BUSINESS PROBLEMS

Hokitika Guardian, 5 April 1928, Page 4

BUSINESS PROBLEMS

A USTRALIAN EFFORTS

As president of the Association of Chambers of Commerce in New Zealand. Air C'. Al. Bowden was a representative of the Dominion at the recent conference of Australian Chambers held in Hobart. In an interview with ‘‘The Rost,” Mr Bowden said the conference presented many matters oi interest to him in a general way only—such as the respective fields of taxation by the Commonwealth and the States and the constitution and operations of the Tariff Board—hut the majority of the subjects were those which are discussed venr by year in New Zealand. It is realised that the point of contact liein ecu tho primary and secondary industries. and their effect one oil the other, is a subject which must be studied. Transport is another vital problem, especially as regards road and rail. Immigration and unemployment, tho basic wage, child endowmeats, industrial relationships. Immunity of Government enterprises from taxation, were all to the fore; and the Navigation Act came in for a great deal of criticism and blame. Strong efforts were made to bring about the introduction of penny postage. but the remit was not adopted. Mr Bowden was impressed by the wonderful programme of entertainliioni. and the hospitality of the members of the Hobart Chamber.

“Being tli<‘ only representative from New Zealand." he said, “I came in perhaps lor a special measure of kind ness. The people of Tlobart retain many recollections of the times —prior to tile opening of the Panama Canal - when the vessels to and from New Zealand and the Old Country called there.

“Tasmania has a wonderful asset in .the hydro-eiectifie development, aitd numerous very large industries are

established or in view. Nevertheless, it is said that the island has progressed little of late years, and the lack of communications with the mainland is blamed as Hie chief factor. Then, too. the island is not large enough to

offer facilities to retain its young people, many of whom go to the mainland in search of wider fields. TRADE QUIET. AIONKY TIGHT.

••In Melbourne and in Sydney inquiries elicited fhe opinion that trade is .somewhat quiet and finance is genI'lallv described as being ‘tight.’ Rut trade figures indicate that improvement may he expected. Though the value of wheat exports is less than in the previous year, the crop having been lighter than the average, the outlook for next season is bright on account of the wonderful rains which have bcoji experienced. Excellent prices have ruled for wool, and the yield was up to the estimate for the season, namely. 21 million hales. Banks have been pursuing a restrictive policy, and as a result imports are contracting, which will tend to further improve the position of the nation.

•‘A great menace to Australia is the domination of industrial conditions hv extreme labour leaders, who frequently interfere in industries which are successfully operating under conditions satisfactory to both uarbors and employers, with direful results. The Prime .Minister recently called a conference to lie held on lines similar to that opening here to-day, hut: the labour leaders refused to coopera! e. Mr Bruce has issued an appeal lo them to reconsider their decision. “A good deal of dissatisfaction exists on the score of expense in administration, and there appears to bo some measure of overlapping as between the Federal and the State Governments. Time and spirit of compromise and co-operation should reconcile these differences without much difficulty. I was greatly impressed with the new city of Canberra, which is laid out on a scale sufficient for decades to come. Conditions in tho city itself are depressed. There has been overbuilding to some extent, and several lessees have forfeited their leases after hav/ng made certain payments thereunder. The Parliament Houses are extremely interesting to visitors, and the accommodation provided at the hotels leaves nothing to he desired.” PROTECTIONIST POLICY.

Mr Bowden was impressed by the great growth of manufacturing in Australia, which is yearly attaining a greater percentage of the total volume of production. Opinions are divided as to the wisdom of the policy of Protection oil which Australia has embarked, he said. There is so much capital invested in industry, and so great a proportion of the people dependent on a continuance and expansion of operations that it seems that the country is definitely committed to that policy, and can never revert from it. If the resultant level ot prices proves unduly burdensome to primary producers, no doubt the position will bo met by a system of subsidies on exportable surplus. Tine hears the same outcry there as here and elsewhere as to the growth ol the time payment system, and tlio system of deposit and spread instalments; and Mr Bowden was struck by the similarity of the problems which confront business men on both sides of the Tasman.

ECONOMIC LAWS DEFIED. There is an extraordinary activity in building in both Melbourne and Sydney, and there is evidence of rapid progress on every side. One business man described Australia as “the country which has defied all economic law.” There has been lavish borrowing, and such consistent spending that the people have come to look on it as prosperity. Centralisation of shipping and services—over-devel-opment of the country-—a primary producing country with a prohibitive tariff ; and yet Australia’s productive power and her wealth are such that she will yet be one of the great nations of the earth. Mr Bowden concluded by pointing to the needs of Australia and New Zealand for greater populations.