WELLINGTON NEWS

Hokitika Guardian, 26 January 1927, Page 4

WELLINGTON NEWS

THE TIMBER INDUSTRY

(Special to " Guardian.”) WELLINGTON'. January 24. Tlie timber industry of N'ew Zealand is said to lie languishing, and a deputalion Irom the Labour Party waited upon t.lie Governnicm last week and m|iiested the appointment of a I’oyal <’oiiiinissio ll to infinite into the working of the industry. The Labour Party has interested itself in this matter not from any altruistic motives hut heeae.se it is good advertising for the party. .Mr W. Nash, who has heen a candidate for the Ilutt constituency on two occasions and has heen selected hy tin? Labour Party to make a third effort for that seat, said that the industry was menaced hy the largo importations of timber which were being made. Tt was well known that many of the sawmill.-, throughout the nominion had closed down indefinitely in order to allow of surplus steaks being cleared, and if the mills closed down about 30.001) people would he affected. The .sawmillers wanted the duty on imported timbers increased but this was opposed by the timber merchants, and it may he safely said it is also opposed by The people. One of the urgent needs of the moment is more housing accommodation, and the Labour Party lias been clamouring about this. Not only does the country stand in need of more dwelling houses but requires to have those houses built at a minimum cost. At one time a four-roomed bouse cost between MOO and CIOO. but now stub a dwelling costs between, £BOO and 11000, and the workmanship is not as good as it used to he. Carpenters, plumbers, bricklayers, briekmakers, builders, timber merchants and architects all want a bigger share of the plunder, and the unfortunate owner cr occupant of the house has to pay. N'o working man on a wage of C-I oil'd per week can a (Ford to pay £IOOO io 11200 for his cottage and pay Ins way. The Government cannot escape t ensure in this matter, for the policy of lending up to !>d per cent of the value has played into the hands of a. whole army of exploiters. The effect of placing an increased duty on imported timbers would he to give our local sawmillers something in the nature of a monopoly. The prices would immediately rise to cover the amount of the increased duty, but of course it is possible that the exporters of foreign timbers would cut their prices and still enable importers to undersell the local product.

An increased duty on timbers will benefit a minority and penalise the majority cf the people, for after all there are only ,‘IO.OOO engaged in the timber industry. The economic aspect of the tariff is never considered, hut cadi section is actuated hy the most s, lfisli motives. The menace to the industry apart from the alleged menace of imported timbers is probably largely due to uneconomical and ineffi-

cient methods. Ihe enormous proportion of wn.-de between the mill and the consumer. and this is admitted but no effort is being made to get rid of tilie menace. The Labour Party asked for a Royal Commission which the Government seems unlikely to grant, but in any case should such a commission be set up its investigations would he worthless if they are to he made in camera. !l won id he interesting to the public- to know how the rebates arc worked, how many exploiters receive cuts out of the timber required for a house, what, are the over-riding profits of several of the ligure-heads :n Llie building trade, li all these facts could be given to the public; llieu it is prob-i able that it- " ill he found that timber | prices are artificially kept at a high’ point through illegitimate profits. Tins; count! v wants (bean timber and other j cheap building material, for the cost of i building operations must be reduced. Here is a big economic- problem which those interested in the trade as well as the Government Refuse to facie. The Ac ting-Prime .Minister in reply to the deputation said that officers of the Department of Industries and Commerce had been at work some time investigating the hooks of the sawmillers in order to see how the industry could bo helped, in the meantime the sawmills as -Mnniaku are to be closed down at the end of the financial year. Probably the Government lias completed itsj building schemes, or is abandoning mem, or it may he that the Treasury, which realises the urgent need for economy, is forcing the pace. This year will force to the front many economic: problems that must he solved. The errors committed during the first three or four years of the post-war period, like chickens, arc coming home to ( roost.