EFFECT OF IMPORTS.

Manawatu Standard, Volume LVII, Issue 214, 10 August 1937, Page 12

EFFECT OF IMPORTS.

MANUFACTURERS CONCERNED. POSITION IN AUCKLAND. AUCKLAND, Aug. 9. Alany specific instances of manufacturing firms being affected by excessive importation of competitive goods selling at rates which are uneconomic in view of the industrial costs faced in New Zealand were cited by the president, Air F. N. Ambler, at a meeting of the executive of the Auckland Manufacturers’ Association. He said that tlie results of a questionnaire recently issued by the association revealed that its contentions were facts. A falling-off in demand was mentioned by a largo number'of firms in their replies to the questionnaire. One manufacturer of clothing stated that the increased purchasing power had to date increased tho demand for his products, but prices were now overtaking purchasing power and tlie effect was a falling-off in demand. Another firm dealing in similar lines mentioned that it had opened a factory employing 30 hands about seven months ago, but unless business was better tlia n at present prospects would indicate tlie desirability of closing down this unit. One footwear firm reported that it was employing only about half the number of hands who were engaged a year ago, and a further reduction of staff was anticipated if the Government did not help the industry. Advico from its travellers stated that firms were not placing orders with anyone owing to over-stocking, mostly with imported lines. A similar statement was made by a clothing manufacturer, who said a new factory had been opened but did not now appear to bo warranted. Reports indicated that retailers had been importing made-up goods from Australia and Great Britain which might seriously affect tho firm’s indent season for overcoats. The principal of a leather factory explained that the turnover for the last three months was less than that of the corresponding period last year. Plans for development were held up owing to orders being required to bo placed six months ahead. The most serious competition was offered from England, where a journeyman’s wage was Is 3d an hour as compared with 2s 7jd in New Zealand. v , , After reading a lengthy list ot replies to the' questionnnaire, Air Ambler said the facts before the association showed the position to be as it had been stated. It seemed likely that following tho return of the Minister of Finance (Hon. AV. Nash) tho Government would investigate the question and something would be done. Relief, however, was needed immediately, and tho industries affected could not afford to wait for months.

“It is gratifying to know that wo have received an assurance from the Government that it is going into the position,” commented Air D. Henry. He said that some manufacturers were already reducing staffs, and he suggested that any action along these lines should bo deferred until the Government had an opportunity of framing a policy. It should be given, a sporting chance. After several members had stressed the gravity of the position and its possible effects in the displacement of labour, it was agreed that the case as presented to the Minister had in no way been over-stated.