NEW INDUSTRIES

Hokitika Guardian, 23 September 1932, Page 6

NEW INDUSTRIES

EFECT OE OTTAWA AGREEMENT. MA NUFA CTURERS ARE 'PERTURBED. .WELLINGTON, September 21. Fesrs were expressed at. the meeting of the Wellington Manufacturers’ Association to-dav that the outcome of the treaty reached at Ottawa would be.a restriction of industrial development in New Zealand. Manufacturers generally are gravely concerned las to the extent to which the Dominion lias been committed.. Mr W. H. P. Barber,: who is well known in the wool Jen industry, said that 'judging'-by feptAts the treaty?-' might be a very serious matter for the secondary industries of New Zealand; It would appear that Great Britain would have discretionary power to determine whether or not a new,, industry should be started in the Dominion, when in Great Britain’s view she could supply those goods more economically. That seemed to be taking away the right of the people to establish their own industries and might even lead to the extinction of existing industries. New Zealand had agreed to remove the primage duty on goods from the United Kingdom when financial conditions permitted, and to remove the surtax at once. Those dutiets were not put on at the request of local industry but for revenue purposes only. If those duties "were to be removed, the Government must get revenue from somewhere else,, •either by taxing industry or increasing the income tax in order to provide the amount which would he lost hy the withdrawal oif those' duties. It was rather-alarming from the manufacturers’ point of . view. Mr J. T. Spears (president of the New Zealand Manufacturers’ Federation) said he believed Mr Barber had put his finger oni the .main point of danger. It appeared that new industries would not be allowed to be established in New Zealand without the authority of the. British Government. It represented a possibility that must be contested from the standpoint that agreement with tony such conditions meant signing the death warrant of industrial development.

In view of the indefinite nature of the statements which had been made up to the present, and in view of the fact that fuller reports of the Conference would he made to the Government, it was decided to take any further remlarks on the subject in committee.