STATE LOANS

Evening Post, Volume CIX, Issue 46, 24 February 1930, Page 10

STATE LOANS

RESTRICTION URGED

USE OF .\'EW ZEALAND TIMBER

As part of a general campaign urging the use of New Zealand goods, the conference of presidents of the various Manufacturers' Associations in the Dominion to-day adopted the following mo-

- "That the federation be -requested to immediately urge upon Government, the necessity to adopt and announce as a policy measure in respect of all State advances to workers y.t settlers or loans from any State institution the following conditions:

"That no such advances or loans shall be available for building or for any purpose wherein the purchase of materials or articles of manufacture are involved unless such materials or articles are the product of New Zealand and of New Zealand workers.

"Provided, however, that'the New Zealand product must be comparable with any available imported substitute in merit for durability, utility (and where such apply) workmanship and design; and .provided.that such effect shall" not apply in such cases wherein it can bo definitely proven'-by the. borrower that any required material or article, "is uu procurable of New Zealand origin, or that the cost of the New Zealand product (of equivalent qualities) is so far in excess of that of the imported product as to entail a substantial addition to the ultimate cost of the building or undertaking involved.

"Provided, further, that in all cases where a. decision is reached that New Zealand products are not effectively available as aforesaid, the materials or articles to be used shall be of Empire origin, and that no products of foreign origin shall be permitted unless it is conclusively proved that the required materials or articles cannot be drawn firstly from the products of New Zealand origin, or secondly from products of Empire origin." ' \

'. Tu'submitting-; the motion (with the exception of the last proviso, which was included as an amendment), Mr. Arthur Seed, on behalf of the Wellington Manufacturers' Association, said that in view of the acute position rospeeting unemployment in the Dominion the*time liad arrived when a halt should be called in: the process .whereby the State borrowed money from abroad and loaned it to individuals of the community at a cheap rate of interest for the purpose (in large part) of sending the money out of the country again for commodities that could well be produced within the Dominion.

"In actual practice," said Mr. Seed, "a very considerable proportion of the moneys being advanced by the State for building, and possibly other purposes, is being sent out of the country to support foreigners, without justifiable reason or excuse; whereas it could well be retained within New Zealand to give work to , our' unemployed. It is truly a tragic state of affairs. In respect of building activities under State Advances, some of the commodities which could well be entirely of Dominion production are timber, nails, paint, plumbers' fittings, baths, lavatory and bathroom fittings, window fasteners, doors, kitchen fittings, stoves, or ranges (electric, gas, or coal), etc., etc. Of last year's- huge timber imports, 29 million super feet were building softwoods, much of which was used under State Advances). Had this quantity of New Zealand timber been used instead, its production would have provided employment for 784 timber workers alone for 'the whole year (exclusive of the wide employment their added spending power would have provided), and their wages would have been kept to circulate within the Dominion. ■ Surely, .if tlie individuals who have the spending of State, Advances cannot see that even their own welfare is detrimentally affected by . not specifying and buying Now Zealand materials and articles, then- tho State itself should see to it that the money is used to tho utmost limit in directions that will create employment within the Dominion." Tho motion was generally supported (and adopted unanimously.