The early records of the Maungaturoto Co-operative Dairy Coy. were lost in the fire which destroyed the residence of Mr W. J.  Bailey.  We have, however, been lent a manuscript entitled "Account of the Initiation and Early Proceedings of the Maungaturoto Co-operative Dairy Coy., by W. J. Bailey, and much of the following information is abridged from this document.  Mt Bailey was a director and also the secretary of the Company from the beginning and for many years thereafter.  He was one of the most respected men in the settlement, and his genial diplomacy did much to smooth over the difficulties of the early years.  He made be considered one of the "Grand Old Men" of the local dairy industry - there were others of the same to be put on record.

To quote Mr Bailey:

"For several years the idea of forming a Dairy Company had been mooted and discussed, but no serious effort had been made.  This was, perhaps, fortunate, as the enterprise, when entered upon, looked for some time, ominously in the advance of the dairy industry of the district."

On June 3, 1901, Mr R. R. McKay, secretary of the Waipu Co-operative Dairy Company, which was in operation, wrote to Mr. Tom Huband suggesting a creamery in Maungaturoto as an extension of his company.

This led to a public meeting, held on June 27th, 1901, which was presided over by Mr. Bailey and attended by two representatives of the Waipu Company.

The meeting appointed Messrs. Bailey and Huband to canvass the district.  This exploration showed a disposition towards forming a local dairy company.

Thereafter another public meeting was held to consider the alternative proposals, viz.:

1. Supplying a creamery for the Waipu Company
2. Forming a new company in the district.

Mr Henry Cullen had interested an Auckland merchant Mr. A. J. Entrican, in the question at issue, and this gentleman attended the meeting, expressing his confident assurance of the success of a local dairy company. As put by Mr. Bailey: "He infused such enthusiasm and confidence into the minds of all present - that the project became concrete from this date."

The meeting finally decided that a Co-operative Dairy Company be formed, the following being elected directed:

• J. F. Knight (Chairman)
• H. Cullen
• R. G. Howard
• H. Flower
• W. Cullen
• W. J. Bailey (Secretary)

Thus the birthday of the Maungaturoto Co-operative Dairy Co. is on record - June 27 1901.

The provisional Board's first problem was to decide and secure a suitable site for the prospective factory.  A majority of members desired a central location, but a survey disclosed that nowhere but at the river bank was there a sufficiency of water supply.  The decision was therefore made to locate at the river and on the Brynderwyn Estate.

Mr Edwin Ford, part owner and manager of the Brynderwyn Estate, now satisfied that the factory would be built on the river, in his opinion, the only feasible location for its water requirements, implemented his promise to join the company with a supply from one hundred cows.

This led to a change in the Directorate, Mr. Knight willingly resigned the Chairmanship in favour of Mr. Ford, a development which greatly encouraged  the promoters.

Again quoting the Secretary's manuscript:

"This practically ensured the floating and future success of the Company, inasmuch as it secured the co-operation of the most useful man the enterprise could have at the head of its affairs - from this time, business was pushed on rapidly."

At the invitation of the Board , Mr. David McGowan of the Dairy Division, visited the district on two occasions; the building plan submitted by the Division was considered not quite suitable.  Mr. McGowan undertook to draw out an amended sketch and to instruct Messrs. Mitchell and Watt to prepare the final plans and specifications.

The Directors "had been looking forward to getting all work required in the way of building, etc., done by people in the district and, and far as possible, by those interested in the undertaking."

There was, therefore, consternation when newspaper advertisements called for tenders - the architects having exceeded their instructions.

Eventually all tenders were declined, the lowest tenderer, Mr. Walter Rowsell, compensated by P5 (Five Pounds), the architects account of P5/17/6 duly paid.

Meantime, the energetic Chairman, Mr. Ford, had journeyed to Auckland, succeeding in arranging with his associations of the Brynderwyn Estate for ten acres of land on advantageous terms which were duly accepted.

At this stage the Board approached the Bank of Australasia for the essential finance.  Mr Bailey's record is too interesting to omit:

"Negotiations were of a harassing description to say the least: however after much correspondence and misunderstandings, terms were arranged for an overdraft of  P2000 (two thousand pounds), security being the joint and several guarantee of the promoters and a mortgage on the Company's buildings and plant.  It will be seen that the guarantors had little to their credit beyond their confidence in the success of the undertaking.  The names on the guarantee were:

• E. Ford
• H. Cullen
• R .J. Howard
• J. Knight
• A. H. Curtis
• H. Flower
• W. J. Bailey

More worry however, awaited our seven courageous Board Members, unused to big business, but who had pledged all they had to the enterprise, for a few days after the contract for the dairy plant was signed, they had to face a new hurdle:

"I received a letter from the Bank intimating that they were dissatisfied and could not undertake to finance the Company!  Other business had gone more or less crooked and I began to think the formation of a Dairy Company was anything but exhilarating - I wrote a lengthy letter to the Bank and Mr. Ford went to town, the final result being that confidence in high quarters was restored."

The Bank of Australasia having finally confirmed the overdraft arrangement, the Board was enabled to proceed with its building plan.

Mr. Arthur Forrester of Whakapirau was engaged as building foreman and local men were engaged.  It is noted that the pay for labourers was one shilling an hour.

A contract for the dairy plant, steam driven, was entered into with Messrs J. B. MacEwen & Coy.

These major undertakings were completed without error or mischance and by mid-December, the new Company was possessed of an up-to-date factory, well planned, well built of the best Kauri timber and equipped with the best machinery of that period - it was the showplace of the district.

Meantime the suppliers had been very busy erecting stockyards and milking sheds and, a worse difficulty, securing the promised cows.

At this date, good milking stock was not to he had here or in any of the neighbouring settlements and the only recourse was to select likely looking milkers from the beef herds.  Mr. Charles Ford humorously recalls the picture of around a hundred wild cows being broken in to milk on Brynderwyn - says it was a real wild and woolly west show.

There had been an unfortunate delay in building operations and it was mid December before butter could be made.

Mr. Edwin Ford was the first supplier; on 16th December, he delivered the first can of milk from the said half-wild cows.  The official opening was on 29th December, 1902.