WELLINGTON NEWS

Hokitika Guardian, 15 January 1929, Page 3

WELLINGTON NEWS

TOURISTS AND EMIGRES. [Special To The Guardian .] WELLINGTON, January 11. Although the Tourist and Immigration Department came in for a good deal of harsh and undeserved criticism on occasions it must be admitted that both departments have done and are doing good and efficient- service, and are spending the limited funds at their disposal to the best advantage. The influx of tourists to the Dominion each year shows expansion and although the growth may not satisfy the critics, it is nevertheless a credit to the TouristDepartment. According to a Home paper foreign travel seems to have been indulged in more than ever during the past year by all the what may De described as the well-to-do nations. Not only have Americans been on the move in greater numbers, but it is reckoned that British visitors to the Continent during the season increased by 10 to 15 per cent.. Besides the much desired expansion of social intercourse and the extension of international knowledge the travel habit implies, it carries also important I fiscal associations.’ The expenditure of ( tourists in a country when it attains . the dimensions of that which accom- j panics an American invasion, repre-1 sents an addition to what are termed | the invisible or blind imports, which , have a solid reaction bn export busi- I ness. It, is estimated that the total , disbursements off visitors from the United States to other lands during ; the year will have absorbed £180,000,-j 000, as compared with £154,000.000 in 1927. This is the largest for anv year j except 1920 when the after-war rush to Europe occurred. About two-thirds .

of the outlay is m Europe and South America, and the rest is spent in Canada and other parts of the world. It is doubtful whether New Zealand secured its fair share of the American travel expenditure of £180,000,000.

Had we secured iust one-hundredth part of that it would have meant £900,000 to' us. No doubt we could secure our reasonable. proportion of American travel expenditure if we attacked the matter as it- should be attacked. It is a matter of scientific salesmanship and mass advertising. The latter particularly has a string appeal to the American mind, and sales, manship and advertising cannot be separated. If supposing a special illustrated hook were prepared giving reliable information, and the booklet was simultaneously despatched to American millionaires, tlie heads of large establishments, leading American libraries, and to leading American newspapers., and all wefe to receive the publication at about the same time, the psvcological effect of such mass advertising would he very good. The increased publicity that New Zealand would receive from newspaper comments on the booklet and from con versa'tions of individuals who receive it would prove a tremendous advertise ment. But. of course, any such effort at- mass advertising would cost money, and the Department cannot be expected to venture on the scheme without funds, all the same many people incline to the belief that by mass I'dvot tising in the United States there would lie a mass response. The Tourist Department is doing good work with tlie limited funds at its disposal and deserves to he encouraged to extend its field of operations. A large annual crop of tourists, and of American tourists' in particular, would he very profitable to New Zealand.

Though the Government scheme of immigration inaugurated by tlic Coates Party has been suspended for some time, one would imagine that the officials of the Immigration Departure had nothing to do but to twiddle their thumbs and draw their salaries. And there are some people foolish enough or churlish enough to express such an opinion. The Department is not wholly concerned with importing farm labourers, domestic workers and others of a similar class, for it is believed that it is paying close attention to inducing a class of immigrants who would be an acquisition to the Dominion, and so far has met with a fair measure o 4 success. Owing to the heavy burden of taxation in Britain the retired civil servant finds it very hard living, and to escape migrates to the south of France or the Channel Islands, where living is relatively cheap and the social amenities not so exacting. A strong effort is being made to induce this class to settle in Now Zealand and some are said to have responded. Then there are the retiring navy and army officers who find that they can barely exist on their pensions, and the Department is doing effective work in endeavouring to bring some of those people out here. It will be new to a good many peop'e that many retired officers have settled in New Zealand and apparently are satisfied with their new environment. The fact remains that both the Immigration and the Tourist Departments are doing excellent work and are not blowing their own trumpets.

CASH ORDER SYSTEM. WELLINGTON. January 11. It was announced some time ago hv tin* Minister of Industries and Com merce (Hon. .1. G. Cobbe) that an inquiry would bo held in respect to tins matter. It seems that a misconception exists, and the Minister has taken the trouble to state the position exactly. The inquiry is to be into the cash order trading system and not the C.O.D. (cash on delivery) system. There is of course no connection between the two. The cash order system is more of the nature of an instalment purchase system. An individual firm holds itsell out to the public as being willing t > issue to approved clients orders which on presentation to one or more traders

will be accepted in exchange for goods. The firm issuing tlie cash order collects the amount m instalments from the client and tlie client pays a commission to the original firm issuing the order.

Hie retailer who accepted the order or a portion of it from the client tenders the order in due course to the firm or individual issuing it and secures payment, less an agreed discount.' It is somewhat amazing that an official inquiry is to he made into the system for we fail to see that there is anything illegal, improper or immoral in the system. That the -Government intends to have an inquiry made goes to show that we are to have a. continuation of that government interference with business that lias done so much to wreck confidence. What is tne ulterior motive of the inquiry? At whose request or instigation is it to be made? If there are any malpractices or any cheating or “squeezing” one can understand it, hut assuming that the firm or individuals issuing tinorder do a bit of squeezing the fault lies with the traders who submit to it. This is a variation of the instalment plan and advantage is taken of it by people of small means, and it is generally articles of clothing that are affected. A man may need a suit of clothe-' for which lie cannot pay cash down and this system enables him to get his suit. Certainly he lias to pay a commission for tlie privilege but in any event the borrower must pay. Tlie amount a the commission may he high, but then it must be remembered that the business carries a good deal of risk. At all events if the lender or the one issuing the order charges the client too high a commission, and so makes undue profits competition would soon rectify the matter.

Vendors <>)' motor oars who sell or 'the time payment system obtain a chattel security and this can be traded with a company or firm. Furnituremakers in their sales to the public follow the same course. The merchant who sells to the retailer on a bill lor three months adopts the time payment plan and if the names are good the banks will discount the bill. The cash order system is just another form of the time payment or instalment plan and why it should come in for an inquiry by a commission appointed by the Government it is difficult to understand. It may be claimed that the firm issuing the order demands too large a discount from the retailer, which may be the case, but the retailor must lie lacking in the elementary qualifications of a business man or distributor of merchandise if he allows himself to be squeezed. It may be further claimed that the firm issuing the order gets a double cut. that is that he gets commission from both buyer and seller, that is from the client to whom he gives the order and from the retailer to whom he pays cash on the execution oi the order. There is nothing extraordinary in this, nor is it immoral, or grasping greed. The client who obtains the buying order secured a convenience or a service for which it is only fair that be should pay and the retailer is assured of bis money, and there is something to be paid for that assurart'-e Hut there is a precedent for this double commission, for as much service is rendered the buyer as the seller when the transaction is completed. The objection to the cash order system seems to emanate from retaileis who want to be wrapped up in cotton wool, and protected - from the storm of competition, and as there is no one ready and willing to protect them they turn to the Government for help. It is a wonder that some of them do not ask for a. Government grant to enable them to compete with the cash order men. It was the general belief that the new Government would retrain from interfering with business as did the Coates Government, which caused such a want of confidence, but it is evident that we have erred and that the present Government will exhibit the same itch for interfering with business as did the late Government.