GOLD-MINING IN AUSTRALIA.

Hokitika Guardian, 12 June 1923, Page 3

GOLD-MINING IN AUSTRALIA.

GREAT INDUSTRY LANGUISHES. SYDNIiY, dune 1. Representations which have been made to the Commonwealth Government show that unless assistance lor the gold mining industry of West Australia is speedily forthcoming it is m danger of extinction. It. has been urged that the industry has never recovered from the crippling of the war. during which it languished under a fixed price, of Cl Is ILUI per line ounce from 1014 to 191.4, notwithstanding mounting costs of production and greatly increased taxation. In West Australia companies such as the Golden Horseshoe and the Great Boulder, which before the war paid practically no taxation, were taxed during the war up to 8 ami 10 per cent. Mines which were just making cuds meet, or paying small dividends before the war, were now closed down, and towns winch formerly had a population of from 1000 to 1500 people had died out. The compulsory purchase of gold at the prewar price, and the embargo on export It is stated meant a loss averaging 5 p.-r cent of the price obtained. Tins was shown by the prices realised on the world’s markets when the embargo was lifted. Now that the gold premium was vanishing, only the eyes of the mines could he worked profitably. It is asked why the Government should not make ,a clear statement of the Commonwealth Rank’s profit .on the £10,000,009 worth of gold acquired

from AYcst Australia from August 1910, to February, 1919. If that were done’ those engaged would he content to leave it to the Government’s sense of fair play to decide that a share of that profit should he returned to the producers. Tf there was no direct cash profit it is contended that it is undeniable that, the acquisition of ihe gold has been of great benefit to lho eonuminity. Exemption of the industry in all its phases from direct taxation for the next four years, and a revision of the CirifF to permit,. Die free importation of mining machinery are asked for.' The Prime Minister (Mr Rrnce) has asked those engaged in the industry for other suggestions as to helo whicn the Government might give. He fears that it would he impracticable to give the proposed freedom from taxation and lie denies tint profits were ma'do by the Commonwealth Rank, as suggested. However, t'lie Government is anxious to preserve this great industry and will sympathetically consider any further proposals.