THE RIGHT TO EXIST

Bay of Plenty Beacon, Volume 2, Issue 112, 19 January 1940, Page 5

THE RIGHT TO EXIST

PAPER MILLS CONTROVERSY FURTHER STATEMENT BY MANAGER IMPORTS STILL PERMITTED

"Is the New Zealand Covernment giving Ihe Whakatane Paper Mills. Ltd.. a square deal?" This question was raised by Mr H. H. Horroeks, the managing-director, in a statement to the press yesterday. Mr Horroeks stated that he was reliably informed that the Covernment was issuing licenses for further importations of board, notwithstanding the fact that the Whakatane Paper Mills pending the public inquiry promised by the Hon. D. G. Sullivan, was fulfilling orders at the price and on the terms fixed by the Price Tril)u nal. As importers of other goods arc being rationed for sterling on the grounds of national economy, and the public of Xew Zealand can conserve sterling to the extent of at least £:W0,0l)0 a year if the Whakatane Mills arc allowed lo continue operations, Mr Horroeks submitted that the latest development was designed to cripple the AVhnkatanc Paper Mills' operations at the expense of t,hose people unable to secure sterling and at the expense of Whakatane Mills shareholders.

"Our shareholders." added Mr Horrocks. ''are good fighters and only ask for a square deal under existing conditions. For the Price Tribunal

to peg prices at figures showing losses under existing wages awards and then, because of the absence of any protecting tariff, give boxmakers licenses to import certain boards at a figure below New Zealand cost production, is denying the industry the right to exist.

'"This action/' lie concluded, "is extremely difficult to reconcile with the oft-repeated statements of the Prime Minister that his Government is giving encouragement to the development of Xew Zealand industry"