WELLINGTON NEWS

Hokitika Guardian, 28 April 1925, Page 4

WELLINGTON NEWS

A LOST. MARKET. (Special to “Guardiwi”.) WELLINGTON, April 25. .Mr Arthur Seed, Secretary of the New Zealand Sawmillers’ Association, is somewhat angered at the statement that the Swedish butter and fruit boxes which are now being extensively used in New Zealand are superior to the Dominion products, even if that he granted the case is still a strong one for the foreign-made article. If it is not so good as the local product the Swedish boxes are serviceable, and they are cheap. The dairy farmer can get no more for his butter by using the alleged superior New Zealand made boxes, hut he points out that the foreign competition will not help to conserve the timber supplies for future uses, for millers must go on cutting to meet the demand for hotter class timber, and (lie lower class article which would ordinarily go to the making of butter boxes, must inevitably become so imirli waste as there would be no local demand for it. This is not quite a fair statement of the case. White pine can he exported to Australia in the log and there* is no reason why that should not he done, instead of treating this class of timber as waste. In trying to find a reason why New Zealand made boxes cannot compete with the Swedish goods Mr Seed shows that the industry in Sweden is worked on scientific lines and in New Zealand it is worked in any old way as it pleases the individual cutter. The forests in Sweden are worked on afforestation lines and the timber crop was a recurring one. The logging was done in winter as an entirely separate undertaking I mill the milling, and the box manufacturers bought their logs from the logging concerns, which delivered the goods by coasting thorn down on the tide water in the spring freshes. In that way the actual sawmills were set down in places ■ conveniently situated for bringing the logs down by water, and they were thus on a permanent basis. Compared with

this New Zealand sawmills are at a disadvantage (declares Mr Seed) as thev were only productively estimated

on the number of years the hush in

their respective areas was available and all capital expenditure on build

jugs, plants, cottages, tramways, etc., had to be recouped before any returns

could properly be called profits. Ihe fact of the matter is that the industry

had been shielded so far from foreign

competition and has not thought ol applving science in any wav. the slogan of each individual miller being “ It will serve for my time.” The timber men

must endeavour to assimilate this hard fact. The dairymen of New Zealand must sell their produce in an open mar-

ket and against keen competition and

thev must he free to buy their require

incuts in an open market. The dairymen to meet the competition have had to make full use of science and they have a right to expect that others will do the same. The allegation that New Zealand butter boxes are superior to Swedish cuts no ice. the Diet remains that Swedish made boxes serve their purpose quite satisfactorily and arc cheaper, and the cheapness adds a little to the dairymen’s profit and increases his chances of competing successfully with the butter produced in Denmark, Argentine, the Balkan States and elsewhere.

LABOUR'S LAND POLK'V. "When the Labour conference which sat here at Paster sketched its Land Policy, the “ Evening Post ” in an editorial submitted an example which

might occur through the State being the sole purchaser. The ease was this: “Supppose lor example A s land P valued in £IO2O at LIT per acre because wool prices are low and communications poor. Alter seven veins another valuation is made. In tie meantime roads and railways have been built and it is found Unit the land is suitable I r dairying, so il is valued at IT jo. The owner decides then to transfer to the State —at Clo or L'-io.' To this Mr V,'. Nash, Secretary to the Now Zealand Labour Party, and who is certain to be the Eiuunro Minister in the first Labour Government formed in New Zealand, replies that presuming tiie valuation of .Vs land to Imve been nvicle in 11)25 at (Mo per acre and that railways and roads are subsequently l.nilt, which adds C2O to the valuation. 11l (s'ay 1932 the land is valued at CAT per acre, the proportion of the added value, L‘2(l per acre, due to improvements.made by the occupier would , he credited to him together with the Clo per acre as at the original valuation, the increase in unimproved value clue to the railways and roads, being reserved for the community. The. ciMiniinmentiulis are improved by the provision ot railways and better roads. In so far as the community builds the railways anil roads, the increased value of the land is clue to the community. If the roads are built out of special rates cm particular land, and these rates were paid by the occupiers, then the added value due to the road or roads, would he treated as improvements, and would ho credited to the retiring occupiers at the time of transfer. Mr Nash contends that under the l abour Party’s system, there would he no room for the speculator. He renders no service to the community and his loss would he a gain to the coininanity. The scheme looks very pretty; on paper hut it is finance that would make it look silly in practice.