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contributor to bring his butter twice a week in its granulated state, and that all butter not granulated, or of a secondary quality, should be refused at the packing-house, and should be returned to the producer or sold by the company at producer's risk, whichever might be desired. By this means all producers are made to exert themselves to manufacture an article of such a standard of quality as will be taken in at the packing-house. It thus becomes a matter of pecuniary interest to the settler to bring forward his butter in the best possible condition. This system of packing-houses has many advantages, and can be applied to many districts in New Zealand with, I believe, good results. The system is well worth attention in those parts of the colony where, on account of the ridgy and hilly nature of the land, the bad roads, and scattered population, the factory system is rendered impracticable. If practical lessons were given in those districts where those houses are established, and the directions presently to be given adhered to by the settler, together with strict attention on the part of those in charge, there is little doubt a good sample could be obtained. Of course, it cannot be expected that butter thus produced under such varying conditions can compare in quality with that manufactured in a creamery, to which milk is brought fresh from the cow, and where the best modern machinery is under control of a man of the highest skill, and possessing all the technical knowledge of his art. But by strict attention to the packing-house system in all its bearings a great advance would be made alike in the uniformity of the quality of the butter and in its marketable value. Having been repeatedly requested from various sources—principally from the North Island—to draw up a set of rules for the guidance of parties inaugurating this system, I cannot do better than give the following articles of association of the Pioneer Butter Company of Otago Peninsula, which were made up at the commencement of the present season, and which clearly bring out the manner I suggest those institutions should be conducted : — " Articles of Assqciation of the Pioneer Butter Company of Otago Peninsula. "Article I. —This association shall be known as the Pioneer Butter Company of Otago Peninsula, and is formed for the purpose of leasing the premises known as the Pioneer Cheesefactory of Otago Peninsula for the term of seven years, and for purchasing the plant of the butter company of 1888-89, and for salting and packing for export the surplus summer butter of the shareholders. "Article 2.— The business of this company shall be under the direction and control of a committee of not less than seven nor more than twelve, who shall appoint their own chairman, treasurer, and secretary, all of whom shall hold their respective offices one year, and until others are elected ; three to form a quorum at any of their meetings. "Article 3. —The annual meeting of this company shall be held at the packing-house in each year as soon as the returns of each season's business can be made up, due notice of the meeting to be given to the shareholders. At this meeting a committee, as authorised by Article No. 2, shall be elected, and all business connected with the company shall be lawfully transacted, each share being entitled to one vote. "Article 4. —At said annual meeting the committee shall make a report in writing of the financial condition of the company, showing all moneys received and expended by said committee. "Article 5. —The capital stock of this company shall be nominally £100, in shares of £1 10s. each, and one share only will be issued to each person joining this company ; and during the working of this company in each year a sum equal to one-seventh of the paid-up capital stock of the company will be charged to general expenses and paid equally to the shares. " Article 6. —All moneys paid by the treasurer shall be by the order of the committee, said order to be signed by the chairman. "Article 7. —The secretary shall keep a record of all the meetings of the company for the examination of shareholders, also a list of shareholders, and of all transfers of shares. "Article B. —The committee of this company shall be empowered to sell the butter here, or to export it to England or elsewhere, as they may deem "best in the interests of the subscribers. " Article 9. —All moneys shall be divided as they come to hand in proportion to the amount of produce of the different subscribers, after the proper proportion of expenses is deducted. " Article 10. —If, during any season, the committee are compelled to export the season's make to the English market or elsewhere, so that at least four months will elapse before any returns can be expected, to those who require it the committee will negotiate for an advance to the extent of 3d. or id. per pound on first-class butter, and the party or parties to whom such advance is made shall pay the interest and expenses incurred for such advance. "Article 11. —All butter received by this company shall be on the premises on the Tuesday and Friday mornings respectively of each week, between the hours of 7.50 a.m. and 8.30 a.m., and shall be churned the previous afternoon or night. "Article 12. —No butter shall be made for this company from the milk of any cow until fourteen days after she has calved. "Article 18. —For the purpose of making butter for this company the cream shall not remain on the milk in ordinary weather more than thirty-six hours, and in hot weather not more than twenty-four hours before creaming, and no cream shall be kept after creaming more than three days before churning, and the cream of one churning shall be in the cream-dish and well mixed at least twelve hours before churning. "Article 14. —A1l butter received by this company shall be brought in the granulated form. After it is churned and washed in this form, it shall be lifted on to a sheet of butter-muslin and spread thin on it to drain, the sheet of butter-muslin to be stretched across a grating or sheet of corrugated iron, to facilitate the draining. "Article 15. —The whole committee shall be inspectors to inspect all butter received by the company, and at least three of them shall be in attendance every time butter is received, the packer