest Minister of the Crown, in Western Australia, but, due to his agricultural education, he was the right man in the right job.

Mr Piesse mentioned the historical associations of the building and its former use as a winery by his father, the Hon. F. H. Piesse, C.M.G. Thanks to Mr Lock the premises were again in operation, but now for use in an industry which would give a great impetus to the district – a butter factory. Concluding, Mr Piesse complimented the directors on the prompt equipment of the factory, which contained the most modern and efficient machinery in W.A.

The Minister for Agriculture, who was greeted with applause, said:
Looking back over the past two years, even the most pessimistic and prejudiced observer must admit that a definite degree of progress has been achieved, although it cannot be said we are yet clear of the depression and its influence, which is likely still to extend into the future and colour with doubt to some extent the best laid plans of all peoples, of enterprise, and of Governments.

There are many difficulties still in the way of international trade, not the least being the chaotic state of the exchanges, and until some order is created the business of the world must be seriously hampered. Many of the restrictions and quotas, and much paraphernalia connected with many unsound principles applied to marketing systems are not conducive to the easy interchange of commodities on which modern communities thrive.

No matter what brand of politics prevails in Australia, the fact must not be overlooked that expansion of trade is one thing needful. Like any household, the household of the State must have income to pay its expenses. For many years it has been the custom to send our surplus production to Great Britain, which generally provided a good market. The true position of the world’s affairs did not become manifest until 1929, when there was a falling away in the demand for every commodity. As time went on the troubles intensified, and it could be seen that Great Britain, with a population of only forty millions, had no hope of providing markets for all the goods we and others had to offer.

Additional customers must be sought, and it is obvious that, the large population of India, China, Japan and the Near East present a large field for enterprise. Compared with Great Britain, Japan alone has a large manufacturing population – which is fast adopting European methods of living. I feel that we have been too intent upon forcing our goods upon the comparatively small population of distant Britain, while much nearer home we have vast numbers of people who require more attention and offer increasing prospects for trade in wool, wheat, fruit and dairy produce. I previously mentioned the expansion of trade.

I take the view that there is every need to increase our national income. We must improve our revenue, and to do this we must expand our trade, increase our efficiency, and increase our supply of real money by producing for profitable markets. Bear in mind that quality and efficiency will help us out. It is no solution to produce commodities of a type and quality we cannot sell.

Everywhere in Australia there is a tendency to consider that full development has been reached. The truth is that we are still in the pioneering stages and should constantly be moving forward. Stagnation means degeneration. It is a matter not only for Governments but for business men to display keenness, industry and ability in public affairs. Let their ideas extend beyond the walls of their buildings, beyond the confines of their towns, or even of their cities. The efforts of every individual should be related in some way to the progress of our State. The efforts of public men – of politicians – should be assisted by every individual and every organisation in the State. Let us all live up to our public responsibilities and many of the State’s difficulties will be overcome. It is pleasing to see progress in such a manner as this.

I had the opportunity of seeing the plant and manufactures of James Bell and Co., of Kensington, Victoria, recently. They are large manufacturers and exporters of dairy machinery. Their products are the result of much thought on the part of the manufacturers, and the application of the greatest skill on the part of Australian workmen. The combination of the artisan in secondary industry and the producer in primary industry, has resulted in great success.

By investigation of what is needed for the trade to turn out the best quality article, it is claimed that the skilled artisan and those directing him have saved the producer immense sums in stopping leakages, in improving standards of quality, that better markets also are found for the better products produced. This firm exports its churns and high-class machinery to Great Britain, South Africa and New Zealand, the products of Australia thus benefiting the dairying industry of the whole nation.

In regard to quality the Commonwealth Supervisor of Dairy Exports (Mr Carrol), said on Monday last that we must not ease up until we have bridged the gap between our butter and Danish, which now amounts to about £2,000,000 sterling a year. It was essential, he continued, that the quality of Australian butter should be so raised that all of it would compare as favourably with other countries as Australian choicest did now. Australian choicest butter was as good as any on the English market and therefore should realise the same price as other butters. Unfortunately, there was not enough of it, and as there was a demand for the whole of Australian butter to meet requirements, the policy of averaging prices to average quality was being followed. “Let us scotch that policy by increasing the quality of the best sent overseas,” Mr Carrol added.

