KAURI GUM

Dominion, Volume 15, Issue 40, 10 November 1921, Page 6

KAURI GUM

REPORT OF THE COMMISSION EXPORT TAX PROPOSED \ The report of the Kauri Gum Commission was presented, to the House of Representatives yesterday, and was dis-. cussed at some length. The report is a. very large document, containing a mas» of detailed comment and recommendations. It makes proposals for the licensing of diggers, and the grading of gum. The most important recommendation is that an export tax shall be imposed upon kauri gum in order to provide revenue for tho_ bodies, and for the scientific investigation of problems connected with the extraction and utilisation of gum. The commissioners point out that although much money has been spent on investigation already there has been lack of co-ordination betideen file scientists and the practical men. They propose that a grant shall be made to Auckland University for the study of the gum industry. When the report was presented, Mr. F. N. Bartram (Grey Lynn) complained that the gum digge*rs were not adequately represented on the commission, and were not consulted in regard to the. order of reference. The gum lands should not be allowed to fall into the hands of speculators and company promoters to the detriment of the * gum worker's. He declared that-the companies were really alter the big gum, and that the chip-saving machinery was so much camouflage. Mr. T. W. Rhodes (Thames) thought that sufficient attention had not been paid to the gum lands of the East Coast. The individual digger should be encouraged rather than the company. Mr V. H. Reed (Bay of Islands) said he had warned the Government before of the tendency to allow large areas to be taken up, thus prejudicing the individual digger, and reducing the power of the fields to relieve unemployment. He strongly,.opposed the proposed export tax, which could not be passed on by the digger. Hon. J. G. Coates (Kaipara) said that when leases were granted to companies it had been understood that a flourishijo industry was to be established. The Government had power to terminate leases, and he thought the interests of the diggers were being guarded. He believed that a small rise in price would cause the export"of gum to be greater than ever before. After further discussfbn, the Minister of Lands said the experiments made by companies in the kauri peat swamps bad been of great value. He would not "hesitate to cancel leases if they were not used. The Government was not committed to the export tax, which seemed the easiest way of collecting money for the local bodies. The Government had no iiilention of aiding speculators. The commission proposes that a tax of 1 per cent, on the declared f.o.b. value shall be imposed on all kauri gum exported from New Zealand. It proposes also that a royalty of 4d. in the «£1 shall be charged on all gum obtained from Crown land or gum reserves, and that the revenue derived from this source shall Ire allocated equitably among the local bodies in the gum districts. ARBITRARILY FIXED? PRICES FOR NEW ZEALAND MEAT. “Is it a fact that the wholesale Meat Trade Federation in London, which is really the headquarters of the ‘big five’ and others interested in meat trusts, meets every morning in London and fixes arbitrarily the price the New Zealanders shall receive for their meat with scores of retail traders; and is it not time that steps were taken to stop the system by which producers are deprived of the benefit of a fair market price for their produce?” These two questions were recently addressed to the Minister of Agriculture (the Hon. W. Nosworthy) by the Leader of the Opposition (Mr. T. M. Wilford). The Minister’s reply was among the “answers to questions” circulated yesterday. It was as follows:—“This matter was inquired into by a sub-committee appointed by the Standing Committee oit Trusts in Great Britain last year. This sub-committee reported as follows: '(a) There is at least a tacit understanding between the American meat companies to respect each other’s position whidhr secures to them all the economic advantages of an active combination, and all questions affecting the strategy of the trade as a w>.*» are 'settled in conference between the heads of the businesses in Chicago, (b) While the trade is ' of opinion that it is impossible to control prices at Smithfield for more than a few days, the American companies have attempted to fix a minimum price for meat up to a particular hour of the day; they have regulated the quantities of meat which were to be put on the market weekly, and it has been their practice to fix the prices for their country sales on the basis of the London prices, (c). No complaint was made of unfair trading on the part of the American companies beyond severe cutting of prices for the purpose of developing trade or clearing surplus stocks. Complaints were made that the River Plate meat companies (British, American, and Argentine) have been in a preferential position under control compared with British traders in Home and colonial meat, but this was only a temporary incident of war conditions.’ “This matter has already been discussed in London with the Imperial authorities, as it is fully realised that the best interests of New Zealand producers demand an overseas market untrammelled by operations capable of restricting prices and preventing healthy market competition." TARIFF PROPOSALS NO SELECT COMMITTEE. Asked by Sir John Luke whether he proposed to set up a committee to consider the tariff the Prime Minister replied in the negative. The Government, he said, proposed to follow the usual custom and have matters connected with-the tariff revision dealt with on tho floor of the House. He wished to assure members that full opportunities would be given them of expressing their opinions on every item of the tariff. BOYS’ OBSERVATORY “Has the Minister of Education been advised that the observatory at the Wellington Boys’ College grounds has been dismantled to allow the necessary excavation for the proposed Girls’ College to proceed; and, if so, will he, according to promise, make provision for the housing of the exhibits from the obsematorv?” asked 51?. R. A. Wright (Wellington Suburbs) in the House recently. The Minister of Education yesterday replied: “A grant has been approved for the removal of tho telescope, etc., from the existing observatory, and the matter of a grant for the erection of a new building will be placed before Cabinet at an early date.” DOUBTimrIIOMAS “Your name's Thomas,” was the remark of the Prime Minister last night when the Leader of the Opposition declared that he did not know where certain expected revenue was coming from. The Scriptural allusion provided some laughter. Tho Native Trustee Amendment Bill, which was introduced in the House of Representatives yesterday, is a machinery measure, giving necessary administrative powers to the Native Trustee.