"IN THE CLEFT STICK."

Dominion, Volume 7, Issue 2198, 10 July 1914, Page 4

"IN THE CLEFT STICK."

PROTECTION & DEAR UyiNG. A DEADLOCK POSITION. UNIONS AND THE. TARIFF. _ Some aspects of the protection of local industries by Customs duties and the bearing of-this policy upon the problem cf the cost of living, were interestingly dealt with-by a deputation, representing the Timber Workers' Federation and the Engine Drivers' Federation, which interviewed tho Hon. F. M. B. Fisher (Minister of. Customs) yesterday. Mr. C. F. Meyer (Canterbury),' a representative of the Timber Workers' Federation, raised the question of the tariff protection. on joinery, , arid contended that it: was insufficient. Ho instanced the importation of foreign doors, and said that it had ■ ■ already reached such proportions that a number of door-making.machines in this country were lying .jdle. Mr. Meyer submitted to. the M;nister the following figures, showing the rapid, increase .in importations of foreign joinery and timber at Dunedhl from.one year.to -;'ahother:— . ... ..: . . "•"- .;. ', '■'■.' '■':■■.. .-'■■:-. /Year- 1 .--.Year : .' .'. . . :. .'.'"'... • ended , ; *.-' ended , ..' V '. .' ■'■'■■ March ; March " ■ 31,1912. 31,1913. - ■'■'• .. ■' Value. Value. ' ■■■'■.■■■■' ' '. ". '■ '£"- ■.■''■:': £ - ; Swedish doors (duty ■ . ■ ■ . ' 30 per cent. ... 1,328 2,264 Swedish mouldings ' ' ! ■*~- '•.-■'■ ; . : ;■; (duty 20 per ■ '- . <■:. ■';:' cent.) ■'.. ' ■ ■■• 21 ..'"■■ 3,029 Swedish; timber ....... 6,667 ; 2,067 Oregon timber .;.:...„ 16,845 ' '17,361Oregoii :laths and •'. - .■■''' '.! ;. 6hingles v ;'.....'.... ■955,Notstated : ':■/ -;■'■■ Unfair Competition, ,) -f: . Mr.- Meyer submitted that .the ; duty. of 30 per cent.' on' foreign' doors' should bo increased to 50 per cent. The importing he said, was carried on by. agents, who vsimply ; had offices and acted'as middlemen,- selling the , doors, to. the-retailers.-.I .This was not fair, competition with those/ who .were endeavouring to build.'up: an industry '■ m. the Dominion. ;; Tho impbrters. were established, in Dunedih,'and their'opera-: tions , already extended as'far north as, Tjmaru. No : doubt"they would sooh;bo right 'thrpugh the' Dominion,, aiid; a large number of-, tradesmen' would: be , thrown put of work.'.He suggested that ■the Government should assist the estabV 'lishedihdiistry. The doors came.mostly; .from Sweden and Norway.' The agents in this trade were also importing mould-, ings'and window sashes. They had sent; Home the' pattern books -used: in New Zealand; and the mouldings were now being imported at a-rate which defied competition, , with , the ;result that machines were being closed , 'down; He admitted, that tho importation of. Oregon pine was necessary; but the menengaged in- the trade considered thatjan.additional duty'iliould be,levied on_ imported timber-in. sizes less'"than": ,12 inches by. 12 inches; or its' equivalent. Timber of this size would provide a considerable amount of work for men employed in this country. Mr. E. Pohlen (Auckland) said that oven laths were being imported, ready cut. Ho strongly supported the request advanced : by Mr. Meyer. Incompatible Requests. Mr. Fisher .'You will that nothing can bo done as far'as'the taiiff is concerned without biinging the tariff before tho House, and theso questions aro not likely to bo dealt with this ycai. I would like to point out to jbu, 'as re-