Since 1921 the production of butter in the dairying industry has steadily and rapidly advanced. The total production is as follows: –

“The export of surplus butter produced during the flush season commenced in 1931-32 with 1,399,999 lb and the surplus last year, 1934-35, had increased to 3, 848,000 lb.

Until last year the whole of this surplus was exported, but owing to the low price in London during 1934 and 1935, which caused a loss of at least 6d per lb for every pound of butter exported, it was realised that, by storing a portion of this surplus butter, which could be consumed during the summer months, a great saving to dairy farmers would result. I am pleased to say that arrangements were made to store approximately 1,500,0001b., which resulted in a saving to dairy farmers of approximately £37,000.

It is hoped that sufficient butter will be stored during the coming flush season as to make this State self-supporting during the summer months. During last session of Parliament, a Dairy Products Marketing Bill was passed, which enabled the dairy farmer to have considerable control of the marketing of his products. An essential for the successful storage of butter is that the quality should be such as will allow storage for months without any deterioration.

The manufacture of such butter can only be accomplished from cream of the highest quality. It is feared that along the Great South ern area the quality of the cream is not all that may be desired, in part due to the longer distances over which the cream has to be transported, and – owing to the smallness of the herds – the infrequent delivery of cream to the factory. Every effort must be made by the farmer to overcome these obstacles and, to provide the highest quality cream, as only by this method can he hope to secure the highest returns for his butter fat.

Factories are being closely supervised by Departmental officers, but the production of choice butter can only be assured by perfect co-operation between the farmer, the manufacturer, and the vendor. During the last two years the prices of dairy products have fallen considerably, and it is now realised that many cows which might have been profitable producers when butter fat was 1/6 to 1/8 per lb are quite unprofitable when butter fat is l0 d to 1/-. per lb.”

“In 1932 through the assistance of a grant from the present Government and from the Rural Credits Branch of the Commonwealth Bank, grade herd recording was initiated in this State with the testing of 4,023 cows. These cows averaged 181 lb butter fat during the first year. The same units during the second year of testing, and practically the same number of cows (4,038), had increased the average production to 206 lb butter fat per cow.

If it were possible to increase the production of all cows in the State to this figure, it would mean a further £360,000 to the dairy farmers of this State with butter fat at 1/- per lb, at no extra production cost, as it costs no more to feed a good cow than a poor quality one. It is hoped it will be found possible to further increase the scope of the grade herd recording scheme, as not only local experience but the experience of other well established dairying countries has proved that the introduction of such schemes has been the turning point of the industries as far as profitable production is concerned.”

A VISITOR IMPRESSED.
Supporting the Minister, Mr J. D. Maloney, M.L.A., thanked Mr H. V. Piesse for affording him an initial opportunity of visiting such a flourishing locality as Katanning. He had been greatly impressed by what he had seen and had reached the conclusion that the town and district were the soundest of any in the State. The Katanning Butter Factory was to be complimented upon its enterprise in establishing such an important secondary industry, and it behoved all dairymen and farmers to give the venture their whole-hearted support.

APOLOGIES.
In calling upon Mr Mengler, a director of the Company, to address the assembly, the Hon. H. V. Piesse apologised for the absence of Mrs F. H. Piesse, who was to have set the factory machinery in motion, the Hons. A. Thomson and C. H. Wittenoom. M’s.L.C., Mr Austin Piesse, President of the Royal Agricultural Society, and Mr V. Doney, M.L.A., Country Party Whip. Mrs Piesse and Mr Austin Piesse had been detained through a family bereavement.

VOTE OF THANKS.
In moving a vote of thanks to the Minister, Mr Alex Prosser expressed the thanks of the community to Mr Wise, particularly as he was a busy Minister, who besides his duties in that capacity had to attend to the wants of an electorate which stretched from Carnarvon to Wyndham. He congratulated the Katanning Butter Factory Company on starting the ball rolling in the establishment of a butter factory, and the splendid plant which had been erected. On behalf of the board he promised careful and sympathetic attention to any requests which might be made and wished the Company every success.

DIRECTOR’S REMARKS.
Mr Gus. Mengler, Mayor of Claremont, and Director of the Company, who was introduced by the Hon. H. V. Piesse, M.L.C., said that the factory could never hope to. achieve success without the co-operation of cream producers. It was necessary to have regular and adequate supplies of cream of good quality, recently two trial consignments of butter from the Katanning factory had been despatched to Perth, and the product had proved one of the best quality ever, manufactured in the State.

