Failure of State Enterprises.

Hokitika Guardian, 4 January 1923, Page 4

Failure of State Enterprises.

NEW SOUTH WALES EXPERIENCE. SYDNEY, Dee. ID. If the same hesitation that has hem manifested in closing down the trawling industry had marked its establishment, New .South Wales would be a little richer than it is to-day. But now the indecision lias given place to definite announcement that the State trawlers, plant and equipment are to lie sold as soon as possible. The accumulated loss on tbe industry, since its establishment lour or five years ago. amounts to nearly £200,000. It has Find trial after trial to make good: indeed, the procession ol managers w :o have been given an opportunity to make tiie enterprise pay borders on the unique. The one and inevitable result has been the continual narration of losses year by year. Ihe climax canto when tile Public Service Board loported after exhaustive enquiry that it was quite impussible lor tbe industry to yield a profit oil tbe amount ol capital invested, and Dial even it the capital were written down to the present value iii lhe productive assets, the prospects of making any substantial profit were foo problematical to justify I lie risk (.1 1m s. The Slate timber yards are also to go. They have been an even greater drain 11 ]io 11 ihe taxpayer, the accumulated loss amounting lo £220,1’! 7. ft has belli argued that if they had been given away for nothing a Jew years ago the State to-day would have been far better oil’. If ilie State Government is going to adhere to its policy of getting rid of all unn-paying State enterprises it lias <n!l some distance io go.