presentativcs of unions, that yo ,l nuo ' the Government in a cleft stick when ' you aek us to deal with the question ofthe reduction of the cost of Jiving and yet each of you conic along—not your unions only, but others—and ask for further protection. You will realise that . wo can't go on increasing duties 30, 40, or 50 per 'cent.—somo trades ask for.':, more than 50 per cent.—and also reduce the cost of', living;.. Youcan'see' that '"■'.' the two tilings are not reconcilalilo in any way. You have got to make up:' your' minds that if you are going \t.o • boost industries by increasing Customs-..' duties you are going to boost tho cost of living. It may be the fortuno.of the / Labour Party some day to como\ into power, and it may find.that , if it wants ' to boost industries it cannot carry out " its pledge to reduce the cost of living. That is tho difficulty in whish the Goveernment is placed. You are not the only trade that is asking for further protection. Somo trades have asked for a hundred per cent, increase in the duty protecting ,their industry: : The Cost of Living Commission, the Minister added, had even gone a long- way in the . direction of suggesting that we should : gradually push our industries overBoard. ■■'■.. : :■ . ,' ■';/.'■ •■ Mr. Meyer said that, the foreign doors -: ■ he had. mentioned were in the nature" of : fancy imports, and people who went in. for them should bo .''able to pay for v them. As good doors were produced ■"' here. .:.- .■~ '■ ■' ■'".■ '.. ,■/...■■ ':.*■ .' , • The- Minister pointed ,, out that the •: imported doors were carried over 1-3,000 ■ ■ ; ■miles of sea and paid a duty of 30 per ; cent. This should be sufficient to pro- , ';.-' tect:'.the local' industry.' ■■:'■ ' ■ ■ ';. -. ' :.;> Mr. Meyer: Yes; but it doesn't seeni". .to'.work out accordingly..; ■ ■•■ v -~ ':--: : -. The-Minister: Can you. tell me why- ;'■■■ ■it does not workout?' ■ ■■'•-.:■. ■ ■ ■'•■ ' Mr. Phelan drew a comparison' be- ■'■ tween the. importation of foreign goods l '■•'.' and. the shipping Home of New Zealand butter'. ■ ..■•" ;' ■•:);■■ ■: ■};■. -, ■--.■ ;'.. ■•.'.■; _■•' Mr. Read suggested that the factor- , les abroad were more up to date. ' • •. Mr. Phelan: Cheap labour. ; ,-■ ,Mr.'.Bead: Yes, eight, ten,' and • fit-' .teen■shillings a week. ' .-.-.-x.-:' 1 :-;. ; '~.-. 7 The Cost of the. Honie, ■ ' ■ Mri Fisher:: These doors,and saßhos go.into the ordinary homo?!.;.:' '. -.•;.;!■■ ■;.._ Mr. Meyer: Yes; if they are cheaper:'.„■ than.those produced' in this country. . ■■ Mr._ Fisher: Therefore'-an increased v duty increases the cost.of tho hbnio aiid lncfeases rent.. .The same , question,.ho remarkedj; had arisen in regard to corrugated iron., ;. .-.-.:•..• ;' .-..:..'■ ;■; \ ,■;. ■■■ ; ~ Mr. Meyer said that corrugated iron . was,in a..somewhat different position sincejit'j-iras ,notj like joinery, produced this ■country; -c-v ;• ■; : - v /.. ; ' Mr. Fisher: Oh, yes;' propose to take'i v .the duty;off .corrugated iron' and. there.. ': will! at once be a cry about men losing"; , ' their'employment;:-' '■■'; : - : :,.-■-■;. ■ . v'. Mi'i.Pfielaii: J know there's tliat dif-j.■" addedthatpersonally ho pre- ■' f erred .to buy the. local article, ,'eyeii. if it -■■: ■ cost more than the imported article. ■ V - Mr: Fisher: ,Quite so, : but unfqrtunl' : ately there are people who' will buy a ; , packet.of cigarettes from'a. Chinaman, for fivepence rather '.than: pay. , sixpence .*:• to th 4 man next .'door..: If; they ■ could, get Nevv Zealand people to buy New, Zealand, goods- their W difficulties /•"• would be solved, buMhe i actual AVas', that: many Zealand, ihanilfac- ■ turers'.had to 'adopt;foreign brands'in ,-: order to sell their.gqods;' "'.'■.''•. ':.'■<■:. i Mr. PhelaniTliat'should.be'stopped: '; ; Mr. Fisher: But they say: "Don't stop it; if you do yoii will decrease the . amount of trade that is done here, and ' thiow men. oiit ol employnieut." ,■;.'.'■'-' tAftcr soma further',talk the deputa- V tion withdrbw.VY'. '• '' ; 'Kyj.'. .■; ■'. '-. ■..:•'■.