A consistent improvement was noted in the butter made in Western Australia during the past three years. The time was rapidly approaching when the State would not have to import butter from Eastern States during the off season, as the locally made product would be of a quality which could be cold stored during the bounteous period and released during the period of deficiency. Due to the modern and efficient plant installed by the Katanning factory, butter of this special keeping type would be an accomplished fact.

Concluding, Mr. Mengler said it was the aim of his company to produce the best butter in the State, and he was confident this would be achieved.

The gathering then adjourned to the factory, where the Minister for Agriculture turned on the power switch which set the machinery in motion.

SOCIAL.
At the conclusion of the function a delectable afternoon tea was served upstairs, and everybody voted the opening something out of the ordinary. Also prior to or after the speech making biscuits and cheese (the latter the product of the Company’s factory at Balingup) were to be had, and a glass of good brew to wash it down. The cheese was of a really high standard, and there is no reason why citizens should not fully support and use this W.A. made article, which is procurable at all the stores.

KATANNING BUTTER FACTORY
DESCRIPTION OF PLANT.

Great Southern Herald
17 July, 1935

The plant of the Katanning Butter Factory is housed in the old wine cellars, which have been modified so greatly for their new purpose as to be quite unrecognisable. Built into the side of the hill, the original building gave access at two elevations, and this construction has been turned to special use by the new occupiers – on the northern, or upper, side, there is a waggon-high delivery platform from which will be delivered inwards all requirements, such as salt, boxes, wrapping paper, etc. and outwards, ice, skim-milk, which is delivered from an overhead pipe, butter, and so on. On the southern, or lower, level, arc the entrances to the machinery rooms, butter-making plant and cream receiving depot.

The office is on this level, where cream tests are made, weights checked, and the many functions of business in connection with a butter factory carried out.

The plant, as described by the company’s engineer (Mr. Peterkin), appears to be the last word in modern butler and ice-making machinery. A steam boiler provides steam for heating the cream as it passes through the neutraliser and vacreator, pasturisation and cleansing purposes.

The butter making plant itself is operated by large electric motors from power supplied by the Katanning Flour Mills, and comprises large wooden troughs, steam heated, for neutralising the acid in the cream; the vacreator, in which the cream is broken into particles and cleansed of all impurities and taints; a fin cooler, which reduces the temperature of the treated cream and solidifies it; a huge holding vat, in which the cream is retained pending churning; and two large churns, which between them can turn out half-a-ton of butter at a churning. When the making process is ended, the butter passes to a press, where it is moulded for boxing or wrapping up in single pound, pats. A 10-ton refrigerator and a 30cwt. ice making plant complete the equipment.

KATANNING BUTTER
An Appeal for Fair Play

Great Southern Herald
21 June 1939 – P3

Readers’ attention is drawn to an advertisement (below) in connection with supplying cream to the Katanning factory and using butter from our own factory. A request has been made to every householder in Katanning to ask for Katanning butter and to see that it is properly wrapped in a Katanning wrapper.

In obtaining Katanning butter you are assisting the producers in your own district, and they are the people to whom we look for the success of our town. Katanning Butter is considered, by those capable of judging it, equal to the best butter manufactured in Western Australia.

The texture of Katanning butter is outstanding on account of the hard fats. It is manufactured under most modern and hygienic conditions and, on account of the absence of rank growth in our pastures, contains no strong feed flavours. The feed flavours in Western Australian butters are one of the great difficulties that manufacturers have to contend with.

The factory deserves a fuller support of everybody in our district. It is a great asset to the district, not only on account of its convenience to local traders but also for the amount of ready money that it is distributing in this district. Producers in the Katanning area receive approximately £2,050 a month for the cream they deliver, and the company assists Katanning by payments of £70 a year for water, £200 a year for electric current, £250 a year for the purchase of goods and produce, while £1,000 a year is paid in wages for the staff at the Katanning factory, as well as municipal and road rates, registration of motor cars and truck. The producers have invested in Katanning over £5,000 for the erection of a factory and the purchase of land.

The public very often has a habit of decrying its own local goods on account of quality. This should not be the case in Katanning, as the Katanning butter is readily sold in Perth and Kalgoorlie, and it can be hardly argued that the people of Perth and Kalgoorlie have an inferior palate to the householders of Katanning.

The local factory butter is obtainable at all leading stores, and we hope that the people of Katanning will show their loyalty to their own district and to the development of their own town by insisting on being supplied with first-grade Katanning butter.

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