shares of the cream.

[Illustration: Jersey Cows.]

Of late, a number of co-operative factories run by the farmers have
started, and proved very successful, enabling their shareholders to get
a higher price for their cream than hitherto. They are admirably
managed, are essentially popular institutions, and have done splendid
work.

The farmers establish, manage, and work them, and the profits, instead
of going into the pockets of the middlemen, are distributed among the
shareholders.

State Aid to Co-operative Factories.

Under a vote by Parliament the State makes advances to farmers to
establish co-operative dairy factories. The loans extend over a period
of fourteen years, and 4 per cent. interest is charged.

Condensed Milk.

The Preserved and Condensed Milk Industry promises to become important
in the near future. Six factories are now in operation.

Messrs. Nestle and Co., the world-renowned firm, have invested
$480,000.00 in their Preserved Milk Industry in Queensland. It speaks
well for a country when an old-world firm such as this is prepared to
invest so largely.

SOUTH AUSTRALIA.

A large area of South Australia is eminently adapted to successful
dairying, and while the summer is dry, rendering it necessary to make
provision for succulent feed for several months, the temperate nature of
the climate enables the dairyman to keep his cows in the open right
through the year, the natural shelter in timber country being
sufficient, except on a limited number of days of extreme wet and cold.
Stall feeding for weeks at a time is unknown; the necessary shelter
sheds can be cheaply provided, while the labour of feeding is, under
these conditions, reduced to a minimum. In the northern districts
conditions are not so favourable as in the south, but even here dairying
can be profitably carried on; the fact that land is much cheaper
compensates for the shorter period during which the natural herbage
supplies practically all the feed required. In some of the driest of our
farming areas dairying has largely replaced wheat-growing, and, although
the yield per cow is naturally not so high as under more favourable
conditions, still low rents and large areas of natural pasture enable
the farmer to make a fair profit.

[Illustration: The Cream Cart, North Coast, N.S.W.]

The Dairy Industry, though of considerable magnitude, has not made as
much progress as was anticipated. This is probably due to the fa